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Victoria to lead in sustainable timber, low-carbon manufacturing: VFPA

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Victorian Forest Products Association (VFPA), Media Release, 9 April 2025

Victoria is strengthening its position as a global leader in sustainable timber, engineered wood, and next-generational biomaterials, capitalising on the demand for low-carbon alternatives to create regional jobs and secure a local supply of construction materials while tackling a changing climate.

The Victorian Forest Products Association (VFPA) is playing a key role in this transition, having today launched the Victorian Wood Fibre Roadmap to 2050.

A bold and comprehensive strategy that positions Victoria’s $9bn wood fibre industry as a global leader in sustainable wood fibre production, advanced manufacturing, and circular bioeconomy innovation, the Roadmap outlines an ambitious way forward for the state’s wood fibre and forestry industries.

VFPA Chief Executive Officer, Andrew White, said the Roadmap paves the way forward for Victoria to develop innovative new products, such as biofuels, next generation building products and nanocellulosic materials.

“There is significant global interest in cellulose nanomaterials as a substitute for synthetic materials or nano-reinforcement for polymers in industries like healthcare, packaging, textiles, and even 3D printing,” said Mr White.

“This is about using every part of the tree, multiple times over, and transforming our existing industry strengths into global leadership in low-carbon materials and sustainable design. With the right policy settings, we can grow this sector even further to deliver climate solutions, housing materials, and manufacturing jobs where they’re needed most.”

The Roadmap’s key actions include:

  • Expanding Victoria’s softwood and hardwood plantations.
  • Fast-tracking investment in engineered wood products and innovation hubs.
  • Prioritising local timber in construction to cut embodied carbon.
  • Boosting wood fibre recovery and reuse to build a circular economy.
  • Backing next-gen biofuels, textiles, and biochemicals through targeted R&D.

The industry already injects over $9 billion into Victoria’s economy and supports more than 17,000 direct jobs – mostly in regional areas. Now, with a strong policy focus and a rising global appetite for sustainable materials, Victoria is laying the groundwork for a world-leading timber and biomaterials sector.

VFPA is calling on all levels of government to back the vision and support strategic investment in plantations, domestic processing, and future innovation potential.

“We’re asking the parliament to work with us on a bi-partisan basis – not just to support what we have now, but to build something even better,” Mr White said.

“If we make smart investments off the back of Victoria’s strong scientific credentials, it’s not impossible to think that Victoria could be a leading player in turning renewable wood fibre into real climate and economic outcomes.”

Download the Roadmap: Click here to download from VFPA.

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