In the early 1900s a significant industry established within the forest and surrounding region harvesting
bark from brown mallet trees (
Eucalyptus astringens), a species of eucalypt which grows on and near
laterite soils in parts of the southern wheatbelt. Bark sent to Germany for analysis was found to contain more than 40% of high quality, water-soluble
tannins suitable for the production of quality leather by the process of
tanning. Seven
steam trains and a
sawmill supported the industry within the woodland. Two dams, Lol Gray and the Old Mill Dam, provided good quality water to run the trains, as well as domestic water supplies that were carted by train to nearby towns including Narrogin. Production after 1959 declined rapidly, coinciding with a world glut, increased royalty and production costs, and increased competition from synthetic tannins. The industry had effectively collapsed by the early 1960s. Replanted forests now extend over approximately 30%, or , of Dryandra. Harvesting from plantation areas for timber production continues under the
Department of Environment and Conservation's management plan, which includes a vision for the area over the next 100 years. Conservation studies have shown that the managed harvesting will have no detrimental impact on the fauna habitat. In 1960, Arthur Hunter, a local farmer, started manufacturing tool handles from naturally fallen and low-grade felled wandoo and mallet. This cottage industry has now expanded to produce over 100,000 tool handles each year. As well as tool handles, fencing materials and cutting of firewood for domestic use provide local employment. ==Noongar use==