Aussie Sugar Strategy: watch and wait – for now.
An Australian sugar industry study on diversification has shown that growers and millers alike are waiting for opportunities to present themselves before they act. At the same time the sector agrees that ownership and operation of any new technologies or products are likely to remain within the industry itself, rather than attract outside investors.
In line with the dilemma facing South Africa’s sugar producers, a study into diversification opportunities by the Australian industry has revealed there are few short-term solutions or an appetite for strategic investment, despite a raft of bio-refining options from the crop.
In short, the study suggests a “market watch” approach – in the hope of improved trading conditions. At the same time the report encourages growers to keep an eye on technological advances able to improve on-farm cost efficiencies and higher yields per hectare.