Canberra-based Australian Forest Industries is targeting A$17m sales this year and plans to spend A$30m building a second sawmill.
The company’s predicted sales growth, up from A$15.3m in 2004, stems in part from the recent expansion of its Canberra mill which increases capacity by 38% to 165,000m3 per year. A timber treatment facility has also just been commissioned.
Australian Forest Industries will build a sawmill in the Bombala region to capitalise on the expected growth of the softwood market during the next 35 years. The company holds a 20-year contract with the New South Wales government to extract 300,000m3 of wood annually from Bombala’s forests.
Chairman and chief executive officer Michael Timms said: “We are excited by the opportunities that the business currently has at a time when domestic and Asian demand for timber continues to rise.”
The company also plans to expand its timber treatment facilities to meet local demand for termite resistant construction wood following recent changes in legislation.
