International Plywood, based in Gloucester, UK said it has suspended all future purchases from a Tasmanian timber company under pressure from environmental groups.

The company found itself in the crossfire between green groups and the Tasmanian timber industry after it was named last month as the supplier of plywood from the Australian island state to a London Olympics build project.

The product, used for flooring in the £20m SportsDock training venue at the University of East London’s Docklands campus, was PEFC-certified, meeting the Games’ strict timber procurement policy.

But campaigners claim Ta Ann uses wood from “old growthforests in Tasmania.

Ian Atwood, managing director of International Plywood, said the company had now decided to suspend purchases because of continuing controversy and question marks concerning logging in Tasmania.