$2 billion investment to expand Visy’s operations in Australia
Opening of stage 3 of investment in high-tech Tumut mill
Anthony Pratt will invest billions of dollars into his cardboard and recycling empire, which is expected to create 5,000 new jobs over the next decade. The money will go towards a major expansion of Visy’s Australian operations.
“The $2 billion investment pledge
I’m announcing will be spent expanding Visy’s manufacturing capabilities throughout Australia including new investments in clean energy,” he said.
“We are one of the most environmentally committed companies and so much of the $2 billion will be spent on technologies that not only create those high-paying manufacturing jobs, but also enhance sustainability and energy security.
“At the end of the 10-year investment program, Visy’s total investment in Australia will be $8 billion in today’s terms, and we will have created a total of almost 30,000 direct and indirect jobs,” he said.
Mr Pratt made the announcement with Prime Minister Malcolm Turnbull at the opening of Visy’s $1.1 billion pulp and paper mill at Tumut. The Tumut mill has recently received a $100 million upgrade.
“This shows what investment does. You know everything my government does is designed to encourage Australian businesses to invest. Why is that? Because it delivers jobs,” the Prime Minister told those attending the official function.
“What you’ve got here is a demonstration of what you can do with the right technology, the right leadership, the right vision, the right investment. And we’re providing the incentives.
“In an industry which many people are pessimistic about - manufacturing - you’ve demonstrated that Australians can do anything and be world leaders and you are,” the Prime Minister said.
The high-tech mill manufactures paper from plantation pine logs and sawmill residues and its annual production values exceed $500 million, with more than 60% of the paper exported around the world.
The Tumut project contributes around $1.5 billion of economic value to the Australian economy every year, plus major other regional benefits.
The project has created and sustains more than 3,000 permanent Australian jobs. These include 300 people employed within the mill itself, from engineers, computer operators, papermakers, environmental technicians to finance and marketing specialists.
A further estimated 750 direct jobs are within forestry, transport, contracting and servicing sectors, mostly in the South West Slopes region. These include 800 highly-skilled special maintenance workers who are brought into the region every year for essential annual maintenance of this technically-advanced mill. Flow-on employment generated within the region, the state of NSW and nationally, add another 2,100 permanent jobs.
Add to this the bog construction impacts with the most recent $100 million upgrade works employing around 1,400 construction workers throughout the two-year period.
This is stage three of a program of continuous investment in the Visy Tumut site, starting in 1998 with $450m, then a further $550m in 2007 and this $100m completed in 2017.
Anthony Pratt and Prime Minister Malcolm Turnbull at the Visy Tumut mill.