Opal's new cardboard factory in Wodonga creates 400 jobs

Opal's $140 million corrugated cardboard packaging facility officially opened on Wednesday, November 15.

The 55,000-square-metre factory will process recycled and kraft paper from Opal's Botany Mill in Sydney and Maryvale Mill in the Latrobe Valley.

Chris Daly, executive general manager of packaging, said over 450 direct and indirect workers were involved in the construction and machinery installation.

"On an ongoing basis, it will mean about 400 jobs both from a regional (local) perspective and also from a broader Melbourne base," he said.

Mr Daly mentioned that only a few new employees had jumped ship from the local competitor Visy.

"I would say that 98 per cent of the people here are from other parts of the region and are from other industries and companies, not necessarily directly from our competitors," he said.

Mr Daly described Wodonga as a "logical fit" for the new site.

"From a marketplace perspective, it is the right place to be," he said.

"This facility positions us in the middle of our vertically integrated supply chain.

"We can extend our product supply down into Melbourne and all the way up to some of the regional areas of NSW, as well as the surrounding region here."

Mr Daly sees potential for the inland rail to play a role in distribution in the long term, complementing road freight.

Wodonga mayor Ron Mildren described the factory as an "important component of the Logic estate".

"This project will bring in huge amounts of work for local people," he said.

"There are about 70 jobs in stage one, and in addition to that, it will bring in all sorts of commerce and things that happen as a result of the products that are being produced here and distributed Australia-wide.

"Every time we can attract an industry of the nature of Opal and connect them with the facilities we have here at Logic, we increase the prospect of getting more and more industries into the local area."

Mr Daly said the factory will produce up to 720,000 square metres of cardboard packaging per day, equating to approximately 100,000 tonnes of finished corrugated packaging annually.

"This facility is state-of-the-art in terms of the technology, but it's also state-of-the-art in terms of some of the environmental credentials," he said.

"We are running solar panelling on the roof, we have water harvesting here, and we are recirculating condensate (reusing steam during the manufacturing process), so it really is an energy-efficient plant."

While the Victorian government contributed grant funding to the project, the specific amount remains undisclosed by the Office for Regional Development.

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