The beginning of the Karioi Pulp Mill

Ruapehu Bulletin, Volume 9, Issue 424, 18 February 1992, Page 8

The beginning of the Karioi Pulp Mill

The mill was originally owned by the Winstone Group, which was later bought by Brierley's, who sold the group to Fletcher

Challenge, who then sold Winstone Pulp International to the present owners, the f Hong Kong based investment company

"Perfect Match". The idea to build the mill originally came from a feasibility study from the Hunt Foundation. Win-

stones wanted to diversify into forestry and had been looking at the South Island, but instead took over the Karioi project.

The Karioi site was chosen because of its proximity to forests, it had a good power supply, fresh water it could use, good roading and the Main Trunk Line alongside. They developed the project in conjunction with Samsung, a Korean group, who had a 10 per cent share. Samsung were to take 70 per cent of the pulp produced, but with the changing market, they took less and less. Their share was eventually bought out by the Winstones Group. Tough start "The first ten years were extremely difficult for the company. Very early on the mill wasn't running as efficiently as it could and it wasn't producing as good a quality pulp as possible," said man-

ager Dave Anderson. Things are different now though (see marketing story). "It is pleasing to

note the steady acceptance of the pulp mill in the Waimarino. It is now seen as a key industry in the area."