Community
3 December, 2023
Time to sow seeds of change
A DOUGLAS Shire business leader is calling on state and federal governments to forget about pouring more money into the ageing and antiquated Mossman sugar mill and help farmers invest in new crops.
Douglas Chamber of Commerce president Jeremy Blockey said the mill could not be revived and it was now up to governments to help farmers transition away from sugarcane, and be upskilled to new agricultural sectors such as cattle, sorghum, cocoa, rice and fruit trees.
The mill has appointed liquidation firm Worrells to act as voluntary administrator of the mill’s companies due to “financial distress”. The mill has about 150 workers and 80 growers.
In a statement to shareholders, chairman Rajinder Singh said the move to appoint a voluntary administrator was a “proactive step in the interest of the companies and the best chance of securing a future for Mossman mill”.
Mr Blockey said it was time to face facts that the 127-year-old mill was past its use by date.
He said the state and federal governments had chipped in $25 million and $20 million, which allowed Far Northern Milling (FNM) to become the first local group in Australia to buy back a sugar mill.
The money was supposed to guarantee the future of the 127-year-old facility and help it transition from producing only raw sugar to a bio-precinct capable of making food ingredients, alcohol, green chemicals and fertilisers.
Mr Blockey said the governments would not be prepared to sink more money into the mill.
“It’s time to cut to the chase and negotiate with government for a three-to-four year plan to transition away from cane and enter a new agricultural sector that is sustainable by upskilling or reskilling farmers,” he said.
Mr Blockey said, with the help of government funding, farmers could redesign their farms for new crops and acquire different machinery.
He said it might require some of the older farmers selling their properties, developing a succession plan for the next generation of farmers, or new farmers entering the industry.
“We need to give them support for a succession plan to train the next generation,” Mr Blockey said.
He said cocoa should be reconsidered after a lot of time, effort and money was invested more than 15 years ago.
Today there were just niche growers and a couple of local manufactures, Mr Blockey said.
“There was some serious investment. Perhaps it can be resurrected to find the right and wrong ways,” Mr Blockey said.
He said there were a couple of canefarmers who had opted out of sugar and turned their properties into cattle farms.
Canegrowers chief executive Dan Galligan said growers, the local industry, and the wider community must be front-and-centre of any decisions made on the future of the mill.
“Growers have already invested over $10m in the upcoming 2024 season, and they haven’t been fully paid for the 2023 season yet, either. The closure of the mill would be devasting for sugarcane families in the region,” he said.
“And it’s not just growers and mill staff who would suffer.
“As one of the region’s largest employers, Mossman mill injects a lot of cash into the local economy, both directly and indirectly.
“Its loss would impact the whole community.
“It’s vital that administrators remain in constant communication with the industry so that local growers can have clarity on any decisions that could seriously impact their livelihoods.”
