Canberra: Australia's largest remaining tract of tropical rainforest was handed back to traditional Aboriginal owners on Wednesday, reversing 30 years of state government opposition to indigenous control.

In the remote northeast Cape York Peninsula, the Premier of conservative Queensland state Anna Bligh handed over 1,800 sqkm of the sprawling McIlwraith Range to become an indigenous-owned national park.

"Half of Australia's butterfly species are found here, so it's a jewel in the crown of our Australian protected area estate," Australian Conservation Foundation (ACF) spokesman Don Henry told local radio ahead of the handover in Coen township.

Cape York, an area larger than Greece with a human population of just 18,000, is one of Australia's largest wilderness areas with sprawling cattle stations and savannas containing carbon sinks vital to the global climate. It also has more orchid species than any other area in Australia and is home to endangered birds such as the cassowary, a large flightless species.

Battleground

The region has, since the 1970s, been a battleground between successive governments determined to protect farm owners, environmentalists wanting to protect its biodiversity and Aborigines determined to reclaim traditional lands.

The Balkanu Cape York Development Corporation, which promotes economic development for Cape York Aborigines, said it was worried environmental concerns could stifle economic opportunities the park could bring to disadvantaged locals.

Aborigines have inhabited Australia for 45,000 years and have the world's longest-living culture.