Price in­crease

Sun­rice to de­liver more money to grow­ers

Southern Riverina news - - News -

Lo­cal grow­ers will re­ceive a rice price boost af­ter Sun­rice an­nounced in­creases on Fri­day.

Sun­rice will in­crease the third and fourth pay­ments to rice grow­ers for the 2010/11 crop.

The third pay­ment, made yes­ter­day, was in­creased by $4 per tonne to $18 per tonne.

The fourth pay­ment, to be made on April 24, will also in­crease by $4 per tonne to $10 per tonne.

Grow­ers re­ceive a se­ries of pay­ments through­out the year and have al­ready re­ceived the first two pay­ments, to­talling $175 per tonne for medium grain.

The to­tal price could ex­ceed $230 per tonne de­pend­ing on busi­ness per­for­mance for the re­main­der of this fi­nan­cial year, ac­cord­ing to Sun­rice.

While lo­cal farm­ers said $230 was his­tor­i­cally be­low av­er­age, they were still pleased with the in­creases.

Conargo Shire rice­grower Nick Morona said the price in­creases were a ‘‘re­flec­tion on world mar­kets’’.

Fri­day’s an­nounce­ment was ‘‘re­ally wel­come’’, he added.

‘‘Our costs are ris­ing in­cred­i­bly fast. To have that price in­crease is re­ally go­ing to help a lot of peo­ple.

‘‘It is also go­ing to help with the cold start we have had and also the mas­sive duck is­sues.

‘‘The crops that have been for­tu­nate to not have any duck dam­age, but have been sown on time, most look like they’re ac­tu­ally start­ing to fill and turn now which is a re­lief af­ter a lot of the cold weather we’ve had.

‘‘The price rise gives us con­fi­dence that rice is still the num­ber one sum­mer crop to grow in our re­gion.’’

Mr Morona said fuel, fer­tiliser and ma­chin­ery costs have been ‘‘sky­rock­et­ing’’.

Sun­rice chief ex­ec­u­tive Rob Gor­don said the com­pany was ‘‘de­lighted’’ to in­crease pay­ments.

‘‘The pay­ments have been made pos­si­ble by Sun­rice’s im­proved op­er­a­tional cash­flow, due to the tim­ing of sales into ten­der mar­kets,’’ he said.

‘‘This has had a pos­i­tive ef­fect on ex­port sales vol­umes in the first half of the year.’’

Grow­ers will be ad­vised of the fifth and es­ti­mated final pay­ments this week.

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