THE COVID-induced Australian construction boom has led to a timber shortage that has a growing number of buyers turning to Sweetman Renewable Timbers (SRT) in an effort to shore up supply.

Australian federal and state governments have recognised the potential of the industry to help lead the post-COVID economy revival, with the latest round of government budgets directing a quarter of a trillion dollars to infrastructure projects from 2020-21 to 2023-24, Deloitte Access Economics figures show. 

The value of total building work done in Australia during the March quarter rose 3 percent to $30.4 billion compared with the previous quarter, according to the Australian Bureau of Statistics, while new homes being built jumped 40.6 percent compared to the March quarter of 2020.

The Housing Industry Association said the record volume of building has led to material shortages.

At the same time, the 2019-2020 bushfires and lack of new plantation investment over more than a decade have further exacerbated the chronic timber product supply, which is having serious implications for building and construction activity. A division of Sweetman Renewables Ltd, SRT’s sawmill and timber processing facilities in the Hunter Valley, NSW is the only hardwood sawmill between Sydney and Newcastle, and is built on the sawmilling business established by the Sweetman family a hundred years ago.

SRT’s managing director for timber, Campbell McInnes commented on the company's direction, “We are working to strengthen long-term timber products supply arrangements with major timber wholesalers, and other companies in the building products supply chain.

"This will include expanding existing hardwood sawmilling capacity, increasing the production of quality hardwood products from certified forests and plantations. We are also seeking to develop additional avenues of log supply and timber products sources.

“With expanded opportunities for authorised log supplies, SRT will be able to make a valuable contribution to timber products supply to wholesalers, merchants and to construction and building customers.”

Sweetman Renewables chairman John Halkett said the company had a focus squarely on quality timber production and sustainable forest and plantation management via SRT, plus its biomass to renewable energy initiatives through its Sweetman Biomass division.

"Sweetman Renewables is proud of its ability to make a meaningful contribution towards sustainability, carbon storage and renewable energy that will collectively assist climate change abatement,” he said.

As well as planning capital expenditure to improve sawmilling and timber processing productivity, SRT will have the capacity to offer a wide range of timber products through an expanded timber products supply capability that includes a collaborative arrangement with a major timber products wholesaler, with a network of wholesale facilities across Australia.

“Our increased synergies across the supply chain will assist in strengthening the commercial performance of SRT’s sawmilling and timber processing operation in the Hunter Valley. This will also bring positive regional development and employment opportunities to the region,” Mr Halkett said.

www.sweetmanrenewables.com.au

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THE House Employment, Education and Training Committee will hear evidence from key organisations and experts based in Western Australia, New South Wales and the Northern Territory, as hearings continue for the inquiry into adult literacy and its importance.

Committee Chair, Andrew Laming MP said, "The committee continues to receive important evidence about the difficulties encountered by people with low English language, literacy, numeracy and digital literacy (LLND) skills.

"We have heard that low LLND skills have a negative impact on labour force participation, wages and productivity, and limits people’s social and civic engagement. Australians with low LLND skills may have difficulty understanding and acting on emergency warnings and health advice and may not be aware of their legal and financial rights and responsibilities," Mr Laming said.

"The committee has heard that the Adult Community Education (ACE) sector plays an important role in helping people to develop their LLND skills, but that support for ACE varies across States and Territories and much of this vital work is carried out by volunteers. The committee has also heard that stigma and shame are common reasons why people with low LLND skills do not seek assistance and support."

"The committee looks forward to examining these issues further during this week’s public hearings," Mr Laming said.

Public hearing details

Date: Wednesday, 28 July 2021
Time: 10am to 1pm (AEST)
Location: via videoconference

Date: Thursday, 29 July 2021
Time: 8.30am to 11.45am (ACST)
Location: Territory Room, Mercure Darwin Airport, 1 Sir Norman Brearly Dr, Darwin, NT

The hearings will be broadcast live at aph.gov.au/live.

Further details about upcoming public hearings are available on the Committee’s website.

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THE Parliamentary Trade and Investment Growth Committee is continuing its program of public hearings on July 27 and 28, in relation to its inquiry into the prudential regulation of investment in Australia’s export industries.

The Committee Chair, George Christensen MP, said that, after the committee heard from export industries in the inquiry’s first hearing, the committee is interested to hear from financial and investment groups about risks and opportunities associated with Australia’s export industries.

"Australia’s export industries rely on financial institutions for investment, insurance, and to launch new projects. The committee is looking forward to hearing how these institutions can support growth in Australia’s export industries, which contribute so much to Australia’s economy," Mr Christensen said.

Witnesses include the Australian Banking Association and Australia’s Big Four banks, representatives of the superannuation and insurance sectors, unions, and investor advisory groups.

Public hearing details

Date: Tuesday, 27 July 2021
Time: 9am – 4.55pm

Date: Wednesday, 28 July 2021
Time: 10.40am – 4.15pm

Due to the public hearings being held by videoconference and teleconference, public access will be available via the live broadcast at aph.gov.au/live. Further information about the Committee’s inquiry, including the public hearing programs, is available on the Committee’s webpage.

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MASTER BUILDERS Australia has commended the Australian Labor Party for its commitment to maintain the current settings for negative gearing and capital gains tax.

“The Opposition Leader’s pledge that Labor will not restrict negative gearing or increase capital gains tax should they win government at the next Federal Election is good news for the building industry, the economy and the community,” Master Builders Australia CEO Denita Wawn said.

“This announcement shows the Opposition’s recognition that new home building and increasing home ownership is vital to economic recovery and people’s financial security.

“With a Federal Election looming, the Opposition’s acknowledgement that restricting negative gearing and increasing capital gains tax would undermine housing supply, jobs and sabotage economic recovery is timely,” Ms Wawn said.

“We appreciate the efforts of the Shadow Minister for Housing and Homelessness, Jason Clare MP, to discuss this issue with Master Builders since the last Federal Election.

“Master Builders looks forward to continuing working with him to advance other policies that promote the accessibility of homeownership to all Australians and increase the supply of an appropriate mix of housing options, including social and affordable housing,” Ms Wawn said.

www.masterbuilders.com.au

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