$200M Timber Hub Brings 74 Jobs to Victoria's Portland

Victoria is turning a problem into an opportunity with a $200 million timber manufacturing hub that will create dozens of jobs while helping build homes across Australia.

The Future Portland Hardwood Timber Manufacturing Hub will span 35 hectares near Portland, about four hours west of Melbourne. The facility will transform blue gum timber, currently shipped overseas as wood chips, into glue-laminated beams strong enough to replace steel or concrete in construction projects.

A recently completed feasibility study confirmed the project's viability and earned $1.75 million in state government funding to move forward. The Green Triangle Forest Industries Hub led the study, which showed the plant could replace half of Australia's imported glue-laminated timber, worth about $70 million annually.

The timing couldn't be better. The end of native timber logging in Victoria doubled the country's demand for imported wood products just as the National Housing Accord set a goal to build 1.2 million new homes by 2029.

"We know the long-term housing demand is going to grow, so that long-term demand for that timber is going to be there," said Andrew White, chief executive of the Victorian Forest Products Association. He explained the hub will particularly help meet needs for mid-rise residential buildings and structural beams.

The project will create 74 full-time permanent jobs in Victoria's south-west region, plus 150 construction jobs during the building phase. For a regional area like Portland, those numbers represent meaningful employment opportunities that strengthen the local economy.

The Ripple Effect

The benefits extend beyond jobs and building materials. Blue gum plantations already cover 54,000 hectares across the Green Triangle region in Victoria and South Australia, and this hub will add value to what farmers are already growing.

The facility also has net zero potential. Using blue gum beams instead of steel or concrete reduces a building's carbon footprint, while wood offcuts can generate bio-energy to power the manufacturing site itself.

Regional Development Minister Michaela Settle highlighted Portland's readiness for the project. "Portland has everything needed to become a major hub for advanced timber manufacturing — a skilled workforce, a strong forestry industry and a community ready to grow," she said.

Glenelg Shire Council Mayor Karen Stephens praised the proactive approach to creating future opportunities across the region.

The hub transforms a gap in Australia's timber supply chain into a win for workers, builders, and the environment all at once.