SANDALWOOD HARVEST
429. Hon COLIN HOLT to the minister representing the
Minister for Forestry:
I refer to the Forest Products
Commission contracts for sandalwood purchase for oil processing awarded to Mt Romance
Australia Pty Ltd and Dutjahn Sandalwood Oils Pty Ltd.
(1) How long are each of these
contracts?
(2) How long are
the FPC harvest licence contracts with the Department of Biodiversity,
Conservation and Attractions for sandalwood harvesting?
(3) If the
harvesting contracts are shorter than the contracts to supply for processing,
how does FPC guarantee supply?
Hon
ALANNAH MacTIERNAN replied:
I thank the member for the question.
The following information has been provided by the Minister for Forestry.
(1) The Mt
Romance Australia Pty Ltd contract was terminated by mutual agreement in May
2018. The Dutjahn Sandalwood Oils Pty Ltd contract will expire on 30 September
2026.
(2) The Forest
Products Commission undertakes harvesting operations through contracts with
third parties. The current harvest contracts
do not extend beyond the Sandalwood (Limitation of Removal of Sandalwood)
Order 2015 and are generally less than five years. The order covers the period
2016 to 2026. An annual quota for the harvesting of wild sandalwood from crown
land is set by the order. The Department of Biodiversity,
Conservation and Attractions manages the assignment of harvest volumes across
land tenure.
(3) The FPC
expects to call tenders for further harvest contracts as the current contracts
approach their expiry. There is a sufficient level of participation in the
harvesting sector to supply the contract demand.