Pulp prospects improve

Waimarino Bulletin, Volume 1, Issue 4, 28 June 1983, Page 1

Pulp prospects improve

Thc outlook is promising at the Karioi Winstone Samsung pulp mill despite the $11 million loss recorded in the past trading year.

This is the reaction of management who, after a year of depleted overseas markets, reduced production, capital investment in a new chemical treatment plant and experimentation with a newsprint facility, can now expect to benefit from the recent signs of fmprovement in the international market. Early last year overseas demand for thermomechanical pulp (TMP) declined to a point where production at Karioi had to be cut back to about half its 72,000 tonne capacity. The 100 or so staff employed at the mill were asked to accept a 5-day, 3 shift week and some were made redundant. Late last year a chemical stage (CTMP) was introduced in order to provide a better quality product

to a wider range of customers. Since then, earlier this year, the Karioi mill produced a newsprint quality pulp which has been tested successfully by newspapers using rotary printing presses, such as Wellington's Evening Post. In April the purchase of an additional bleaching plant was approved to increase output potentional from 72,000 to 90,000 air dried metric tonnes per year. World markets for pulp and paper now show signs of improvement and if the trend continues as expected, . the Winstone Samsung mill will be able to take advantage of the several optional pulps they can now offer their customers and thus secure a broader and more stable market base.

Already staff are back on to a 7-day, 24 hour, 4 shift, full production routine in anticipation of the increased demand which should result from the exhaustive marketing appraisal which is about to be undertaken.