Amcor to Close Petrie Recycled Cartonboard Mill in Australia - Papermart

Amcor to Close Petrie Recycled Cartonboard Mill in Australia

February 19, 2013

Amcor said that it has made the decision to close its Petrie recycled cartonboard mill, located in Queensland, Australia. The mill employs 160 people.

In Amcor’s half-year 2012 statement, within its “Australasia and Packaging Distribution” business, “Fibre” segment, the company said, “Earnings for the half were lower due to a reduction in earnings at the recycled cartonboard mill in Petrie, Queensland. Due to several structural changes in the competitive environment the mill is no longer covering its cash costs.”

“We have been advised that at least 160 positions would be made redundant and the closure of the mill will begin in September”, said a news report.

The Petrie Mill began operation in 1957. Since that time the mill has undergone numerous grade changes and investments. In 2004, Amcor invested $55 million in a wet end rebuild and in 2005 the mill’s annual production capacity was increased to 140,000 tons. The Petri Mill consumes over 120,000 tons of waste paper and cardboard annually.