Tassie produce to fill freezers at Coles after multi-million-dollar deal struck with NW processor Simplot

AN eight-year contract between vegetable processor Simplot and supermarket giant Coles will see an extra six million kilograms of Aussie-grown produce flow through Simplot’s Devonport plant each year.

Vegetable producer Stuart Greenhill, from left, Coles managing director John Durkan and Simplot managing director Terry O'Brien are all smiles after today’s announcement of the new contract at Quoiba, near Devonport. Picture: CHRIS KIDD

AN eight-year contract between vegetable processor Simplot and supermarket giant Coles will see an extra six million kilograms of Aussie-grown produce flow through Simplot’s Devonport plant each year.

Simplot managing director Terry O’Brien today said the new $24 million sales deal would also secure the future of the plant, which was under a cloud of closure three years ago.

A total of 240 farmers — most from Tasmania — will be tasked with growing the extra produce.

The deal will also mean all the frozen vegetables in Coles’ freezers are Australian grown, with the local vegies replacing imported products.

“Simplot’s American parent company has been patient and this deal is reward for that patience,” Mr O’Brien said.

Simplot packing room team leader Theresa Hudson on the processing line at Quoiba. Picture: CHRIS KIDD

“We are the last vegetable processing company operating in Australia.

“Coles has now taken a further step in its show of faith in Tasmanian growers and consumers to buy Australian grown.

“It is a courageous move and I encourage local shoppers to complete the cycle,”

Sassafras farmer Stuart Greenhill said he hoped the contract would bring surety to growers and give them confidence to invest in their businesses

In 2013, a three-year review of Simplot’s Devonport plant was conducted.

A Simplot spokesman said the factory was no longer under threat and the Australian grown campaign had been instrumental in that.

Tasmania’s peak farming body was quick to welcome the new deal.

Tasmanian Farmers and Graziers Association president Wayne Johnston said it was particularly pleasing to hear that 90 per cent of the six million kilogram target would be sourced in the island state.

“This is a good outcome for our members, who will play a major part in providing this kind of tonnage to Simplot. It is also testament to the fact that Tasmania continues to produce the highest quality vegetables,’’ Mr Johnston said.

“The news should also help to firmly cement the future of the company’s two processing plants in the state.”

Originally published as Tassie produce to fill freezers at Coles after multi-million-dollar deal struck with NW processor Simplot