The group intends to pressure the state and federal governments for a forestry assistance package and, in a startling twist, it wants conservation groups to help steer the future of the forestry industry, says Michael Stedman in an article in The Mercury.

The 23 April meeting in Melbourne was attended by representatives of the Australian Forest Contractors Association, the Tasmanian Forest Contractors Association, Timber Communities Australia, the National Association of Forest Industries, Gunns Ltd chief executive Greg L'Estrange and Forestry Tasmania managing director Bob Gordon.

They agreed on the need for immediate action to support forest contractors reeling from a combination of the global financial crisis, the high Australian dollar, a downturn in woodchip exports and the collapse of managed investment schemes.

Australian Forest Contractors Association chairman and Tasmanian forest contractor Colin McCulloch said it was clear the industry would never be the same again.

"It is about getting much higher value out of native forest at lower volume and plantations taking over 50 to 60 per cent of our woodchip exports from native forests."

Late last week, Forestry Tasmania revealed it was set to record its first operational loss since corporatisation in 1994.

Forest contractors are also considering selling up as Gunns prepares to close its woodchip mills for another two to three weeks, taking the total period of closures since Christmas to 15 weeks.

Mr McCulloch said any solution would have to involve conservation groups.

"The view is there needs to be a change and that does involve the Australian Conservation Foundation, The Wilderness Society and the World Wildlife Fund," he said.

"We believe we have a lot to offer, particularly in the area of climate change and carbon abatement.

"There is a lot of common ground."

To read the full article, go to: The Mercury, 10 May 2010