Wellington & East Gippsland - Timber Sector
VALUE ADDED
The Timber Sector generated $311 million in direct output and $101 million in direct value added in 2018/19, 3.2% of the total Wellington & East Gippsland's output.
When flow on effects are taken into account the Sector contributed $514 million in total output and $179 million in value added.
In 2018/19, $51.8M (51%) of direct value added was generated by Wood Manufacturing activities.
Output in the sector peaked in 2016/17 at $436M, but has subsequently fallen to $310.7M in 2018/19.
Value Added also peaked in 2016/17 at $150.3M. In 2018/19 it was estimated to be $101.3M
In 2018/19, 70% ($215M) of direct sales/output in the Timber Sector was exported.
This meant the Sector generated 5.9% of Wellington and East Gippslands' total export value.
EMPLOYMENT
The Timber Sector directly supported 1,092 jobs in 2018/19 with a further 764 indirect jobs for a total impact of 1,856 jobs.
This local sector's direct jobs represented 2.9% of Wellington and East Gippsland's total jobs in 2018/19.
Local Jobs in the sector grew strongly between 2014/15 and 2016/17, before declining in recent years. Growth in local residents who work in the sector (inside and outside the LGA) mirrored this trend.
However recent falls in employed residents have not been as strong as the local job falls suggesting residents are maintaining employment outside the region.
In 2018/19, 534 (48%) of local jobs were in Wood products manufacturing.
Forestry and Logging employed another 40%.
SPECIALISATIONS
In 2018/19, the share of local jobs in Forestry and Logging In Wellington and East Gippsland was 12 times the Australian average.
The number of jobs in Wood Product Manufacturing was 4 times the national average.
7th
Largest number of jobs in Australia in:
Forestry and Logging
Log Sawmilling and Timber Dressing
Wellington
Largest number of jobs in Australia in:
6th
East Gippsland
10th
Largest number of jobs in Australia in:
Forestry Support Services
BUSINESSES
In 2019, the largest share of registered businesses, 33% (42), were in Logging.
Another 19% (24) were in Forestry and 13% (16) in Forestry Support Services.
Registered business numbers declined by 19 businesses between December 2014 and 2016, led by falls in Forestry (-13).
However, since 2016 business numbers have been relatively stable.
WORKFORCE PROFILE
In 2016, the Wellington and East Gippsland (WEG) Timber Sector workforce is generally made up of Australian born, middle aged men. They were generally less qualified than the general Wellington and East Gippsland workforce but more likely to be working full-time and earning higher salaries.
44
years
old
Median Age
Male
88%
Female
12%
8% Born o/s
47% Post-School Qualification
87% Full-Time
$49,800
Median Income
WEG - 45 years;
Victoria - 41 years
WEG - 51% M; 48% F
Victoria - 53% M, 47% F
WEG - 11%;
Victoria - 31%
WEG - 61%;
Victoria - 67%
WEG - 56%;
Victoria - 61%
WEG - $43,380;
Victoria - $51,100
In 2016, the main occupations of local workers in the Wellington and East Gippsland Timber Sector were Factory Workers and Machinery Operators.
The top field of study areas for qualified workers were: Building; Manufacturing Engineering; and Mechanical Engineering.
In 2016, 37% of local workers in the Wellington and East Gippsland Timber Sector had Certificate level qualifications. This is higher than the share of local workers in all sectors (32%).
Qualification attainment (47%) is below that for the region's workers as a whole (61% qualified in 2016).
In 2016, 25% of local workers in the Wellington and East Gippsland Timber Sector were aged between 45 and 54 years.
The sector had a higher share of workers aged under 35 (33%) than the average for the region (30%), and a lower share aged over 64 (2%).
GEOGRAPHY
In 2016, Heyfield (in the Maffra Statistical Area) had an estimated 248 jobs in the Timber Sector, just under a quarter of the Wellington and East Gippsland total. The greater Orbost area and Yarrum were other key locations.
This report relies on data sourced from NIEIR (2020) and ABS Census of Population and Housing (2016).
The sector definition is based on industries directly related to timber felling and the use of timber products. Relevnt industries have been taken from the AISC definition. The flow-on industries are modelled using NIEIR's impact model based on region specific Input-Output multipliers.