Sundrop Farms gearing up to produce $105m worth of tomatoes a year in Port Augusta

THE humble tomato is emerging as a symbol of change in Port Augusta.

WHYALLA ASSIGNMENT

THE humble tomato is emerging as a symbol of change in Port Augusta.

More than 100 workers are hard at work building Sundrop Farms’ 20ha, $175 million solar-powered facility 15km southeast of Port Augusta.

In contrast on Wednesday, Alinta chief Jeff Dimery told of the company’s intention to shut its two coal-fired power stations in the town by March 31, resulting in the loss of 225 jobs.

The focus of the Sundrop Farms’ workers will soon shift from four 100-metre long greenhouses to the installation of 23,000 mirrors and a 115-metre high solar tower. Ultimately, Sundrop will use the concentrated solar power to create the heat, electricity, and desalinated water needed to feed and power its operation.

By the first quarter of next year, truss tomatoes will be growing using the technology. Sundrop has a 10-year exclusive contract with Coles for more than 15,000 tonnes of tomatoes annually, creating jobs for up to 175 people.

Adrian Simkins with mirrors used to catch sunlight to heat water at their pilot plant at Port Augusta. The actual mirrors at the new plant under construction will be of a different arrangement. Picture: Dean Martin

“Sundrop Farms was founded on the principle of changing how agriculture is gone about,” company chief Philipp Saumweber, a former investment banker who is based in London, said.

“We consider ourselves a triple bottom line business: people, plant, and profit.”

The world’s leading private equity firm, KKR, last year invested $100 million from its Asian Fund II, and Sundrop owns a vast amount of undeveloped land next to its construction and trial sites. If, as expected, all goes to plan with tomato production, the company hopes to develop the land to grow capsicums and cucumbers.

“We are constantly evaluating new opportunities to expand both here in Australia and in other markets,” Mr Saumweber said.

Port Augusta facility general manager Phillip Lemon and head grower Adrian Simkins both moved to the area for the chance to be involved at the forefront of innovation in the industry.

“Tomatoes are like us in a lot of ways. If we feel uncomfortable because of the conditions we’re in, then so will they,” Mr Simkins said.

Sundrop Farms general manager Phillip Lemon on site where one of the giant glass houses is being constructed at Port Augusta. When completed, they will cover about 200 hectares. Picture: Dean Martin

“What we’re doing here has, and will continue to, attract significant international interest.”

Coles’ state general manager Neil Lake said the company is excited about its “unprecedented” partnership.

“The partnership is the first of its kind for Australian-grown fresh produce and we are delighted to help support the creation of jobs in Port Augusta,” he said.

The State Government contributed $6 million from its Regional Development Fund towards the project and last week announced a $50,000 grant to fund a pilot skills development project in conjunction with Sundrop.

“It is a vote of confidence in the region that global company Sundrop Farms is supporting local job seekers, contributing to the local economy and being part of a vibrant, sustainable region,” Employment, Higher Education and Skills Minister Gail Gago said.

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