The NT’s first-ever cotton gin on track for July completion

After years of trying, Territory farmers believe they have finally found a crop that will grow in tough our conditions. Read what it means for the NT.

The Northern Territory’s first cotton gin has moved a step closer with Western Australia and Northern Territory Cotton (WANT) in discussions with potential stakeholders to build and manage the facility.

Territory cotton producers are understood to be in talks with Louis Dreyfus Company, one of Australia’s leading gin operators, to take control of the start-up operation.

WANT hopes to have the gin built by July 2023 and operating in time for the 2023 cotton harvest.

Under construction on the Stuart Highway about 38 kilometres north of Katherine, the gin has grown since it was first announced in 2021 and will now be able to process up to 60 cotton bales per hour with two new 12-foot gin stands, 12-foot feeders and lint cleaners.

The gin removes the seed from the cotton lint, bales the cotton and separates the seed for, among other functions, cattle feed.

Katherine’s cotton industry will boost the NT economy.

Over a six-month period the gin will be able to process 150,000 bales with scope for 200,000 bales if the additional capacity is required.

WANT Cotton chairman and Tipperary Group of Stations chief executive David Connolly said the larger than planned gin will cater for future increases of cotton production.

“It was a considered decision to expand our gin capacity plans to anticipate and meet the future cotton production needs of the region,” Mr Connolly said.

“We believe it is the right decision to help growers scale up their production and not be hindered by ginning capacity limitations.”

Tipperary was the Territory’s first cotton producing farm in the modern era and workers have just finished planting the fourth crop at the property. As well as being first, it is also the largest, with about 5000ha available for cotton growing.

Tipperary’s first crop, in 2019, was planted on about 150ha.

Well aware of community concerns around cotton farming, Mr Connolly said traditional agricultural issues around excessive water use through irrigation do not apply in the Territory.

Between 95 per cent and 98 per cent of local cotton is rain-grown with only a tiny amount irrigated at crucial points in the growth cycle.

Upwards of 150,00 cotton bales will be able to be processed at the Katherine cotton gin.

Tipperary last year won AgriRisk High Achiever and David Connolly is determined to develop a sustainable, safe cotton industry in the Northern Territory.

As well as the actual cotton crop, he said the seeds made superb cattle feed supplements.

“Cotton is a fantastic new industry for Northern Territory farmers,” he said. “Apart from hay crops, NT broadacre farming has really struggled to find a crop it can farm that will handle conditions up here.

“Cotton looks to be the crop that can grow here and is part of a global market and prices aren’t as easily affected as hay, which is a local market and more easily affected by demand and supply.”

There are currently about 10 cotton farmers in the Territory, all of them located within about a 300km radius of Katherine. Mr Connolly said a small number of additional farmers might enter the market, although it’s more likely existing farmers will increase crop size.

“It’s much easier to grow cotton where you’ve got irrigation because you can grow in the dryer time of year and you’re in control of the weather and environment when it needs water,” he said.

Western Australia and Northern Territory Cotton (WANT) chairman David Connolly said the gin presents an opportunity for more farmers to enter the market.

“Contrary to popular belief cotton is not a water hungry crop. If it gets too much water it becomes waterlogged and fails like any other crop.

“NT farming has really struggled to develop broadacre crops apart from hay and have struggled to find crops it can farm that can handle conditions up here. Finally, cotton looks to be the crop that can handle conditions here.”

And it’s not coincidence cattle farmers are using some of their land for cotton.

“Cotton seed is a high protein, high value feed for cattle and the reason a number of growers up here got into it is so they could grow the crop and retain the seed to feed cattle.

“I predict seed supplements will be a game-changer for the Northern Territory cattle industry. Currently cattle farmers have to bring cattle supplements in with a huge freight bill. If farmers are able to source supplement locally in cotton seed it will add considerable value to their operation.”

WANT cotton was established in October 2020 to support and recognise northern cotton production and the ongoing expansion of the industry in Northern Australia.

Originally published as The NT’s first-ever cotton gin on track for July completion