Timber Innovation Grants

An announcement was made on 23 May 2023 regarding a revised timeline for Victoria’s native timber transition: Delivering Certainty For Timber Workers.

This website page is now being reviewed to update details and provide the best information. If you have a specific question, please view the contacts for the support available.

The Forestry Transition Program is assisting the industry to transition from native timber harvesting.

The Victorian Timber Innovation Grants Program provides native timber industry businesses funds to explore, invest and implement new opportunities.

Applications for Round 2 are open now and will close at 11.59pm 30 June 2023.


To assist businesses directly affected by the Forestry Transition Program to:

  • explore, investigate, and implement business transition opportunities
  • undertake capital investment in business transition projects
  • diversify and reorientate core business activities to support alternative employment opportunities
  • develop and implement downstream manufacturing opportunities using alternative fibre
  • invest in new opportunities to process or manufacture plantation timber feedstock and/or alternative fibre.

Funding details

The Victorian Timber Innovation Grants Program will provide grants up to $1 million.

Grants over $1 million may be considered for projects that create a significant amount of jobs and have local community benefit.

Co-contribution requirements

The Victorian Timber Innovation Grants Program requires a co-contribution by the applicant. The provision of cash and/or in-kind resources towards the project is in the program guidelines.

Fair Jobs Code

The Victorian Government’s Fair Jobs Code comes into effect on 1 December 2022.

The Fair Jobs Code allows the Victorian Government to use its purchasing power to promote secure employment and fair labour standards and to ensure compliance with employment, workplace and industrial laws.

Grants of $500,000 and over (excluding GST) may need to comply with the Code – for more information please visit the Buying for Victoria website.

Who can apply

Businesses that meet the following criteria can apply for a Victorian Timber Innovation Grant:

  • hold a current VicForests Timber Sale Agreement, or
  • hold a Forest Produce Licence issued by VicForests, or
  • are a timber harvest and / or haulage business with a current VicForests contract or agreement, or
  • are a harvest and/or haulage sub-contractor to a business with a current VicForests contract and derived  at least 70 per cent of annual revenue from the  VicForests contract holder in the 2020-21 financial year
  • are a seed collector with a contract with VicForests and derived 70 per cent of annual revenue from the VicForests contract in the 2020-21 financial year
  • have an Australian Business Number (ABN)
  • conduct business operations within Victoria
  • meet all the industrial relations obligations as an employer under the Fair Work Act 2009 (Cth)National Employment Standards.

Eligible businesses are encouraged to take part in the Forestry Business Transition Voucher Program to support their application.

Sawmill businesses participating in the Opt-Out Scheme can submit an application to the Victorian Timber Innovation Grant.

How to apply

The Victorian Timber Innovation Grants Program Round Two uses a two-stage application and selection process:

  • Stage one: Expression of Interest (EOI)
  • Stage two: Grant Application

Eligible businesses need to show the project’s ability to address each of criteria outlined in the guidelines. Eligible businesses are required to demonstrate the project’s ability to address each of the Timber Innovation Grants program core criteria as outlined in the guidelines.

Step 1: Before application

Before submitting an expression of interest form, applicants are advised to:

Step 2: Submit an Expression of Interest form

Expression of Interest form should include:

  • a short description of the project
  • how it can support the business to transition away from a dependence on native timber supply
  • outcomes and benefits of the project.

Submit an Expression of Interest form

All Expressions of Interest will be evaluated by a Departmental assessment panel against the eligibility criteria listed in 2.4 and the program objectives. Applicants should note that projects may not proceed to the formal application and assessment process where the project does not meet the objectives of the program.

Step 3: Prepare an application

If successful in the Expression of Interest stage, a Victorian Forestry Plan representative will email the application form link to the applicant.

Applicants have 90 days from the date of invitation to apply to prepare and submit an application.

Extra documentation to support the project should be attached to the application.

This might include:

  • previous research
  • feasibility studies
  • business cases
  • business plans
  • business transition plans
  • business diagnostic plans
  • project plans
  • project budgets
  • costs benefit analysis or letters of support.

Download resources

More information

For more information, visit Victorian Forestry Plan or contact us:

Page last updated: 25 May 2023