November 16, 2014
The Queensland Dairyfarmers’ Organisation has welcomed Hope Dairies Ltd’s plans for a $500 million investment in the State’s dairy sector.
The project is being driven by Gina Rinehart and is being planned to supply infant formula to China, marking the first major investment in the Queensland dairy industry since the late 1990s.
QDO President Brian Tessmann said the local industry was excited by the prospect of this new project.
He said it was bypassing the problems associated with the domestic milk value chain and proving the high value of Queensland milk for the longer term.
“The investment would restore dairy processing capacity which Queensland has lost over the last decade and a half,” Mr Tessmann said.
“China presents a real opportunity for our industry to form close partnerships to supply high quality dairy products to their growing population, and in particular infant formula. This opportunity will provide much needed diversification for our Queensland dairy industry.
“We hope it will provide a range of opportunities for our existing Queensland dairy farming families, which have suffered greatly in recent years from natural and man-made disasters including from the supermarket milk price war and now drought.
“We have lost over 130 farmers since the price war started, when we should not have been losing any.”
Mr Tessmann said that Hope Dairies was a show of real confidence in the future of the Queensland industry.
“It is clear that Chinese consumers value our high quality dairy products, which is in stark contrast to Australia where the major supermarkets are happy to devalue our fresh milk as a discount marketing agent,” he said.
“The QDO looks forward to continuing to work with Gina’s team and the Queensland Government to see the project become a great success.”
- Related article: South Burnett Linked To $500m China Dairy Plan
