RIC is offering loans to support new and bushfire-damaged forestry plantations

A new loan program is open to support the development of new and bushfire-damaged forestry plantations to help secure future wood supply.

The Regional Investment Corporation (RIC) is managing the loans with the aim to support growth in plantations, and deliver benefits for rural and regional communities and the economy.

Many regional communities are reliant on forestry, and the 2019-20 Black Summer bushfires caused significant losses for some industries and communities. Through this initiative eligible businesses can obtain a concessional loan to the value of $2.5 million to establish new plantations or replant bushfire-damaged plantations.

Farmers may also use the loans to support plantation development on their land to diversify their income.

Assistant Minister for Forestry and Fisheries, Jonno Duniam said the government is committed to growing the plantation estate and supporting forestry jobs.

“The sector has faced challenges recently, but we’re working with businesses and states and territories to build a strong and sustainable future for Australia’s forest industries,” Assistant Minister Duniam said.

“The wood supplied from these plantations will also support the construction industry in the years ahead.”

For more information and how to apply, visit here or call 1800 875 675.

Loans to grow forestry plantations

  • As part of the 2021-22 Budget, the government committed $37.5 million of existing RIC loan funding to the program in 2021-22. The (RIC) were also provided with additional funding of $0.8 million in 2021-22 administer the loans.
  • This Plantation Loan also complements other loan products delivered through the RIC to support new entrants and existing businesses in regional Australia, such as AgriStarter Loans and Farm Investment Loans.
  • The measure supports the Government’s Ag2030 goal to set the foundations to grow Australia’s agriculture, fisheries and forestry industries to $100 billion by 2030.