The Milling Industry
Preparing logs for milling at a large city mill 
A small country mill cutting blackwood The solid timber sawmill industry is comprised of large automated hardwood mills (the largest of which would be considered a small-medium mill in world terms), small country sawmills, plantation mills and veneer mills. The five largest mills produce around 75% of the state’s total sawn timber output. In contrast, small country sawmills make up more than 70% of the total number of mills operating in the state. At present there is one medium-large and five small plantation softwood mills producing sawn timber products. The state also has two large hardwood veneer mills and a small special species timber veneer mill.
The milling industry also includes panel, pulp and paper mills. Tasmania has one particleboard mill (using softwood sawmill residue). There are two integrated pulp and paper mills operating, the Wesley Vale mill produces printing and writing papers, while the Boyer mill produces newsprint and some lower grade printing papers. The Burnie mill produces printing and writing paper from imported pulp.
Portable sawmills are a newly recognised facet of the overall industry and contribute small quantities of sawn timber to larger mills, the craftwood industry and local markets. The majority of large sawmilling companies in Tasmania have integrated their activities to include harvesting operations, sawmills (some own veneer mills as well), chipping facilities and drying and finishing processes. The smaller companies generally concentrate on a niche product, often marketing sawn green timber to larger companies for drying, dressing and resale.
The craftwood industry is mainly comprised of small miller/makers who generally process a log right through to the furniture or gift-ware stage. These operators may only use between 5 and 10 cubic metres of timber a year, and their business is often integrated with aspects of the tourism industry.