The Illegal Logging Prohibition Amendment Act 2024 and associated Rules will introduce significant updates to compliance obligations for timber importers and processors in Australia starting 3 March 2025. The reforms, announced by the Department of Agriculture, Fisheries and Forestry of Australia, aim to streamline risk assessments, enhance enforcement, and support adherence to due diligence requirements.
The new Rules will replace the Illegal Logging Prohibition Regulation 2012, simplifying risk assessment methods and introducing new compliance pathways:
- Revised risk assessments: The existing three methods will be replaced by two pathways—one for certified timber and one for non-certified timber.
- Repeat due diligence exception: Importers and processors can rely on prior risk assessments for the same timber or timber products from the same supplier within a 12-month period, irrespective of certification status.
- Processor exemption: Businesses harvesting their own raw logs will no longer need to meet due diligence requirements for those logs.
- Advance notice requirement: A future requirement to notify the department before importing or processing timber will be implemented once a new IT system, currently in development, is operational.
Enhanced enforcement and transparency
The new laws will grant the department additional powers to encourage compliance:
- Timber testing technologies: These will be used at the border to verify species and origin claims. A recent trial is informing the rollout of this initiative.
- Publication of non-compliance: Details of serious or repeated breaches will be published, encouraging legal sourcing and educating consumers.
- Flexible enforcement options: These include injunctions, enforceable undertakings, and tiered penalties to address violations proportionally.
To assist businesses in adapting to the changes, the department will focus on education and guidance during the first six months of implementation (March to September 2025). Audits conducted during this period will prioritize support over penalties for issues related to the updated requirements. However, compliance with unchanged obligations will still be enforced.
New guidance material will be provided ahead of the March 2025 deadline to help businesses meet their obligations.