Australian Paper, Melbourne, Australia, a member of the Nippon Paper Group, Tokyo, Japan, announced this week that, following a lengthy review, it will close its manufacturing facilities in Shoalhaven, NSW during 2015. 

Peter Williams, Australian Paper’s COO, said that despite the best efforts and ongoing support of employees at Shoalhaven during a difficult number of years to remain competitive, the market for specialty and security papers such as cheque and watermark papers has continued to experience a significant and sustained drop in demand. Unfortunately, this has made ongoing operation of the site progressively unviable for the company. 

"This situation has left us with no choice but to close the Shoalhaven facility, which will result in the loss of 75 jobs. The exact timing of the closure is yet to be finalized but production will cease during 2015, taking into full consideration the needs of our valued customers," Williams said. 

"We understand this decision will be difficult for employees at Shoalhaven who have witnessed machine closures at the site in recent times as market conditions have deteriorated. We greatly appreciate their sustained hard work and commitment over many years. As we work through the details of the closure with employees, and their respective unions, I want to assure them that we will be there to help them through this process," he added.

Australian Paper is the only Australian producer of office, printing, and packaging papers. AP directly employs more than 1,250 people and produces (currently) more than 600,000 metric tpy of paper products for Australia, New Zealand, and export markets. It has two mills: the scheduled-to-close Shoalhaven Paper Mill and the Maryvale Mill (Latrobe Valley, Victoria).