Second grower champion takes seat on sugar terminals board

Mr Menkens, who defeated Tully Sugar CEO Wei (Darcy) Li in the election at today's STL Annual General Meeting in Brisbane, takes the seat vacated by outgoing director Steve Kirby and joins former CANEGROWERS Chairman Paul Schembri as a grower director.

"This is a great result for growers and for STL," CANEGROWERS CEO Dan Galligan said.

"Owen and Paul bring decades of industry leadership and an understanding of the businesses that depend on these terminals. Having both a current and former CANEGROWERS chairman at the board table is a real positive."

Mr Galligan said the election was particularly significant given the balance of grower and miller interests on the STL board.

"Tully Sugar holds grower shares, but it is also a milling company. Had its CEO been elected to a grower position, the milling sector would effectively have gained another voice on the board at the expense of direct grower representation.

"Growers and millers share many interests, but their priorities are not always the same. It's important that the two grower-elected positions bring a genuine farming perspective to the board."

The election comes at a challenging time for STL, which insourced operations of Queensland's six bulk sugar terminals on 1 July following its controversial decision to break ties with long-term operator QSL.

"Growers have made no secret of their concerns about insourcing and what it could mean for the cost and reliability of getting our sugar to market," Mr Galligan said.

"STL is under considerable scrutiny, and rightly so. The new arrangements are now in place, and growers want to see whether they deliver the efficiencies and benefits that were promised.

"The approach taken by STL Chairman Peter Trimble at his first AGM as chair demonstrated a new willingness to treat grower shareholders with respect and an openness to seeing STL positioned as a positive force within the industry."

Mr Galligan stressed that STL directors have a responsibility to act in the best interests of the company, while also considering the long-term interests of the industry as a whole.

"Owen and Paul understand that responsibility better than anyone. They bring to the role a deep appreciation of how decisions made in a Brisbane boardroom affect businesses on the ground and on farms just like theirs.

"Growers want STL to succeed. That means a well-run company, reliable and efficient terminals, a transparent cost structure and an operation that works for the whole industry.

"We congratulate Owen on his election and look forward to the contribution he and Paul will make to STL's future."