GFC hits Eden Chipmill

After all the gloom we have to report on here’s a little something to warm our hearts and bring us hope…

The insatiable monster that consumes most of East Gippsland’s forests is the Eden woodchip mill. Without that, logging would stop. Could it possibly be on the way out?

Apparently the global economic downturn is affecting the chipmill and some shipments have been cancelled (there is the odd silver lining to this economic crisis storm cloud). Paper is very sensitive to economic fluctuations and the current downturn is hitting it hard. By Feb – March ‘09 they could be in real strife if the financial world is still in free fall. We wonder if Nippon Paper (owners in Japan) told this mill that change is in the air.

Remember, dozens of chipmills and pulpmills are closing down in North and South America and Europe. One more here in Australia would hardly be noticed in the big picture. April 1st is the start of the Japanese financial year, the date on which significant corporate changes usually take effect.

The mill managers are desperately lobbying governments for approval to burn native forests as renewable energy. No way in the world will any self-preserving government allow that insanity! Even Mr 5% Rudd.

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