Potlatch Angry At Delays
p. 99 · Read in the full issue
Threatened with the withdrawal of Potlatch Forests’ whole $5 million enterprise in Western Samoa, cabinet paid a hasty visit to Asau last month to look into the trouble. It arose because dredging of the Asau harbour channel, scheduled for completion last December, was still unfinished, and NZ contractors, Wilkins and Davies would not agree to suspend operations while the Niuvakai entered and lifted the timber awaiting shipment. Potlatch asked the government to intervene, and it did order the contractors to bow to the sawmillers’ request.
Potlatch were facing expensive losses through inability to market their timber, and were angry about the delays. Wilkins and Davies were in no happy position either. Their project manager Tony Mair said in mid-March that all that remained to do to complete the dredging to a depth of 25 ft was a small fraction of the channel area and about 8,000 cubic yards outside the harbour. About 200 machine hours or 10 working days would see it through in fair weather.
Cabinet was unable to inform itself clearly as to the cause of the delay, but when it reassembled in Apia with the Prime Minister and Works Minister Tupuola Efi in attendance, further issues were broached. Hon. Tupuola suggested that Potlatch might be exploiting the delay to gain leverage over the government in forthcoming negotiations on the Potlatch contract. The fact remains that Potlatch has not been much helped by the delay.
