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Australia has traditionally sourced hardwood timber from its woodland and forest areas. The main areas of production native forest are confined to the higher rainfall regions in the coastal sectors of north east and eastern Australia, to the south east highlands and to Tasmania. A small area of native forest which is important insofar as it contains the eucalypts Karri and Jarrah, is found in the extreme south tip of Western Australia. The vegetation of these forest areas is dominated by the eucalypts, of which there are 600 species occuring in a variety of habitats.

Australia's main commercially traded eucalypts to date have been;
Hardwood logs (the majority Eucalypts) are obtained by sawmills from crown forests owned and managed by state forestry agencies and private land holders with some mills owning their own forest areas. In state managed forest areas, the allowable quota or total quantity of logs available per annum is usually set according to the amount of timber that can be harvested from areas dedicated to timber harvesting, to ensure production in perpetuity (sustained yield)..
Individual quotas are held by private sawmillers and other timber users for an annual log volume supply. Quotas are bid for as they become available and either part of whole quotas may be sold to another interest.
Increasingly sawmillers are looking toward private land owners from which to draw sufficient timber to remain in operation. Regulations regulating the areas and types of sawlog removal methods on private land differ between the states.
In the future state owned and private eucalypt sawlog plantations and private Agroforestry systems will supply quality sawlogs for processing. This resource is going to be younger and have a number of inherent qualities which will require changes in the methods currently used to saw timber. A discussion of this aspect of Australia's forestry future is discussed in Markets and the Future for Australian Hardwoods.
If a woodchip mill is within economic distance of the operation, logs identified as suitable only for woodchipping may be transported there.

URL: http://online.anu.edu.au/Forestry/wood/hwd/Sourc.html