‘Trouble at mill’ has paper customers looking elsewhere.

 

Uncertainty over local production of A4 copy paper has prompted several firms to offer alternative supply lines in the critical back-to-school period and beyond.

 

GP Singh, managing director of Nadoli (Premier Stationery), said the company was now able to offer ongoing supplies of white A4 and A3 copy paper, sourced from Canada and other overseas markets. 

 

Singh told Office Products News that with the commencement of the 2022/23 BTS season, the company can also offer supplies of exercise notebooks that meet the requirements of particular state schools.

 

As previously reported, Japanese-owned Opal Australia Paper’s manufacturing plant in Victoria's Latrobe Valley may stand down some workers ahead of Christmas and has flagged the potential for permanent job losses because of a timber shortage due to industrial action.

 

According to a report in Print 21, both Ball & Doggett and Spicers have assured the commercial print market that they have alternate supply lines to the 1000 tonnes a week of uncoated wood free paper (UWF) that was being produced for local printers by Opal Paper at its Maryvale Mill. 

 

Tony Bertrand, national marketing manager at Ball & Doggett, told Print21 that, “There is no issue for us, we have alternative products readily available.” Similarly, David Martin, managing director of Spicers said, “We have no problems, we have been making alternate plans for some time now, and have supply lines firmly in place.”

 

According to Industry Edge’s Annual Strategic Review output from 2021-22 the Maryvale mill produced 255,000 tonnes of paper, of which 51,000 tonnes were UWF for local consumption, as well as 116,000 tonnes of copy paper, with the remaining 88,000 tonnes exported.

 

Opal considering options

 

On 14 December, Opal issued the following statement:

 

“While we are pursuing substitute wood supply possibilities, this difficult situation is expected to impact white paper production on or around 23 December.

 

“There are currently no stand downs in place, however it is anticipated there will be temporary stand downs for some workgroups which may commence in January 2023.

 

“As the availability of viable alternative wood supply remains uncertain, Opal is considering a number of different operational scenarios in the longer term, in the case that viable alternative supply is below the required volume or not able to be supplied.

 

“This is a complex and ever-changing situation and no longer-term decisions on operational changes have been made at this stage.”