Sugar industry suffers $130 million losses

THE Far North's sugar cane season has come to a crushing end with losses to growers of up to $130 million.South Johnstone Sugar mill near Innisfail was the final mill to finish processing for 2010, and cane growers are now counting the cost.

Craig Alman of Bundaberg Sugar said losses were big despite the normal crush being extended by a month into December. "Most people in the industry are glad to see the end of the season," he said.

The extraordinarily wet summer and spring kept the sugar content at record lows, reducing profits all round the region, while sodden fields have kept harvesters out of paddocks for weeks at a time.

All six Far North mills – Mulgrave, Mossman, Tableland, South Johnstone, Tully and Babinda – have losses running into the millions, the result of a drop in the sugar price pool, low commercial cane sugar and unharvested cane.

Canegrowers Innisfail manager Wayne Thomas said $71.2 million had been lost from the Cassowary Coast economy.

"Plantings for next season are well behind while damage to fields from heavy machinery on waterlogged soils, and lack of sunlight will stunt cane growth," he said. "This season could affect the next two years for the industry in the North.

"If we get the big wet that is being forecast we will see a massive drop in yield."

Mundoo cane grower Peter Zahra said growers could expect the sort of crop yield they had after cyclone Larry.

"We had a lot of wet weather for two years back in 2006 and 2007 and had very poor crops," he said.

source: cairns