Hard-working Gippslanders are continuing to pay the price for the Labor-Greens illogical decision to shut down the native hardwood timber industry, according to Federal MP Darren Chester.
Mr Chester said the announcement of a further 84 job losses at the Maryvale Mill was a direct result of the ‘environmental and economic madness of the Labor Government and the Greens’.
“It is devastating news for the workers and their families that more jobs will be lost at the mill which has been such a critical part of the economic life of the Latrobe Valley,” Mr Chester said.
“I have been reassured by Opal executives that workers will receive their full entitlements, but the loss of jobs will have a widespread impact on the region.”
In its statement, Opal said the Maryvale Mill suffered substantial losses due to the Victorian Government’s failure to meet its contractual obligations under the Wood Pulp Agreement. In late 2025, Opal commenced court action arising from the Government’s failure to supply wood in accordance with the Agreement.
“The end of white paper production has significantly changed the operational footprint of the mill, and the site has been working hard to right-size its operations as a kraft and recycled paper manufacturer. This has included ongoing fixed cost reductions to align with its reduced footprint,” the statement said.
Mr Chester said the announcement demanded direct action from the state and federal governments to develop a well-funded economic transition plan in consultation with local community leaders.
And it also reinforced the need to save the hardwood timber industry across Australia from the Labor-Greens.
“We need governments which are prepared to work with the private sector to create jobs in the Latrobe Valley and not continually undermine our traditional strengths in energy and manufacturing,” Mr Chester said.
“At state and federal levels, the Labor Party has failed to back the timbers workers and recognise some of Australia’s leading forest scientists who support the sustainable hardwood timber industry.
“Labor at state and federal level has demonstrated complete and utter contempt for the forest industry in Australia over the past 20 years.
“Driven by their desperate need to secure Green preferences in the city, Labor leaders have sold out blue-collar workers in regional communities. Thousands of jobs have already been lost, communities have been destroyed, and the regions are less safe because we have lost the equipment and the skilled workforce which we’ve always relied on during major bushfire events.”
