The EFIP said that the closure of the mill represents a loss of market for up to 150,000 tonnes of small diameter and low quality hardwood with a delivered value of around £6m a year.

And it said the raw material flow into the mill supported management of up to 50,000ha of broadleaved woodland across southern England. Between 300-400 jobs could be lost in the supply chain of raw material to the plant, and a number of other markets dependent on products heading to St Regis could also be affected.

The task force, which includes representatives from England and Wales across both public and private sectors, will be chaired by Judith Webb, Forestry & Timber Association director England/ConFor.

She said: “An initial meeting has clarified the issues and identified a number of actions which will be taken forward in both short and longer term to mitigate the impacts of this closure.

“We also see this as an important Case study demonstrating the crucial linkages between timber markets and the sector’s capacity to deliver public benefits from woodland management.”

DS Smith has blamed soaring gas and electricity costs and fall in demand for the closure of the mill which was losing around £3m a year.