Posted July 12, 2019 07:51:56We’re a world-class manufacturing hub, a global player in the global economy, and we need to keep that manufacturing going.
This papermakers business model, like most of Australia’s, relies on the export of our raw materials, raw materials that we have to import to make our paper products.
The papermakers industry has been growing over the past three decades.
In fact, Australia has become one of the top papermakers countries in the world, according to the World Paper Market Report released by the Australian Papermakers Association.
Australia is a top papermaker economy, with the Papermakers Productivity Index at 7.4 per cent, which is the highest among all the countries surveyed.
And yet, the industry has struggled to compete with the surging demand for other sectors, including the electronics, chemicals, construction and food industries.
The Australian Paperworks Association is calling for an overhaul of our papermaking industry, including reducing the price of our products.
The organisation’s president, Richard Mascot, said that our papermakers are being overpaid for raw materials.
“We’ve had this big wave of demand and we’ve had to keep up with the price,” he said.
“The reason that we’re so overpaid is because we’re doing so much more than we’re paying for the raw materials we use.”
For example, we’re manufacturing things like fibreboard, which has been around for 100 years, and now we’re producing that fibreboard with a different process and a different product, which isn’t our own product.
“Richard Mascots comments on the paper mills’ future in AustraliaThe biggest issue with Australia’s printing industry is the high cost of raw materials like paper.
The ABS’s paper manufacturing industry is at the mercy of global commodity prices, as demand for Australian paper has been on a steady rise over the last decade.
In 2016, Australia’s economy expanded by 2.3 per cent year on year, which was the highest annual growth rate in the developed world.
However, this has been accompanied by falling prices for raw paper.
The Australian Bureau of Statistics has said that paper prices have been falling since the start of the year.
While the Australian Government is keen to diversify its economy away from the paper industries, it’s not going to do that by privatising the industry.ABS chief economist, Dr Michael van Essen, told AM that the ABS would keep paper mills in the national capital region, but would also allow the state and territory to run their own businesses.
He said that it was important to make sure that the national economy was not under-served by the paper industry.”
That means not just the paper, but the paper mill itself, is not being allowed to be privatised.
The industry is under-supplied and under-regulated,” Dr van Essens said.”[The paper mills] are under-performing in terms of their productivity, so if they’re not doing anything right, then the whole economy is under the knife.
“The government has said it is interested in exploring a future for the paper companies in the Australian Capital Territory, but not at the moment.
The ABS has also said that the state-owned papermakers union is looking at options for a transition to a new business model.”
We believe it is important that the paper businesses stay in that region.”