Mackay Sugar provides relief to struggling growers, putting more money on the table
Mackay Sugar has agreed to pay for low-sugar content cane to help cover costs during the extended crushing season, but is it too little, too late?
Mackay
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Mackay Sugar is set to offer payments for cane with lower commercial cane sugar (CCS) content and purity levels following a delayed season.
Ordinarily cane with a CCS of 7 and below 75% purity would not be paid but under the new agreement Mackay Sugar will pay $11 per tonne for cane with a CCS of between 6 and 7 and purity under 75%, following negotiations with Canegrowers.
This payment is designed to provide growers the opportunity to maximise returns by harvesting cane that would have been left in the paddock.
The offer only extends to the 2024 season and will apply to cane delivered after 16 December, 2024.
Canegrowers Mackay Area Committee Chairman Joseph Borg said they are “very aware” of the economic loss growers have experienced and appreciate the tight budgets under which everyone is operating.
“We are constantly working in cooperation with the mills to mitigate the hardship that these conditions cause by minimising standover and making it possible to harvest as much of this year’s crop as possible.”
Mr Borg encouraged growers to prioritise the delivery of high-quality cane to the mill in an effort to not cause further delays.
“It is strongly recommended that when selecting blocks and paddocks for harvesting, growers carefully consider the maturity and condition of your cane and where possible, to test it with a refractometer.
“The impact of wet ground conditions should also be taken into account,” Mr Borg advised.
QCAR Central District Committee Chairman Steve McKeering credited Mackay Sugar for extending an olive branch to struggling cane farmers.
“The reality is there’s probably a very small percentage that would fall into the parameters to get paid the $11 per tonne,” Mr McKeering said.
He added if the cane was harvested when purity was above 75 per cent growers would have been looking at figures somewhere between $13.80 and $19.
“We’re not saying we don’t want it from Mackay Sugar, we’re grateful for it, but it is a bit, too little, too late,” he said.
“And it looks like with this rain, I’d say the season’s drawn to a close anyway.”
News of the payment comes after delays at mills across the state put a serious dampener on the season with suggestions that the amount left to be crushed was in the millions of dollars.