16 February 2011:  Activation of C and D a ray of hope for farmers, says CANEGROWERS

CANEGROWERS is pleased that Category C and D has now been activated in cyclone ravaged areas. The peak group says that the proposal appears to be an extension of assistance offered after Larry, and is now seeking to clarify which levels of support apply in which areas – as there appear to be differences.

“The hope this announcement will spark amongst growers cannot be underestimated,” says CEO of peak group CANEGROWERS, Steve Greenwood today. “As resilient as our growers are, there can be no doubt they are facing some of their toughest times – especially as many of them have only just finished rebuilding following Larry some five years ago. They are in dire need of some good news – something to bring a measure of confidence, which is a vital foundation to rebuilding after any disaster.

“Access to the kind of support available though Category C and D assistance measures is vital for clean up and rebuilding. As cane is grown over many years, the effects of these types of disasters are felt over many years on-farm. Access to funding is not only essential to the physical cleanup effort, but just as importantly, for confidence in being able to return to full production as quickly as possible - a critical starting point in any recovery process.”

Greenwood says that growers are thankful that world prices have remained high, so that cane harvested in 2011 should attract good prices. “Even when the chips are down, our growers are talking to neighbours, government representatives and the media about their hopes for sunshine, which would help speed recovery in less affected areas, their hopes for the world price to push still higher, and the interest in sugar mills from overseas interests – which they know means that multi-nationals still see money to be made in the Australian sugarcane industry.

Of course, it has not been just cyclones or floods. The sugarcane industry has been grappling with six months of extra-ordinary weather events. Unusually frequent and large downpours plagued last year’s harvest, washing away some 20% of Australia’s 2010 sugarcane production. Early January saw flood waters rising in the cane growing areas of Bundaberg, Childers and Maryborough, drowning still more productivity potential for season 2011. Early assessments have indicated that Cyclone Yasi will serve to reduce the 2011 sugarcane crop by 3-4 million tonnes – a $300 million loss – but add damage to farm and industry infrastructure, and the sugarcane industry is looking at losses of around $500 million from Yasi alone.

CANEGROWERS is disappointed that assistance was not extended to include replanting – an expensive and critical process which is now under threat given the last six months of extra-ordinary weather events which have ravaged cash-strapped cane growers. CANEGROWERS says a replanting program would provide the optimism and economic stimulus required in regional and rural towns. They will also continue to lobby for measures to be extended to Proserpine and Mackay, who did not bear the full brunt of Yasi, but had two cyclones and wore six months of productivity stunting extraordinary rainfall events, which caused farm field damage, localised flooding and crop failures

CANEGROWERS says it is essential to bring tools and services into the heart of cane growing regions, so growers can get their businesses up and running as quickly as possible. They say this will also greatly assist with community recovery and job security. CANEGROWERS says it is good that farm and creek clear programs are being activated, and is pushing for them to be started in affected areas urgently.

Media Comment: Steve Greenwood, CANEGROWERS CEO, 0488 721 156.
Alf Cristaudo, CANEGROWERS Chairman, 0418 181 204.
For more information: Suzi Moore, CANEGROWERS Communications 0427 641 239