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FACTS AND FIGURES
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ALLIED NATURAL WOOD EXPORTS/ SOUTH EAST FIBRE EXPORTS PTY LTD

ACN: 607 144 08

ACN 000 604 795
Company Profile

Corporate
Environment and Markets
The Future

Annual Reports to Australian Securities and Investments Commission
 


The main Nippon Paper subsidiaries in Australia are
:

1. PAPER AUSTRALIA PTY LTD  (Inc. NIPPON PAPER AUST. PTY. LTD)
2. NIPPON PAPER RESOURCES AUST PTY LTD Former name: NIPPON PAPER TREEFARM AUST PTY LTD
3. SOUTH EAST FIBRE EXPORTS PTY LTD
4. WA PLANTATION RESOURCES  PTY. LTD.

On 23 December 2015, the Eden chipmill was bought by Allied Natural Wood Exports. All the current signs are that in the short term, at least, its business will remain very similar to SEFE. For three years in a row, the Eden chipmill made losses and only made a small profit in 2014 because it started logging its own plantations. It cancelled its supply contract with VicForests, which supplies 200,000 tonnes of logs a year. Nippon Paper will continue to buy Eden woodchips, causing even more damage to the region's forests.
Corporate
South East Fibre Exports Pty Ltd (SEFE) is the owner of the Eden woodchip mill, until 23 December 2015 it was a subsidiary of Japan’s biggest paper manufacturing company, the Nippon Paper Group Inc.
Eden was Australia’s first woodchip mill, set up in 1969 by the Daishowa Paper Manufacturing Company of Japan and was the first overseas operation of that company. Woodchip exports commenced in December 1970.
Nippon Paper took over Daishowa in 2001 and the Australian subsidiary changed its name from Harris-Daishowa to SEFE in 2003.
The Eden chipmill uses mainly native forest trees, most cut down solely for woodchipping. It does not use waste wood and, indeed, cannot process branches, butts or crowns. It can only chip whole tree logs.
Eden is the only region in New South Wales where trees are felled solely for woodchipping. This has led to very large scale logging operations, with virtual clear felling the norm.
Since its establishment it has exported over 35 million tonnes of native forest chips, mostly to Japan and mostly to paper mills owned by its (then) parent company in Japan.

After Tax profits in $A

1989 1990 1991 1992 1993 1994 1995 1996 1997
9,348,609 8,199,570 6,292,798 6,084,308 6,038,351 10,347,751 12,981,967 6,839,580 9,063,146
1998 1999 2000 2001 2002 2003 2004 2005
11,775,732 5,983,063 7,763,403 6,446,910 6,264,013 7,265,748 6,060,015 7,968,447
2006 2007 2008 2009 2010  2011 2012 2013 2014
6,859,580 9,063,146 10,907,529 3,888,013 4,441,756 (126,430) (2,644,516) (1,137,698) 2,108,908
Environment and Markets

In recent years, however, improved environmental policies and quality standards by Nippon Paper have placed the Eden operation under some pressure and are forcing it to adjust to a changing market.
Exports of woodchips in Green Tonnes
1997 1998 1999 2000 2001 2002
700,123 666,830 704,264 712,758 760,993 711,378
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
794,433 838,600 854,550 1,060,407 1,071,841 977,074* 796,850 1,033,195* 922,551 766,161* 705,496** 674,255

* includes some plantation pine chips
** includes approx 125,000 tonnes pine chips

Nippon Paper has a policy to import only ‘plantation’ or ‘certified’ chips by the year 2008. Unfortunately the company has accepted the discredited Australian forestry Standard (AFS), which it "achieved" in 2007.This is a business-as-usual outcome devised by former Federal Forestry Minister, Wilson Tuckey.
Even without the strictures of a reputable form of certification, NP’s quality standards are also causing some problems for SEFE.
From 2004, Nippon Paper has advised SEFE that it will only buy highest quality chips, from the younger trees of regrowth forest, but dropped this policy the following year.
The paper industry pays a higher price for regrowth or plantation chips because these have a longer fibre length, are stronger and lighter coloured, more suitable for producing high quality bright white paper. Pale coloured timber requires less bleach.
 


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The Future
SEFE now processes and exports up to 150,000 tonnes of plantation softwood chips per year (only 125,000 tonnes in 2013). This is a move in the right direction, but the market for pine chips has crashed.
SEFE survived the Global Financial Crisis in better shape than the Tasmanian industry, but because its new customers are paying in $US rather than $A (like contracted Japanese buyers) it must export more woodchips to earn less.
Australia’s chips have historically been among the cheapest in the Pacific and Eden chips are the cheapest in Australia, but are now the most expensive because Nippon paper is paying an inflated price for them. The high $A has caused problems for it.
How SEFE fares in the future will depend on how deep the pockets of Nippon Paper are.

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South East Fibre Exports


Nippon Paper Resources Australia Pty Ltd.
Financial Statement 2013
Financial Statement 2012
Financial Statement 2011


 

WA Plantation Resources  Pty Ltd
Financial Statement 2011

 


Paper Australia Pty Ltd (includes Nippon Paper Australia Pty Ltd)
Financial Statement 2013
Financial Statement 2012
Financial Statement 2011


Nippon Paper Australia Pty Ltd.
For statements post 2010, see Paper Australia Pty Ltd
Financial statement to ASIC for year 2009
Financial statement to ASIC for year 2008


 

Allied Natural Wood Exports Pty Ltd (purchaser of the Eden chipmill 23 December 2015)
· Current & Historical Company Extract ASIC
· Change to company details
· ASIC Application for registration as an Australian company

 

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