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Securing raw materials for regional Australian producer

raw materials

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 regional Australia will benefit from grants of up to $5 million for individual projects under this program. 

“Regional Australia is home to a number of the nation’s key industry sectors, which is why these projects are crucial to securing and strengthening the supply of improved raw materials to these vital industries,” McKenzie said.  

“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.  

Minister for Resources and Water and Member for Hinkler, Keith Pitt, said the government was pleased to fund such a critical 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” 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.” 

Pitt said that 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,” he said. 

“By promoting the wealth of opportunities our regions provide to businesses, the Hinkler region will continue to reap the long-term benefits from increased economic activity, new industry sectors, businesses and suppliers.”  

More information on the Securing Raw Materials Program can be found here. 

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