PASIN DEMANDS ACTION ON RUSSIAN TIMBER LOOPHOLE THREATENING AUSTRALIAN JOBS

PASIN DEMANDS ACTION ON RUSSIAN TIMBER LOOPHOLE THREATENING AUSTRALIAN JOBS

Federal Member for Barker and Shadow Minister Assisting for Forestry Tony Pasin has called on the Albanese Government to close loopholes that are allowing Russian timber products to enter Australia through third countries, undermining local timber manufacturers and threatening regional jobs.

Mr Pasin said serious concerns had been raised by the Australian Forest Products Association (AFPA) and industry stakeholders that significant volumes of Russian timber were being rerouted through countries such as China before being imported into Australia for use in housing and construction.

"Australian timber manufacturers are being forced to compete against imported products that may contain Russian timber, produced under vastly different standards and entering Australia at lower prices," Mr Pasin said.

"That is not a level playing field and it is regional communities that pay the price."

Australia imposed a 35 per cent tariff on Russian and Belarusian timber products in 2022 following Russia's invasion of Ukraine. However, evidence suggests Russian timber is increasingly being re-labelled and exported through third countries in a process known as 'conflict washing', allowing products to avoid direct sanctions while continuing to generate revenue for Russia.

Mr Pasin said one of the most concerning developments was the dramatic surge in Russian timber exports to Kazakhstan.

"Imports of Russian timber into Kazakhstan increased by more than 1,300 per cent between 2022 and 2023. That should set alarm bells ringing for anyone serious about enforcing sanctions," Mr Pasin said.

"It raises legitimate questions about whether Russian timber is simply being rerouted through third countries before finding its way into markets such as Australia."

AFPA estimates up to 100,000 cubic metres of timber imported into Australia each year could contain Russian material, enough to be used in as many as 15,000 new homes annually.

Mr Pasin said the issue was particularly important for Barker, home to Australia's premier plantation forestry region.

"The Green Triangle and Limestone Coast forestry sector is one of the economic powerhouses of regional Australia, contributing more than $860 million annually to South Australia's economy and supporting thousands of jobs across forestry, transport, manufacturing and processing," Mr Pasin said.

"Forestry is a cornerstone industry in the South East and local families deserve to know their government is backing Australian jobs rather than allowing loopholes that disadvantage our industry."

Mr Pasin said Australian forestry businesses operate under some of the highest environmental, sustainability and compliance standards in the world, while importers are largely left to self-assess the origin of timber products entering the country.

"Why are Australian producers being put through the ringer to meet strict standards while imported timber enters Australia without the same level of scrutiny?" he said.

"That erodes confidence in the system and financially punishes local businesses that are doing the right thing."

Mr Pasin said there were also concerns about the quality and long-term performance of lower-cost imported timber products being used in Australian homes.

"At a time when the construction sector is already under pressure, the last thing Australians need is uncertainty about the quality and provenance of building materials."

The Coalition is investigating whether existing sanctions are working as intended and whether further action is required to prevent Russian timber products entering Australia through third countries.

Mr Pasin said Labor should immediately consider recommendations put forward by AFPA, including extending the current tariff regime to all products containing Russian timber regardless of where they are imported from, introducing country-of-origin labelling requirements, strengthening border compliance activity and pursuing anti-dumping investigations where warranted.

"Labor should be backing Australian forestry, Australian manufacturing and Australian jobs," Mr Pasin said.

"Instead, yet again, we are seeing a government asleep at the wheel while regional industries are left exposed.

"The longer this loophole remains open, the greater the damage to confidence, investment and jobs in one of Australia's most important regional industries."

Photo: Tony Pasin MP with Bec Scanlon at Gildera Nursery, near Mount Gambier, last week.