THE PROJECT OF A PAPER MILL.

New Zealand Herald, Volume XXV, Issue 9116, 26 July 1888, Page 5

THE PROJECT OF A PAPER MILL.

In yesterday's issue we quoted a paragraph from the Lyttelton Times speaking of an Australian syndicate proposing to make paper out of the kahikatea wood growing in our forests. Being aware that the subject had been mooted in Auckland some two months ago, we interviewed Mr. Bennett, the promoter of the Auckland Company, at his Chambers, Palmerston Buildings, and in reply to our questions were shown the plans, machinery, and estimates of a paper plant which Mr. Bennett received by last mail from James Bertram and Sons, Leith, near Edinburgh. The working output of the plant is 25 tons of paper per week, and total cost, including boilers, engines (several), shafting gear, etc., say for twelve months, would amount to £10,000.

In reply to a question as to the market, Mr. Bennett said : Last year about £180,000 worth of printing and other paper was imported into New Zealand, and on some of this there is about (including freight and commission) 30 per cent, duty and charges. Under the new patented process now so thoroughly proved, enabling us to make paper of all kinds out of kahikatea wood and the other adaptable material growing in our northern forests ; also the tons of rags, paper, etc., now only awaiting use, there could be no question as to material. Reporter : Do you know what amount of printing paper the press of the colony used last year ? Mr. Bennett: Yes, £70,000 worth. Of course you know that to make a success of the venture we must make the printing paper suitable for your new printing machines. Reporter : Why is your prospectus not out? Mr. Bennett: I nave been waiting and collecting necessary information and data, and anticipating an improved tone in commercial affairs.

Reporter : What capital is proposed ? Mr. Bennett: There is the printed draft prospectus. From that you will see I propose £25,(XX) as capital. ~lt is not a large amount, but will require to be canvassed for over a large area, and if touched lightly by say 750 shareholders, the money could be called up without going to the city pawn shops at 9 per cent. A paper mill of the proposed kind would use sulphur and limestone, and we have millions of tons of these materials in the North Island, which only require utilising, and also size and other products spring from this. The site proposed is on this harbour, where we can use water carriage. There is no paper mill in the North Island, and with the protection &nd other duties, a factory here would have a clear field and virtually no competition. Providing the mill makes press printing paper there is a certain fortune for either a syndicate or a company.