Opal Australian Paper has made the final decision to stop the manufacturing of white pulp and paper at its Maryvale Mill, with the site producing its last ream of copy paper on 21 January.
The company’s decision comes as it has been unable to source viable alternative wood supplies to replace the shortfall from VicForests.
“Despite our best endeavours, Opal has been unable to source viable alternative wood supplies to replace the shortfall from VicForests,” the company said.
“As a result of this situation, Maryvale Mill produced its last ream of copy paper on 21 January 2023.
“Given this unplanned situation and after significant consideration and analysis of a range of potential operating scenarios, Opal has made the final decision to stop the manufacturing of white pulp and paper at the Maryvale Mill.”
Having seriously considered this option and consulting with team members and Unions on this matter, Opal said it will now consult further on the impact of this final decision.
Following that consultation, the process will then move through redeployment considerations and into a redundancy process in accordance with Opal’s legal obligations, which it outlined in January.
Opal said it will now strengthen its core strategy as an integrated manufacturer of cardboard fibre packaging in Australia and New Zealand.
“Opal is committed to working closely with our key stakeholders to achieve a successful turnaround at the Maryvale Mill by transforming the site to meet the growing need for fibre packaging in Australia and New Zealand,” it said.
“It is now important to re-set the Maryvale Mill over the long-term as a sustainable, profitable and focused packaging manufacturing site within the integrated Opal business.
“We are continuing to work with the Victorian Government regarding any future support for the Maryvale Mill.
“In addition to Opal’s Employee Assistance Program and other support services, a Worker Support Service has been established by the Victorian Government to support Opal Australian Paper team members affected by stand downs and operational changes as may be required.
“Opal appreciates that the current situation is difficult for everyone and remains committed to continuing to keep our team members, customers and key stakeholders updated on further developments.”
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Opal knew about this over two years ago and didn’t diversify their supply chain knowing what was coming and already being dealt an injunction. Instead of wasting time and money on lost court cases for paper dumping they should have been focusing on their own back yard. Asleep at the wheel and not caring about their customers. Now the government are to pay so the staff can then be hired back on packaging products? Really!?!?