The N-D-P government is investing in the sustainability of a major employer and exporter in Nova Scotia's paper products industry. Bowater Mersey Paper Company Ltd. is receiving $2.5 million dollars to support adding book-grade paper to its manufacturing process. Economic and Rural Development Minister Percy Paris says the company is finding innovative ways to manage through difficult economic times. The Bowater Mersey mill in Brooklyn employs about 500 full-time employees andsupports the jobs of more than 1,000 people in industry-related operations. The investment is from the Community Development Trust Fund, a $34.9-million fund set up by the federal government in 2008 to help communities and sectors experiencing economic challenges.FULL RELEASE:
The province is investing in the sustainability of a major employer and exporter in Nova Scotia's paper products industry.
Bowater Mersey Paper Company Ltd. is receiving $2.5 million to support the addition of book-grade paper to its manufacturing process.
Book-grade paper, used mainly in the printing of paperback books, requires more demanding quality standards than those for newsprint. The book-grade paper market tends to have more stable demand and pricing trends.
Economic and Rural Development is supporting the company's diversification plan through the Community Development Trust Fund. The $34.9-million fund was established in 2008 by the federal government to help communities and sectors experiencing economic challenges.
"Bowater Mersey is managing through difficult economic times in this industry by finding innovative ways to reduce operating costs, improve productivity, and develop new product lines and markets," said Minister of Economic and Rural Development Percy Paris.
"The fundamentals of this company are solid and, along with the company, its employees, suppliers, and customers and various governments, we want this mill to continue to be a viable part of our economy and return to higher employment levels as the economy rebounds in the coming months."
Bowater Mersey employs about 500 full-time employees. Its operations include the newsprint mill near Liverpool, Queens Co. the Oakhill sawmill near Bridgewater; the Mersey Woodlands forest management group and the Brooklyn Power Corporation in Brooklyn, Queens Co.
Indirectly, the company supports the jobs of more than 1,000 people in forest management and harvesting operations, private sawmills, trucking firms and other suppliers. Its products are exported around the world.
Bowater Mersey has invested more than $7 million toward the product diversification project, including new manufacturing processes, technology and equipment. The company has already marketed its book-grade paper in the United Kingdom and is seeking opportunities to supply European and Asian pressrooms. Book-grade paper is shipped by vessel from the port at the Bowater Mersey mill as well as by container through the Port of Halifax.
Bowater Mersey continues to work closely within the industry to develop certified forest management practices. The co-generation plan produces electricity under contract to Nova Scotia Power Inc., which provides a stable steam supply to the newsprint plant.
The priorities of the Community Development Trust Fund are to enhance sustainable prosperity, diversify economic and trade opportunities, improve productivity, innovation and training, assist communities with transition planning, and help workers facing adjustment challenges. More information on the Community Development Trust Fund in Nova Scotia is available at http://www.blogger.com/www.gov.ns.ca/econ/cdtrust .