Summary
This project assessed the financial viability of existing hardwood plantations in the North East New South Wales RFA region and examined factors influencing timber value. Data from 26 privately and publicly owned plantations older than 15 years were used to model timber value for high-value species (Gympie messmate, blackbutt, and spotted gum) based on log size and form at current age.
The analysis demonstrated that silvicultural management is important for log size, quality, and financial returns. Management costs were found to be low relative to benefits, with two thinning and two pruning events averaging 0.38% of internal rate of return,
The findings highlighted the importance of appropriate species selection, the needs for improved pricing mechanisms that reflect growing costs, and the need for clear technical guidance to support plantation expansion and market access.
Acknowledgement of funding
This report was commissioned by the North East NSW Regional Forestry Hub with funding from the Australian Government, Department of Agriculture, Fisheries and Forestry.
Disclaimer
Reports prepared for Regional Forestry Hubs, and any recommendations contained in the reports, are provided as received by the Hub and are not endorsed positions of the Hub. They do not constitute Australian Government policy.
