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Wednesday, December 14, 2005

Deal saves sawmill

The Mercury: Deal saves sawmill [15dec05]

THE Branxholm sawmill has saved it future by becoming the first company to sign a softwood contract with Taswood Growers.

From 2007 the Branxholm sawmill will be supplied with 30,000 tonnes of pine logs.

Mike Claridge, regional manager of Rayonier Tasmania, which manages Taswood Growers' plantations, said the deal was part of a tender process for 600,000 tonnes of pine logs.

Mark Clydesdale, general manager of sawmill owner Aspect Packaging, said the deal ensures the ongoing viability of the mill and future employment.

The new deal represents an increase from the 22,000 tonnes of small pine logs presently being processed.

It produces 11,000 cubic metres of timber for cases, pallets and bins to transport apples, potatoes and squash in Tasmania and Victoria.

The sawmill also sells woodchips to the Carter Holt Harvey medium-density fibreboard plant at Bell Bay.

Taswood Growers is a joint venture between Forestry Tasmania and international forest industry investor GMO Renewable Resources.

Mr Claridge said negotiations were continuing with other tenderers, including Auspine.


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