Overview

The development of the Australian paper industry and the Victorian forest industry are intrinsically linked. The research undertaken to use short fibred eucalypt pulps to replace imported long fibred softwood pulp in the 1930’s represented a major technological triumph for Australia. What began in 1868 on the banks of Melbourne’s Yarra River, today contributes over nine hundred million dollars annually to Australia’s gross domestic product.

The major products of the Australian paper industry today are the linerboard and corrugated paper used by the fibre box industry, newsprint, printing and writing paper, bag, sack and other industrial papers, cartonboards, tissues and towellings.

There is a document describing the history of making paper available here and this paper describes the positions of the three major companies that arise from this history of plantation expansion and pulp and paper making.

History of Paper Making in Australia and the Role of APM Forests

The paper making industry in the Australian colonies was founded on rag and waste paper. High international freight costs meant wood pulp was not available.

Because the world’s pulping industry was based on the softwood forests of Europe and the Americas, the Australian papermaking industry remained static for decades.

During the Depression, which commenced in 1929, APM Ltd was concerned with its growing imports, particularly of bleached and unbleached sulphite pulp from the long fibres of the world’s softwoods. It employed scientists, LR Benjamin and his assistant RB Jeffreys during the 1930’s to find a local replacement using the short fibres of Australian eucalypts. The Kraft tests, using three batches of Eucalyptus regnans, were undertaken at the Kraft digester at the Botany Mill NSW, and gave the promise of a pulp which was easy to bleach.

Further testing showed:

• that the age of the wood was just as important as the species of tree
• the area where the species grew was of paramount importance – young E. regnansfrom eastern Victoria was much superior to that from southern Tasmania
• fine printing papers could be made from several eucalypt species
• by adding some long fibre pulp to the pulp made from Australian eucalypts, excellent newsprint could be made for high speed printing presses

The Maryvale Mill

In 1936, APM decided to build the Maryvale Kraft mill in the Latrobe Valley. In December of that year, the Victorian Parliament gave APM the right to log timber in the eastern forests.

Maryvale Mill Gippsland was established in 1937. It was the pioneer of a new type of wood pulp production, not only in Australia but globally, using native eucalypts through the technique known as the “Kraft” process. By 1939, this new Kraft mill had an annual capacity of 28,000 tonnes of wood pulp.

In 1986, Australian Paper Manufacturers was renamed AMCOR Limited.

In April 2000, AMCOR demerged its business printing papers to focus on global packaging. The spin off company was named Paperlinx (which included Australian Paper and Australian Paper Plantations Pty Ltd).

In June 2009, Paperlinx’s manufacturing business - Australian Paper – Maryvale Mill Latrobe Valley Victoria was sold to Nippon Paper Group Inc. of Japan.

In 2018, 80 years of papermaking at Maryvale Mill was celebrated.

Today (2019) Maryvale Mill is an integrated pulp and paper mill, producing both wood pulp and paper, owned by Australian Paper, (a subsidiary of the Nippon Paper Group of Japan)

APM Forests (APMF)

APM Forests was formed in 1951 by Australian Paper Manufacturers (which became a wholly owned subsidiary of AMCOR Ltd.) with the primary aim of supplying pulpwood to the Maryvale Mill through the establishment of a plantation base and co-ordination of pulpwood harvesting.

APM Forests operations included:

• Growing, harvesting and transportation of APMF plantation grown pine and eucalypt to Maryvale Mill
• Negotiating wood price and supervising the supply of wood and wood chips from State Government and private suppliers
• Growing, harvesting and transportation of APMF plantation grown sawlogs to APM Wood Products Sawmill Morwell
• Sales of logs and seedlings to external customers
• Establishment and maintenance of plantations
• Research and development in tree breeding and tree growth

By 2001, APM Forests gross land holding (including freehold and leasehold land) in Gippsland was 85,000 hectares. Of this land base:

• the net productive plantation area was some 62,500 hectares comprising 42,500 hectares of pine plantations; 7000 hectares of eucalypt plantations; 7000 hectares of eucalypt native forest and with plantation land awaiting replanting ( following plantation clear falling) of some 6000 hectares
• The non-productive land base of some 22,500 hectares across the estate comprised land for roads; firebreaks; riparian strips; swamps; mineral resources; housing area; power transmission lines etc
• The annual plantation establishment rates averaged from 1500 to 2000 hectares per annum

By 2001,the volume of wood harvested from both from APM Forests plantations and State Forests was approximately 1.4 million tonnes per year.

In 2001 APM Forest plantations were sold to Hancock Victorian Plantations (HVP).

Timeline of Paper Making in Australia as Related to APMF Development