Gunns

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Gunns Limited (ASX: GNS) is a major forestry enterprise located in Tasmania, Australia. Founded in 1875 by brothers John and Thomas Gunn, it is one of Australia's oldest companies. It has over 900 square kilometres of plantations, mainly eucalyptus trees. It is Tasmania’s biggest private land-owner. The company employs over 1200 people and has a turnover in excess of AUS$600 million. Gunns also runs retails stores throughout Tasmania including several Mitre 10 outlets and the Tamar Ridge winery.

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[edit] Environmental criticism

The company has been the focus of criticism from environmentalists, primarily for its four woodchip mills which produce 4 million tonnes of chips for export annually. Green groups claim that native forests are harvested specifically for woodchipping, whereas Gunns claim that the majority of their chips come from residue from their sawmilling and veneer operations. Gunns' major customers are paper producers in Northern Asia, mainly Japan, including Mitsubishi, Nippon and Oji Paper. Gunns has also been criticized for its logging operations in the Styx Valley and for its use of 1080 poison.[1]

[edit] Gunns 20

Main article: Gunns 20

In 2004, Gunns filed a writ in the Supreme Court of Victoria, against 20 individuals and organisations. These included Senator Bob Brown. Opponents of Gunns have claimed that the writ was intended to discourage public criticism of the company (see SLAPP). Gunns have maintained that they are merely trying to stop people from breaking the law and disrupting their activities.

The original Statement of Claim issued by Gunns was struck out by the Supreme Court and costs were awarded against Gunns for the initial proceedings [2].

[edit] Pulp mill

The company is endeavouring to build a $1.3 billion pulp mill in the Tamar Valley, near Launceston. The mill proposes to use the Kraft process, Elemental Chlorine Free (ECF) bleaching, and fed with eucalypt forests. The proposed mill is supported by the State Government for its economic (6.7 Billion dollars over 25 years) and employment benefits (2000 temporary jobs during the construction phase) but opposed by The Wilderness Society [3],Tasmanians Against the Pulpmill Inc.[4]Rainforest Action Network and Tasmanian Greens [5] on environmental grounds and the amount of taxpayers' money that will be spent supporting the project.

Gunns claims its development could create 300 direct jobs and over 1,000 indirect jobs in the George Town area, as well as 3,000 jobs for construction purposes [6].

On September 16, 2006 A protest rally against the proposed pulp mill was held in Launceston with estimates ranging from 3,000 to 8,000 people attending. Speakers included Greens politician Christine Milne and TV-Gardener Peter Cundall. The pulp mill is potentially dangerous to the environment and the effluent released into Bass Strait could harm the local marine life. Also with a large timber intake, Gunns will be forced to log old growth forests to begin with, this would soon end however. Locals are also considering the negative impact the mill could have on the Tamar Valley.

[edit] Interstate expansion

Gunns has extended into mainland states of Australia, with a presence in Western Australia where it operates a Jarrah sawmill.

[edit] External links - support of Gunns

[edit] External links - opposition to Gunns

[edit] Reference

  • The Wilderness Society. Gunns Limited: Australia's Biggest Destroyer of Native Forests. Home > Campaigns > Corporate & Shareholder > Gunns Ltd (Tasmanian Forests). Retrieved on 2007-03-16. “Gunns is the biggest native-forest logging company in Australia and the biggest hardwood-chip company in the world. Gunns receives the overwhelming majority of logs destined for sawmills and woodchip mills from Tasmania. It owns all four export-woodchip mills in Tasmania. It exports more woodchips from Tasmania than are exported from all mainland states combined. Gunns exports over four million tonnes of native-forest woodchips each year. The vast majority of the logging operations on public land in Tasmania consist of clearfelling and burning. Gunns owns over two thirds of the eucalypt sawmilling industry in Tasmania, and two major eucalypt veneer mills. Gunns is the driving force for the destruction of old growth forests in places such as the Tarkine, the Styx, the South-West wilderness and the North-East Highlands. Gunns has also cleared many thousands of hectares of native forest, including rainforest, on its private land. After these forests are chipped, the land is converted to plantations. Gunns uses 1080 poison to kill wallabies and possums that browse on the seedlings established in place of the cleared forests. The poisoned carrots also kill other wildlife (‘non-target’ species) such as bettongs, quolls and owls.”
  • The Wilderness Society (2001-01-25). Implications of Selling Native Forests for 9 Cents a Tonne. Home > Campaigns > Forests > Tasmanian Forests. Retrieved on 2007-03-14. “The Wilderness Society has revealed today that Forestry Tasmania is planning to clearfell and woodchip areas of pure rainforest in north-west Tasmania and then convert the cleared areas to plantations.”