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Australia : Government keeps regional sawmillers in state
Publish Date : 09-Apr-2015
The Hodgman Liberal Government’s Plan to keep sawmillers in the industry has been a resounding success with at least eight regional sawmillers now staying in Tasmania, securing dozens of jobs. The original Labor-Green sawmillers package was used to shamefully buy sawmillers out and make them exit the industry. In stark contrast, this Government is using that same fund to not only retain jobs, but create more, and all without putting in any extra money.
In the case of Barbers in Launceston, this scheme has not only protected jobs at the mill but will allow the operators to put on more staff. Barbers was one of the mills who took a deferred exit package under the Labor-Green Government after they shut down the industry, forced Tasmanians out of a job and deprived the private sector of processing options and local markets.
In stark contrast, this Government offered sawmillers a choice – take the money and leave or take just a portion of it and stay and help us rebuild the industry. Barbers is doing exactly that, staying in the industry and I’m pleased to announce that the operators have won an open tender process to secure supply of an additional 6000 m3 of high quality sawlogs per year for at least the next five years.
This is excellent news and a good win for Northern Tasmania. By building the capacity of sawmillers, like Barbers, we are growing the industry from the ground up. Barbers already employs around 20 people and winning the tender gives them security to invest in and continue to grow their business. Managing Director, Graham Barber says winning the tender gives the business better certainty of supply.
“We’re planning to purchase some new equipment and we might possibly need more people – up to six more people,” said Mr Barber.
Forestry Tasmania ran the competitive tender process after previous contracts were surrendered. The Tender was open to all local industry participants including existing FT sawmill customers, in an open, competitive and transparent process. To date four sawmillers have taken the Structural Adjustment Buyback program with another four opting for the Low Level Commercial Processing option. Decisions on the remaining sawmillers are expected to be finalised this week.
We are now heading in the right direction to reverse the Labor-Green damage and rebuild the industry by securing these sawmillers and keeping that capacity in the market. The Liberal Government has a plan and we are implementing our Plan – unlike Labor who still have no policy, no plan and no credibility.
