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New sandalwood industry structure

Sandalwood banner_nuts on tree

The sandalwood industry is an important component of the State’s forestry strategy - particularly for remote and regional communities. Demand for sandalwood oil and the wood, particularly in Asia for incense sticks and religious carvings, has been strong for centuries. Increasing demand from China and India represents a significant opportunity for growth in this industry.

Following extensive consultation with stakeholders, the Forest Products Commission has developed a new industry structure that aims to provide:

  • market stability
  • opportunities for new entrants in the industry
  • employment and investment opportunities in regional Western Australia
  • greater Aboriginal involvement in the industry
  • a smooth transition to a mixed wild and plantation based industry into the future.

The new industry structure for the sandalwood market arrangements has taken into account the views of community and industry stakeholders, and broad government objectives to position the industry for a long, viable future.

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