South Australia produces 35 per cent of Australia’s housing timber, 25 per cent of its particleboard and 60 per cent of agricultural posts, and supplies nearly half the fibre used for pallets that keep supply chains moving. And yet the state’s share of detached timber homes has fallen from 85 per cent in 2018 to 74 per cent in 2025, even as imports of engineered wood products continue to surge at the port.
That is according to the South Australian Forest Products Association (SAFPA), which today published its 2026 State Election Policy Platform, Protecting South Australia’s Sovereign Timber Capability, alongside a new policy paper outlining the immediate actions needed to protect domestic timber manufacturing.
“South Australia is proudly the birthplace of Australia’s plantation forestry industry, and for 150 years, regional South Australians have grown, harvested and manufactured timber that has helped build this State,” according to Nathan Paine, CEO of the SAFPA. “The forest industries contribute nearly $3 billion to the State’s economy each year and directly and indirectly support more than 21,000 jobs.”
Paine said the new platform builds on SAFPA’s 2021 agenda and focuses on expanding the plantation estate, strengthening local manufacturing and ensuring the sector continues to support housing supply, employment, food supply chains and decarbonisation.
“Surging imports and increasing substitution toward imported lightweight steel framing are placing sustained pressure on domestic manufacturing viability and plantation investment confidence. These are not cyclical trends, and they require timely, practical policy responses aligned with government priorities for housing, regional development and economic resilience.”
Nathan Paine, CEO of the peak body for the state’s $3 billion forest products industry warned that increased substitition has seen the percentage of timber framed housing drop from 85% to just 74% over the last seven years.
The release follows the opening of two new state‑of‑the‑art Technical Colleges — one at Tonsley and the other at Mount Gambier — both constructed using locally manufactured NeXTimber by Timberlink cross‑laminated timber and Australian Sustainable Hardwoods glue-laminated timber. And calls for stronger sovereign capacity come as Premier Malinauskas and Anthony Albanese agreed on a new federal–state agreement that will see 17,000 new homes built across the state, including 7,000 for first‑home buyers, on a scale of development.
Paine said stronger procurement policies would help ensure public investment continues to support South Australian manufacturing. “This is not about protectionism, it’s about ensuring South Australia retains the sovereign capability to grow, process and manufacture one of its most essential renewable materials.”
New community research commissioned by SAFPA shows strong public support for protecting critical industries and ensuring South Australia grows enough plantation timber to meet future housing needs. Nearly half of voters said they were more likely to support candidates who back policies to secure the local timber supply, while polling in Mount Gambier confirmed firm regional backing for sovereign timber manufacturing and local jobs.
