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The Timber Industry in Gippsland
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Private Forestry in Gippsland
Private Forestry & the Government
Plantation Facts

Plantations provide a good economic return

Plantations provide a good economic return to the tree grower which can exceed that of traditional farming.  The initial plantation start up cost can be up to $1500 per hectare, however this can be reduced by the amount of work a tree grower is prepared to do himself/herself.  A typical blue gum pulpwood plantation can yield around 240 tonnes per hectare at age 12, at a sale price of about $20 per tonne.  With all costs included, the return from this type of plantation could be around 10-12% per annum.  A pine or eucalypt sawlog plantation is likely to yield a higher return than a eucalypt pulpwood plantation, however it may take 25-30 years before a return is achieved.

Plantations provide shelter for stock

Plantations grown in conjunction with normal farming enterprises provide shelter for stock.   Shelter increases productivity by protecting stock from cold winds allowing more energy to be diverted into meat or wool production.  Plantations also provide shade, lowering the stress levels of the animals during hot summer days again making stock more productive.  Plantations are a great place to put sheep after shearing to prevent losses from adverse weather conditions whilst they acclimatise to having their fleeces removed.

Plantations provide employment for rural youth

The average farmer is now in their late 50’s and there is a slow uptake rate of young farmers to replace those retiring.  Plantations provide opportunities and employment for rural youth as plantation establishment, management, harvesting and processing is very labour intensive.  Establishment tasks include weed control, site preparation, planting, fertilising, and browsing animal control.  Plantations require management throughout their life providing further employment through mapping, fire break maintenance, thinning, pruning and insect control.  When plantations are harvested they require people to harvest them, cut the logs, load them onto trucks, transport them to the mill and turn them into their final product whether that is paper, timber, veneer or biofuels.

Plantations provide biodiversity

Most plantations are established on previously cleared land.  This forms a significant increase in biodiversity as most of the species that existed on the farmland will still exist in the plantation.  In addition plantations provide habitat for many birds and animals that would not have existed whilst the land was being used for traditional farming.  Native spiders string their webs between the trees removing insects, and in turn they become food for native birds.  Wombats, kangaroos, wallabies and bandicoots all live amongst pine and eucalypt plantations, and native grasses and shrubs colonise the under storey once the plantations are established and the seed moves in from the surrounding areas.  Plantations, especially those containing eucalypt species are not the monoculture that many people believe.  Plantations provide connecting vegetation between existing native forest for animals to safely pass through as they travel between native vegetation patches.

Plantations require less chemicals than traditional agriculture

Plantation establishment is very intensive.  To achieve the best growth performances it is important to control competing weeds in the first 18 months of establishment.  Plantation forestry uses herbicide applications in this initial crucial period to control the weeds, however for the rest of the plantations life, chemicals are unlikely to be used at all.  For most plantations, this means one or two applications in the first 18 months and no more for approximately 10-35 years.  In contrast, to grow crops, the land manager may apply chemicals to control weeds on two occasions every year.  

Plantations reduce salinity

Much of Australia’s native forest has been cleared since European settlement, and this has caused a rise in the water table in many areas, bringing salt to the surface and rendering the land useless.  Plantations grown in the recharge zones reduce the amount of water flowing through the subsoil system.  This helps prevent the water table rising any further and can reduce the water table by effectively ‘switching off the tap’ that feeds the groundwater system.

Plantations provide economic prosperity for the region

Plantations in Gippsland occupy 1.9% of the land mass and generate $630 million in direct economic activity.  This economic activity generates employment just under 1,500 direct jobs, making the industry one of the largest employers in the region.

Plantation harvesting retains most nutrients on site

When plantations are harvested, generally only the wood is removed from the site.  Most of the nutrients are contained in bark and leaves which are kept on site and returned to the soil.  In contrast, the production of most agricultural products removes the most nutritious part of the plant, as this is what is demanded for human consumption.  In agriculture, removal of products is every year, however with forestry, products are generally only removed between 1 and 3 times in a rotation, which may vary between 10 and 35 years.

Plantations don’t acidify the soil

Plantations don’t make the soil acidic, and it has been shown on a number of occasions that after the trees are harvested, the land can be turned back into productive farmland if the landowner wishes to do so.

Plantation management reduces fire risks

Plantations are a very valuable asset to the tree grower.  Tree growers undertake intense management to protect these assets from fire by preparing and maintaining firebreaks around and within plantations.  Large plantation companies often contribute to local CFA brigades and have their own industry brigades.

Plantation companies provide farmers an option to leave the land for a fair price

Returns from some farming activities have been gradually declining for a number of years, and there have been few entrants into the agricultural businesses.  Plantation companies offering to buy land from farmers gives them an opportunity to sell the land for a fair price if they wish to do so.

Plantations have equitable tax treatment with other agricultural enterprises

The Australian Tax Office treats plantations the same as any other form of primary production.  Expenses occurred in establishment and management, regardless of whether it is wheat, corn or trees is tax deductible.  Any proceeds when the crop is harvested are liable to be taxed.

Plantations absorb greenhouse gasses

With the greenhouse effect looming through the accumulation of greenhouse gases in the atmosphere, plantations are a greenhouse friendly land use.  Plantations absorb carbon dioxide (the most significant greenhouse gas) from the atmosphere and store it in the cellulose that makes up wood.  A tree growing in a plantation can absorb around 7kg of carbon dioxide per year, which equates to around 7 tonnes per hectare.  Once the tree is harvested, much of this carbon dioxide stays locked up in timber used in construction or in paper and other forest products, and may never be returned to the atmosphere.

Plantations improve water quality

Plantations intercept fast flowing water as it runs through the soil.  This slows down the flow of water, and reduces the amount of sediment that it carries.  This has the effect of improving water quality, and making water runoff more even.  After a heavy rain, water will run off cleared land very quickly and will often be brown and dirty.  Plantations even this flow out providing a steady flow of clear clean water for many days after heavy rain.

 
 

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