Kenon Corporation to set up mushroom farm in Bundaberg

Bundaberg is known as the state’s food bowl, with a multitude of fruit and veg already being farmed. Now, a new and massive project is set to hit town.

It’s the offcuts of one of Bundaberg’s biggest and most proven industries that will help form the basis for a new and exciting venture.

Kenon Corporation, Queensland’s first and largest producer and distributor of Asian mushrooms, is set to pop up in Bundaberg following a funding boost from the Federal Government.

The farm will grow its mushrooms, which include oyster, enoki and pearl varieties, on sugarcane mulch, which is also known as bagasse.

Bagasse may be cane trash, the leftovers from sugar production, but according to experts in the field, it‘s worth its weight in gold (almost).

In a previous study, researcher Kameron Dunn announced the value of bagasse could boom with a multitude of uses in the works for everything from cosmetics to plastic.

At the time of the study, Mr Dunn believed the price of bagasse could lift to up to $1000 a tonne the more it became commonplace in industries.

In 2020, Queensland University of Technology scientists mooted the value of using bagasse to create biodegradable, antiviral face masks.

To add to its list of uses, the waste product will now be used to grow juicy, natural mushrooms.

The Federal Government is supporting a $3.4 million investment bringing Queensland’s largest producer of Asian mushrooms to establish a new farm and factory at Bundaberg, with a $1.9 million grant under the Securing Raw Materials Program.

Minister for Regionalisation, Regional Communications and Regional Education, Bridget McKenzie, said in a statement that the government wanted to provide a boost to regional Australia.

CQU vice president Helen Huntly, Senator Bridget McKenzie, Federal Member for Hinkler Keith Pitt and Kenon Corporation owner Simon Tang at CQU Bundaberg for the announcement of $1.9 million for a new mushroom farm and factory in Bundaberg.

“We want to prioritise and strengthen our valuable partnerships between Australian businesses, our world-class research institutions and regional communities, ensuring regional Australia is at the forefront of innovation and change,” she said.

“As our regional communities continue to grow and thrive, the Government continues delivering on its commitment to grow industry and economic resilience in regional Australia.”

Minister for Resources and Water and Member for Hinkler, Keith Pitt, said the government was pleased to fund the project.

“The Securing Raw Materials Program has a range of benefits, including establishing, securing and strengthening the supply of raw materials to Australian industry, and supporting partnerships between industry and regional universities,” Mr Pitt said.

“The Coalition Government will provide $1.9 million in funding for Kenon Corporation Pty Ltd, Queensland’s first and largest producer and distributor of Asian mushrooms.

“This enables Kenon Corporation to establish a new branch in Bundaberg to produce high-value mushrooms using local sugarcane bagasse as the raw material.

“The project will be undertaken in collaboration with CQUniversity, to develop substrate recipes and optimise mushroom growth protocols.

“This funding is projected to draw $3.4 million investment to Bundaberg and build an integrated local supply chain of Pleurotus mushrooms for high value-adding of local sugarcane bagasse.

Originally published as Kenon Corporation to set up mushroom farm in Bundaberg