Proserpine mill’s chief executive officer John Power said if Proserpine was to remain a single entity, and not join forces with Sucrogen, then another bad season would spell the end of the local industry.
“There are too many risks for the mill to remain a single entity in the future. There are 12 new sugar refineries that have been built in Asia in the past few years. The face of Asia is changing and we need to be part of big business to remain viable. No refinery wants to deal with a small mill anymore,” Mr Power said.
Refusing to be drawn on whether furfural or the nature plant project had anything to do with the current debt, Mr Power said all these details would come out in the independent report which would be mailed to growers within the next month.
He said to reduce the risk of the Proserpine mill becoming a victim of an ever-changing global market, the board went looking for a positive way forward to secure the future of the industry and the livelihood of the town.
“Sucrogen will return a lot of the land to cane. We have the capacity to crush well over 2 million tonnes here. Their investment could take this mill to the third biggest in the country,” he said.
“If you want a sustainable future, you need supply,” he said.
Mr Power’s comments about Sucrogen buying land at Plains Creek, returning it to cane and partnering up with cane farmers, was met with sceptism by grower Paul Atkinson.
“I have spoken with a few mates of mine down there and this just isn’t true. It’s not a partnership. It's a dictatorship, they tell you when to plant, when to cut, when to do everything. It’s not true,” Mr Atkinson said.
However Mr Power remains positive about Sucrogen’s investment believing it will be a real coup for the Whitsundays.
“They are a good fit for Proserpine,” he said.
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