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4 Which laws regulate legal trade in timber and timber products in
Australia?
4.1 Illegal Logging Act
The Illegal Logging Prohibition Act 2012 has been in effect since November 2012. The Act makes it a
criminal offence to intentionally, knowingly or recklessly import illegally logged timber products into
Australia or to process Australian grown logs that have been illegally logged. This offence applies to
all imported timber products and all domestically grown logs processed in Australia.
For the purposes of the Act, ‘illegally logged’ is defined as timber harvested in contravention of laws
in force in the place – whether or not in Australia – where the timber was harvested.
Strong investigation and criminal prosecution action are taken when serious and deliberate breaches
of the legislation are uncovered.
The Act also places an obligation on importers of certain regulated timber or wood-based products,
as well as processors of domestically grown raw logs, to actively assess and manage the risk that the
timber has been illegally logged. This process is known as carrying out ‘due diligence’.
The specifics of the due diligence process are set out in the Illegal Logging Prohibition Regulation
2012, key elements of which came into effect on 30 November 2014. The Regulation sets out the
requirements for establishing and operating a due diligence system, as well as the type of products
(as defined by their Harmonized System tariff codes) that are regulated under the Act.
The due diligence requirements are intended to encompass all major sources of illegally logged
timber entering the Australian market. They require businesses or individuals importing ‘regulated
timber products’ into Australia or processing domestically grown ‘raw’ log to undertake a suitable
due diligence process to prevent illegal products entering their supply chains.
4.1.1 What products are subject to due diligence?
For the purposes of the Illegal Logging Prohibition Regulation 2012 timber products are those
derived from wood which includes solid wood, reconstituted wood, wood fibre, and pulp and paper
products.
Due diligence is only required for ‘regulated timber products’, which are listed in Schedule 1 of the
Regulation and fall under tariff chapters 44, 47, 48 and 94. Regulated timber products include most
timber and wood-based products, such as sawn timber, pulp, paper, veneer, mouldings, wood
panels, flooring, medium-density fibreboard, particle board, plywood and furniture.
Due diligence is not required for the packing material used to support, protect or carry the product.
Under the legislation, the following are exempt from the due diligence requirements:
Products made from greater than 95% post-consumer recycled material.
Products partly made from greater than 95% post-consumer recycled material (with only the
part of the regulated timber product that is recycled being exempt from the due diligence
requirements).
Products imported into Australia as part of a consignment where the combined value of the
‘regulated timber products’ in the consignment does not exceed AUD$1000.