Queensland's regions are often defined by the commodities they produce. These commodities are often directly linked to the establishment and history of regional communities, giving towns their character and instilling locals with a sense of pride.
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In the case of Mossman in North Qld, the sugarcane industry employs 570 people, or a third of the town, and contributes $190 million annually to the regional economy.
That's why Canegrowers is calling for the Queensland government to step in and guarantee the 2024 and 2025 sugarcane seasons for the Daintree Bio Precinct, and its subsidiary the Mossman Mill, following its entry into voluntary administration in November last year.
The Daintree Bio Precinct entered voluntary administration due to financial strain exacerbated by a challenging 2023 sugarcane season, which saw a 15 percent decrease in total sugar tonnage. This decrease left the mill without enough funding to support the 2024 harvest season.
The decision was a necessary but disappointing one for both local growers and staff, as well as the wider sugarcane industry. The Bio Precinct represents the cane industry's aspirations in the emerging sustainable bioproduct industry. The Precinct is projected to be capable of producing 50,000,000 litres of renewable fuel each year. This includes a combination of Sustainable Aviation Fuel (SAF), methane and biodiesel.
Beyond this potential, a guarantee of mill operations in 2024 is critical to the 140 growers in the region who have already invested $12 million into the establishment of the year's crop. The harvesting and processing of this crop is essential to the future financial viability of these growers, and in turn the wider Mossman economy.
This request for support comes after months of uncertainty for the region, compounded by the impact of ex-Tropical Cyclone Jasper which caused significant flood damage to homes, businesses, and farming operations throughout Mossman.
The administration process was put on pause in the wake of cyclone Jasper, with the company given a 45-day reprieve to present a viable solution to save the precinct. As the community rebuilds, and the 45-day deadline rapidly approaches, now is the time for the Queensland government to step in and assist.
The failure of Mossman Mill would represent a significant setback for industry and government dreams of an Australian SAF industry, which will require an additional 12 million tonnes of raw sugar each year, or a 300 percent increase on current production.
Government intervention is critical to ensure the future of the 127-year-old milling operation, the growth of a promising emerging industry and the survival of an entire regional economy. Investment in regional infrastructure, such as the Bio Precinct, is critical to the productivity and sustainability of Queensland's regions. Furthermore, this investment is necessary to unlock opportunities within agriculture that have the potential to deliver enormous economic benefits across the entire state.
