Video: Koalas scramble for lives as loggers clear trees on Australia's Kangaroo Island

Anger is growing amid claims loggers have killed hundreds of koalas while felling trees at one of Australia's most popular tourist hotspots. 

It's alleged loggers on Kangaroo Island have cut down kilometres of blue gum trees, which are prime koala habitat. 

Blue gums usually grow to about 55m in height and koalas often perch high up in the tree canopy to avoid ground predators. 

The scared marsupials can be seen scurrying for their lives as the trees crash to the ground in disturbing footage obtained by 7 News. 

Conservationists are gob smacked and believe hundreds of koalas are dying. 

"It blows my mind that it's being allowed to happen," said Katie Welz of the Kangaroo Island Wildlife Network. 

In another video, a koala hangs onto a branch swaying wildly at the top of a tree before it falls dozens of metres to the ground. 

The region was hit hard by bushfires four years ago, killing 80 percent of koalas. 

Logging business Australian Agribusiness Group (AAG) said in a statement it's "providing the highest possible level of protection to the local animal population".

Loggers have been clearing hundreds of blue gum trees from Kangaroo Island, near Adelaide, destroying native habitat that koalas live in.
Loggers have been clearing hundreds of blue gum trees from Kangaroo Island, near Adelaide, destroying native habitat that koalas live in. Photo credit: 7 NEWS (Australia).

But the Mayor of Kangaroo Island, Michael Pengilly, said the issue is being blown out of proportion. 

AAG are "very cognisant of animal welfare", Pengilly said, but he conceded "every now and then, one [koala] will probably go down".

Loggers claim they use spotters and thermal imaging to check for koalas and bypass trees with koalas. 

However, clearing koala habitats like blue gum trees means populations become isolated and could even cause extinction, according to Bush Heritage Australia. 

Campaigners want the logging paused until a solution is found. 

Kangaroo Island is Australia's third biggest island, at just over 4400sqkm in size and is about 10km off the coast of Adelaide.