What was the challenge?

The New South Wales (NSW) native forest sector has been contracting over a long period as publicly provided wood supply has fallen to more sustainable levels. The 2019/20 Black Summer fires has compounded this trend, significantly reducing sustainable wood supplies, particularly in the South Coast and Tumut regions.

This shock to the sector, economy and regional communities combined with an increased recognition of the significantly higher value that standing native forests offer in comparison to logging, provides an opportunity to reconsider resource. Other states including Victoria and Western Australia facing similar issues have made a decision to end the native forest logging.

In this context, Frontier Economics was engaged by WWF-Australia to develop an understanding of the likely impact of Forestry Corporation of NSW (FCNSW) ceasing native forest logging and the structural adjustment design principles which could support a transition for the sector.

The report also contributed to the development of WWF-Australia's Trees Scorecard.

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