February 27, 2026
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Australia’s last white paper manufacturer to close in Latrobe Valley

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Australia’s final white paper manufacturing plant is to shut over a shortage of wooden stemming from logging disputes, marking the tip of an period.

Manufacturing of white pulp and graphic paper at Opal Australian Paper’s Maryvale mill in Victoria’s Latrobe Valley has completely ceased, that means as much as 200 job losses.

White paper manufacturing on the mill was affected late final yr after state-owned provider VicForests was ordered to reduce harvesting.

“Regardless of our greatest endeavours, Opal has been unable to supply viable different wooden provides to exchange the shortfall from VicForests,” Opal mentioned in a press release on Wednesday.

“On account of this case, Maryvale mill produced its final ream of copy paper on 21 January 2023.”

The Victorian Supreme Courtroom in November discovered VicForests didn’t adequately survey logging coupes for 2 protected possum species in a choice it’s interesting.

Manufacturing staff had been standing down however had been being paid till the center of this month beneath a Victorian authorities assure.

Opal’s Japanese mother or father firm Nippon Paper Group introduced the closure of the mill, which opened in 1937 and is likely one of the area’s largest employers.

It is the most recent blow to the Latrobe Valley forward of the scheduled closure of the Yallourn and Loy Yang A coal-fired energy vegetation in 2028 and 2035 respectively.

The Building, Forestry, Maritime, Mining and Power Union blamed the early finish of white paper manufacturing in Australia on the Victorian authorities’s mismanagement of the sector and Opal’s “bumbling” method.

“Each the federal government and the corporate didn’t take the actions we implored them to take with the intention to stop this disastrous final result,” the union’s nationwide secretary Michael O’Connor mentioned.

Australian Manufacturing Staff Union’s Gippsland organizer Steve Dodd mentioned Opal wished to make 32 of its upkeep staff redundant.

The AMWU and the Electrical Trades Union might take the corporate to the Honest Work Fee to contest the proposed redundancy numbers after a interval of session.

“It has been an absolute farce,” Mr Dodd advised AAP.

“We have requested for a complete vary of data. They only come again bullsh—ing to us. They have not genuinely tried to mitigate the influence.”

Workplace Manufacturers noticed the closure coming after the mill began winding again operations.

They have been sourcing paper internationally and are calling for an finish to white paper import tariffs given there is not any longer an Australian trade to guard.

“I do not suppose anybody else goes to set it up in Australia except they get the identical degree of safety Opal had from the federal authorities,” chief government Adam Pleasure mentioned.

“The paper goes to proceed to be dearer, particularly whereas the tariffs are in place.”

There’s a 5 p.c tariff on paper and paper-related items, which the Division of International Affairs and Commerce described as “low”.

In a press release to AAP it careworn that free commerce settlement companions, together with main suppliers like China and Indonesia, have duty-free entry into Australia.

The Victorian Forest Alliance mentioned the mill had pushed the decline of threatened species for many years and a 30-year contract with Nippon to provide woodchips from Victorian native forests till 2030 was by no means going to be sustainable.

The Victorian authorities is working with the corporate to attenuate redundancies and provide help companies to affected staff.

“It is actually necessary the corporate, Opal, stands with their staff,” senior minister Ben Carroll advised reporters.

In 2019, Premier Daniel Andrews mentioned a $120 million trade help bundle would safeguard jobs on the Maryvale mill after asserting a ban on native forest logging by 2030.

“Daniel Andrews mentioned these jobs can be protected. These jobs at the moment are going. It is a travesty,” deputy Victorian Liberal chief David Southwick mentioned.

-AAP



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