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Positive Future For Tasmania Dairy Industry

23 August 2011

TASMANIA, AUSTRALIA - The Premier, Lara Giddings, visited the Van Diemen's Land (VDL) Company's Woolnorth farm as an example of the State's thriving dairy industry.

Ms Giddings said dairy was experiencing a resurgence thanks to favourable farming conditions, Tasmania's relatively low cost of production and the Government's investment in new irrigation projects.

"Dairy is now Tasmania's single biggest agricultural industry and contributes around A$250 million towards Gross State Product," Ms Giddings said.

"VDL's history in Tasmania dates back to early settlement and parent company Tasman Farms Limited now manages more than 19,000 hectares of agricultural land in North West Tasmania, including almost 17,000 hectares at Woolnorth."

"Tasman Farms Limited is already Australia's largest dairy producer and one of the reasons I am here today is to discuss the company's plans for a massive expansion in Tasmania."

"These plans would see milk production capacity triple from the current five million kgMS/annum to 15million kgMS/annum over a three to four year investment period."

"The Government is keen to ensure that the various approvals processes will be properly coordinated across the State government agencies to ensure timely development assessment."

Ms Giddings said this was just one example of Tasmania's rapidly growing dairy sector.

"There are a number of exciting investments underway or on the horizon in recognition of our fantastic grazing conditions and strong branding."

These include:

  • Fonterra’s A$6.5 million gas conversion at Spreyton and A$12 million upgrade of its Wynyard cheese plant
  • National Foods investing A$150 million expanding and modernising its Burnie and King Island specialty cheese plants
  • Tasmanian Dairy Products plans to build a A$60 million milk powder plant in Circular Head
  • Local success story Ashgrove's plans for a five million dollar expansion at Elizabeth Town, creating 50 jobs.

"The State Government sees even greater opportunities on the horizon and expansion of the dairy industry will be an important part of the Economic Development Plan to be launched later this month," Ms Giddings said.

TheCattleSite News Desk


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