The report, Australian Forest and Wood Products Statistics, shows that exports of some forest products grew strongly in the first six months of 2006-07.

"Housing activity has been mixed across Australia, and overall demand for products like sawnwood and paper has been weak in the domestic market. But we have seen some remarkable growth of exports in the past few months to some countries in Asia," said Phillip Glyde, ABARE Executive Director, on releasing the report.

For example, sawnwood exports to Viet Nam increased almost fivefold in 12 months, to reach over 26 000 cubic metres in the December quarter 2006.

Chinese Taipei remains the largest export destination by volume, while China continues to be Australia's largest sawnwood export market by value, with exports reaching over $10 million for the first time in the December quarter 2006.

Woodchip exports have also grown considerably in recent months.

"Despite falling slightly in 2005-06, both the volume and value of woodchip exports rebounded strongly in the December quarter 2006. Compared with a year earlier, the volume and value of hardwood woodchip exports have increased by over 15 per cent," Mr Glyde said.

Japan continues to be the most significant export destination for Australia's woodchips, while most of the growth in woodchip production came from broadleaved plantations in Western Australia and Victoria.