Accelerate Adoption of Wood Processing Innovation Program

Need Assistance?

Call 1300 658 508


What is the Accelerate Adoption of Wood Processing Innovation Program?

The Accelerate Adoption of Wood Processing Innovation Program is a grant opportunity to support projects which will make better use of existing timber supplies, add value to existing products, create new products, or reduce the industry’s carbon footprint. 



The Australian government is investing $110 million in a program to increase domestic wood processing capacity and reduce the industry’s carbon footprint. The global demand for wood and wood products is expected to increase significantly over the next 25 years. Recent bushfires impacted more than 130,000 hectares of plantations and 8.3 million hectares of native forests in Australia.



The objectives of the Accelerate Adoption of Wood Processing Innovation Program are to:

  • fund privately owned wood processing facilities to increase and/or diversify production capabilities or capacity. For example, the ability to process smaller logs or install new technology to create new products
  • allow greater use of Australia’s sustainably managed timber
  • support the forestry and wood processing industries to continue to reduce their carbon footprint.

The intended outcomes of the program are:

  • the adoption of smarter, more efficient practices in wood processing
  • increased processing capabilities in Australia 
  • retention or creation of regional jobs and support for regional communities.

Need Assistance?

Call 1300 658 508

Accelerate Adoption of Wood Processing Innovation Program


The minimum grant amount is $1 million (GST exclusive) and the maximum grant amount is $5 million (GST exclusive).


Eligible Projects

The Accelerate Adoption of Wood Processing Innovation Program will fund:

  • innovative technology to:
    • diversify existing product lines
    • improve efficiency in existing product lines
    • improve carbon efficiency, or
  • minor capital works to support installation of innovative technology, such as:
    • minor improvements to electrical infrastructure
    • minor improvements to building infrastructure.

You are required to co-contribute the remainder of the overall project value being sought (grantee contribution). This component of the funding would be expected to cover:

  • any major capital works associated with the project. For example, but not limited to:
    • major improvements to electrical infrastructure
    • construction of new buildings or major improvements to current building infrastructure
    • construction of roads to or from the project site

Your project must:

  • increase or diversify your production capabilities. This may include increasing capacity of existing production lines or expand an existing production range, which you intend to sell solely or mainly to interstate and/or international markets or enhance your capacity to improve carbon efficiency
  • have eligible activities which directly relate to the project and can include:
    • upgrades or adaptation of existing plant and equipment
    • development of new manufacturing processes
    • investments in new technology, including to diversify product lines


Eligible Applicants

To be eligible you must be one of the following entity types:

  • Indigenous Corporation
  • Company
  • Cooperative
  • Incorporated Association.

The program can only accept applications from:

  • privately owned wood processing facilities that are all of the following:\
    • not owned by a state or territory government
    • do not form part of a state or territory
    • not a statutory authority established under a law of a state or territory

Eligible organisations must have at least $2.5 million in total project costs.

Need Assistance?

Call 1300 658 508

Accelerate Adoption of Wood Processing Innovation Program


Applications close 28 February 2023.


More Information

Latest News

The federal government has awarded $108 million to 34 timber manufacturers under the Accelerate Adoption of Wood Processing Innovation grants program. The grants will support projects ranging from activated carbon production to construction materials, with funding between $1 million to $5 million distributed from 2022-23 to 2025-26, covering up to 40% of total project costs.

The program aims to stimulate investment in manufacturing lines and innovation, diversifying domestic products and creating long-term jobs. The list of recipients was announced by the federal forestry minister Murray Watt, with four projects involving First Nations organizations and sustainable timber sourcing from traditional lands.

The program falls under the National Reconstruction Fund, with value-add in agriculture, forestry and fisheries being one of the seven priority sectors.


Latest Recipients

Hyne & Son Pty. LimitedQLD$5,000,000
Timberlink Australia Pty LimitedTAS$5,000,000
Capital Battens Pty LtdACT$4,985,250
Wesbeam Pty LtdWA$4,486,478
Wespine Industries Pty LtdWA$3,509,857
Western Junction Sawmill Pty LtdTAS$1,984,000
XLAM Australia Pty LtdVIC$5,000,000
A.J. Forster Pty LtdSA$1,421,112
AKD Queensland Pty LtdQLD$5,000,000
Kennedy’s Classic Aged Timbers Pty LtdQLD$1,654,285
NSFP Southwood Pty LtdTAS$4,957,570
Duncan’s Holdings LtdNSW$3,253,890
Gidarjil Development Corporation LimitedQLD$3,217,000
Mareeba Sawmills Pty LtdQLD$1,793,640
Tilling Timber Proprietary LimitedNSW, VIC, QLD$4,495,583
Dyna Group Australia Pty LtdQLD$1,194,186
Highland Pine Products Pty LimitedNSW$4,019,325
Whiteheads Timber Sales Pty LtdSA$3,947,225
Dja Dja Wurrung Clans Aboriginal Corporation (trading as DJAARA)VIC$1,441,915
Parkside Building Supplies Pty. Ltd.QLD$3,480,000
Superior Wood Pty LtdQLD$4,200,000
Worldwide Truss & Frames Pty LtdWA$2,370,157
AKD NSW Pty LimitedNSW$5,000,000
Mcdonnell Industries Pty. Ltd.SA$4,005,687
KSI Sawmills Pty. Ltd.SA$1,440,000
Weathertex Pty LtdNSW$2,400,000
AKD Victoria Pty LtdVIC$2,556,000
Dindas Australia Pty LtdQLD$1,049,100
Albert Johnson Pty LtdNSW$1,994,544
Bedford Phoenix IncorporatedNSW$3,140,000
CLTP Panel Products Pty LtdTAS$2,070,000
Project.E Pty LtdNT$5,000,000
Stronach Industries Group Pty LtdTAS$1,000,000
Ashborn Pty LtdSA$2,709,941

What is the #1 grant for start-ups?

12,000+ companies access the R&D tax incentive per year that yields a CASH REBATE of up to 43.5%.
This might be perfect your start up.
Do you want to know more?

Scroll to Top
R&D Top 10 Consultant Tips

Top 10 Consultant Tips to Maximise the R&D Tax Incentive