It has been a tough year for sugar industry: Australian Sugar Manufacturers
Queensland’s sugar industry faces its toughest season, with the crush dropping below 30 million tonnes and prices at five-year lows. Mills are struggling, prompting Australian Sugar Manufacturers to seek federal co-investment for biofuels, infrastructure and R&D. The industry warns urgent action is needed to protect jobs and secure long-term sustainability.
As Queensland’s sugar crush draws to a close, the industry is grappling with its most challenging season in recent memory. Sugarcane prices have slumped to five-year lows, with many mills operating at a loss, and the final crush forecast is well below recent highs of 34 million tonnes, expected to fall under 30 million tonnes for the crushing season, according to the release by Australian Sugar Manufacturers.
“As the season come to a close, we must acknowledge the efforts of our workers in the mills who have ensured a smooth processing season, despite the season starting with damaging floods and natural disasters”, said ASM Chief Executive Officer, Ash Salardini.
“It has been a tough year for the sugar industry, forecasts for the crush have been continually revised down, and we are looking at a crush of 29 million tonnes. Volumes are down as are prices, as we face fiveyear lows in the sugar price.”
The Australian Sugar Manufacturers (ASM) warns that without decisive action, the long-term viability of Queensland’s second largest agricultural export is at risk.
“Business as usual can no longer be an option”, said ASM Chief Executive Officer Ash Salardini. “We need a bold, forward-looking agenda that leverages sugar’s potential to underpin a biofuels and bioenergy industry in Queensland. This is not just about saving jobs, it’s about creating a sovereign capability for Australia’s energy future”.
In its submission to the Federal Government, the ASM has called for a Federal Government coinvestment package to further secure the future of biofuels and bioenergy through sugar, including:
• $90 million in capital grants for technology, adaptation and energy transition projects.
• $9 million for feasibility studies to develop shovel ready biofuels projects.
• $60 million cane rail fund to maintain and upgrade critical transport infrastructure.
• $24 million for advanced sugar manufacturing R&D to drive innovation and diversification.
The sugar industry has the feedstock and infrastructure to deliver up to 30% of Australia’s aviation fuel demand through biofuels, provide baseload renewable electricity for nearly 500,000 Queensland homes, and create new revenue streams through biogas and biomanufacturing.
“This is a once in a generation opportunity. If we act now, we can transform Queensland’s sugar industry into the cornerstone of Australia’s clean energy future. If we don’t, we risk losing a $20 billion industry capability and thousands of regional jobs, the future of our industry is at stake”, said ASM Chief Executive Officer Ash Salardini, according to the press release.
Australian Sugar Manufacturers is urging the Australian Federal Government to work with industry and the Queensland Government to deliver and develop a national biofuels mandate and a comprehensive sugar industry diversification strategy.
To Read more about Sugar Industry continue reading Agriinsite.com
Source : Chinimandi
