Gunns have now publicly admitted that the land clearing that they have been growing fat on for decades is no longer tolerated
Not by the overseas banks, joint venture partners or anybody that matters to their bottom line.
Gunns bet the company on a massive project that they could never afford to begin with.
Pulling out of the pulp mill now means losing the company.
In desperation they have contradicted everything they have ever said and announced ‘100 percent plantation from start-up’ in an ASX release.
Problem.
Tasmania does not have enough plantation output to supply even half of the mills input.
Seems like Gunns got the pulp mill location on the wrong side of Bass Strait.
To make it economical they need more plantations in Tasmania.
As if by magic, ‘environment’ groups appear calling for more tree plantations to end logging ancient forests.
An important contract with Forestry Tasmania for millions of tonnes of old forest is retained as a threat to the unconverted.
Suddenly everybody is singing from the same song sheet.
Gunns simply activated their environmental ‘sleepers’ to achieve this outcome.
With an election looming, the population is wondering who is left in the debate.
It must be over.
In the meantime those critical last plantations go in and the Tamar Valley mill site becomes viable again.
You can thank a lot of boutique environmentalists for not noticing they had been quietly compromised by the logging industry.
