Value Chain + Infrastructure: Innovation + Growth
The Hub Strategic Plan has identified the following outcomes for this priority:
- On-island value adding for domestic, national and international markets.
- Tasmanian timbers for Tasmanian buildings.
- World class engineered wood manufacturing capability.
- Value chain knowledge and alignment between market, processors and growers.
- Market understanding of provenance and product.
We recognise the need to utilise our forest resources more efficiently as a state. It’s important to minimise waste and make use of every part of the tree. The Tasmanian Forest industry is facing changing market demands, with increasing focus on sustainability, innovation and high-value products. To grow and diversify, Tasmania can look to global trends such as the rise of engineered wood products which are gaining traction in sustainable construction. Additionally, the development of bio-based products and wood-based textiles, offer opportunities to add value beyond traditional timber exports.
By promoting high-value specialty timbers like Tasmanian oak for furniture and architectural features and adopting advanced technologies like precision forestry and automation in timber processing, Tasmania can improve efficiency, reduce waste, and enhance competitiveness. These innovations would position Tasmania to meet global demands while reducing its reliance on woodchips and creating a more resilient and diverse forest industry.
This growing appreciation of the value of wood, its use, has potential to be strongly aligned with Tasmania’s brand. We must be adaptable and agile in responding to changing market needs and expectations. It’s crucial to demonstrate both sustainability and commercial viability and essential to resolve and strengthen the
alignment of the Tasmanian value chain. This requires leveraging the expertise of markets, processors, and growers to establish stronger connections between all components of the entire value chain.
Hub Priority Projects
Current Projects
Economic Contribution of the Forestry Industry to Tasmania
This report provides a comprehensive and up-to-date assessment of the forestry industry’s contribution to Tasmania’s economy, employment and regional communities. Prepared by BDO for Forest & Wood Products Australia (FWPA), with support from the Tasmanian Forestry Hub, the research quantifies the value generated across Tasmania’s softwood plantations, hardwood plantations and native forest sectors, while also capturing the flow-on benefits that extend throughout the broader supply chain.
The findings confirm that forestry remains a significant contributor to Tasmania’s prosperity, supporting thousands of jobs and generating substantial economic activity across regional areas. Importantly, the report extends beyond forestry operations themselves to examine the interconnected network of growers, contractors, processors, transport operators, retailers and exporters that rely on a strong forest and wood products sector.
Link to report: REPORT
Strengthening the Chain: Unlocking Opportunities Across Tasmania’s Forest Value Chain
This major new project aims to build a clearer, shared understanding of the challenges and opportunities across the full forest value chain. Delivered by Margules Groome, the project will engage directly with growers, contractors, processors, manufacturers, and supply-chain businesses to map what is working well, what are the challenges and where opportunities exist. A summary of the project can be found here.
This staged process includes online discussions and workshops with each segment of the value chain, targeted interviews, and a cross-sector in-person collaborative forum to explore the challenges and opportunities identified across the value chain. The project applies a systems-thinking approach, recognising the interdependencies between different parts of the chain and the value of collaborative, industry-led problem-solving.
This is an open opportunity for all stakeholders to participate and contribute their experience. The findings will shape practical actions for industry, strengthen alignment across the chain, and inform the Hub’s advice to the Commonwealth Government on emerging challenges and opportunities. If you’d like to be involved or learn more about the engagement activities, please get in touch with Tracey@tasforestryhub.com.au. The RFP for this project can be found here and provides further details.
This project supports the Hub’s strategic priority of Industry Innovation & Growth and forms part of the broader Trees. Wood. Markets: Supporting Innovation and Growth initiative — which is focused on strengthening collaboration and alignment across the forest and wood products value chain.
Trees. Wood. Markets: Timber in Domestic Construction
Working with UTAS Centre for Sustainable Architecture with Wood (CSAW), this project explores the challenges and opportunities for using more solid timber in Tasmanian homes. Building on earlier work in the commercial sector, it aims to better understand how timber is selected, specified and substituted in the residential market — and what could support greater use of locally produced products.
Findings will help inform both industry practice and policy development, supporting the broader goal of growing demand for Tasmanian wood in Tasmanian buildings.
This project supports the Hub’s strategic priority of Industry Innovation & Growth and forms part of the broader Trees. Wood. Markets: Supporting Innovation and Growth initiative — which is focused on strengthening collaboration and alignment across the forest and wood products value chain.
Completed Projects
2024 A Case Study: Commercial building with solid wood products in Tasmania
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View the video presented at the Australia Expo 2025 Osaka Pavilion on Sustainable Structures – Building Tomorrow Here
This report explores the growing role of solid timber products in commercial buildings across Tasmania. Focusing on six recent projects, this study sheds light on the opportunities and barriers to using locally grown and manufactured timber. With an increasing global focus on sustainable construction, timber is recognised for its environmental benefits, aesthetic appeal, and potential to support local economies.
The study highlights how Tasmanian timber resources could meet demand in commercial building markets, provided challenges in production, compliance, and supply chain coordination are addressed. It also highlights the role of clients in advocating for timber use, often driven by sustainability goals and community expectations.
You can:
2023 CASE STUDY: Silvicultural interventions to improve sawlog production from Tasmanian forests
This Tasmanian case study has been prepared as a supplementary report for the project Building the case for intervention to support increased sawlog production from Australia’s forests. It supports the three recommendations above along with detailing a fourth recommendation of:
4. Specialty timbers silviculture fund:
Establish a specialty timbers silviculture fund of up to $600,000 over ten years, to support fast-tracking requisite silvicultural interventions for blackwood forests and to trial commercial thinning.
2022 Hub Demand Study – Summary Report (June 2022)
Download Tasmania Forestry Hub Demand Study Summary Report June 2022
Completed in June 2022, this demand study informs the forests and forest product sector on opportunities to make investments for sustainable growth through
to 2050 and beyond. It details a positive demand outlook across most of Tasmania’s wood product groups underpinned by:
- The core attributes of the Tasmanian timber products;
- Forecast growth in Australia’s population and gross domestic product through to 2050;
- Supply scarcity for log production and wood products produced in Tasmania and other states – most notably native forest hardwood timbers, but also plantation wood managed for structural timber and engineered wood product applications; and
- Policy drivers at both the national and state level, supporting the use and procurement of ‘renewable’ wood products, from sustainably managed forests.
2023 CASE STUDY: Silvicultural interventions to improve sawlog production from Tasmanian forests
This Tasmanian case study has been prepared as a supplementary report for the project Building the case for intervention to support increased sawlog production from Australia’s forests. It supports the three recommendations above along with detailing a fourth recommendation of:
4. Specialty timbers silviculture fund:
Establish a specialty timbers silviculture fund of up to $600,000 over ten years, to support fast-tracking requisite silvicultural interventions for blackwood forests and to trial commercial thinning.
2021 Forestry Infrastructure Opportunities in Southern Tasmania Final Report
Download Tasmania Hub Southern Tasmania Infrastructure Final Report
Completed in July 2021, this report is a detailed assessment of the infrastructure priorities for the development of the southern Tasmanian forestry industry and summarises infrastructure opportunities for port, rail and road for the:
- Short Term (1-5 years)
- Medium Term (5-15 years)
- Long Term (15-30 years)
2023 CASE STUDY: Silvicultural interventions to improve sawlog production from Tasmanian forests
This Tasmanian case study has been prepared as a supplementary report for the project Building the case for intervention to support increased sawlog production from Australia’s forests. It supports the three recommendations above along with detailing a fourth recommendation of:
4. Specialty timbers silviculture fund:
Establish a specialty timbers silviculture fund of up to $600,000 over ten years, to support fast-tracking requisite silvicultural interventions for blackwood forests and to trial commercial thinning.
2020 Supply Chain and Infrastructure Assessment Report
Download Supply Chain and Infrastructure Final Report
Completed in October 2020, this report details the current state of forestry supply chains and infrastructure, the opportunities and barriers for forestry and the constraints effecting productivity. Recommendations are grouped into four categories:
- Enhance market access and efficiency
- Explore forest products value-add and differentiation opportunities
- Improve supply chain and infrastructure visibility
- Improve workforce development, skills and career pathways