An Agribusiness Initiative Outline

• Where is Central Queensland? • What is Growing Central Queensland? • History of agricultural development in CQ • Review of CQ agribusiness • The way forward

Central Queensland? Where the bloody hell are ya? Growing Central Queensland Concept • Fitzroy Industry and Infrastructure Study • Renewed interest in water infrastructure • United we stand • RDAFCW facilitation • Getting started • GCQ Review • Beef 2015 CQ Agricultural Production • Rockhampton; Gladstone; Emerald; Biloela • 118,000 km2 • 230,000 people • Fitzroy Basin • >$1billion agricultural production annually • Beef cattle; Cropping; Irrigation • Sub-tropical, highly variable climate

History of Agricultural Production • 1853 – The Archer Brothers hit town • Pastoral industry commences – squatters; selections; settlements • Kidston Group Settlement Scheme • Immigration of workers • Germans, Russians, Italians

Irrigated Production • 1922: Nathan Dam on the Dawson River proposed • 1926: First irrigated farms at Theodore • 1930 to 1987: Weirs constructed along Dawson but no Nathan – the growth of the cotton industry • Irrigation area eventually expands to about 7,000 ha

2015 1928 Brigalow Scheme • Post WW2, cattle industry continues to expand • 1962: Brigalow Land Development Scheme • 1962-1977: Clearing of 4.5M hectares in Fitzroy Basin • Introduction of new pasture species • Increased cattle production by >250% • Development of roads, electricity, telecommunications and communities.

Broad Acre Dryland Production

• 1948-1956: Qld-British Food Corporation commences broad-acre grain production (Central Highlands) • 200,000 ha acquired (Clermont to Springsure) • Corporation failed but showed grain and oilseed production was feasible • Beginning of dryland production (Now up to 700,000 ha cropped)

Fairbairn Dam – Emerald Irrigation Scheme • 1968 decision to build Fairbairn Dam complemented by Bedford, Bingegang, Tartrus Weirs • Emerald Irrigation Scheme developed 14,000 ha supplied by channel system and 11,500 ha supplied downstream along Mackenzie River • Wide range of agricultural enterprises supplied including cotton, horticulture, peanuts, cereals • Enabled growth of a vibrant prosperous community for over 40yrs Development on Hold 1990s

• Natural Resource Management • vegetation clearing stopped; soil erosion issues; impacts on Reef recognised; BMPs introduced • Water Resources Studied • water resource plan; regional water supply study • water trading introduced; separate title for water • water for urban/industrial uses vs agriculture • Water Storage Studied but not progressed • Nathan Dam; Connors River Dam; Rookwood Weir; Eden Bann Weir • Privately-funded, incremental development

Catalysts for Renewed Interest • Global demand for food • Deloittes fantastic five 10%+ growth: agribusiness, gas, tourism, international education & wealth management

• Australia’s competitive advantage – we are situated where we can meet demand

• Federal White Papers • Agricultural competitiveness • Northern Australia development • Infrastructure Australia Audit • Water Infrastructure Options paper

• Central Queensland opportunities – water, infrastructure, land & people.

Review of CQ Agribusiness

• Literature review • Policy Federal and State • Economic forecasts

• Natural resources review • Water resources planning • Qld Land Audit

Stakeholder Consultation Key Messages from GCQ Review

• Distinct Geographic investment regions • New infrastructure • Water Infrastructure • Impediments and opportunities in existing infrastructure • Supply chain, transport & logistics • Industry Restructure • Alternate capital models • Farm debt • Investment ready opportunities Key Messages from GCQ Review Distinct geographical investment areas

• McKenzie River Agricultural Corridor • Dawson River Agricultural Corridor • Fitzroy River Agricultural Corridor • Gladstone Agribusiness Precinct Water Infrastructure Other New Infrastructure Impediments and Opportunities in Existing Infrastructure

Industry Restructure

• Alternate capital/business models • Farm debt • Investment ready opportunities

Alternate Capital/Business Models Cooperatives Beef Model

Farm Debt/Capital 20,000 acres vs $200,000,000.00 Investment Ready Ag? 30, 000 Head Feedlot Proposal What sits behind this deal? Current position: • Cattle buyer to source cattle • Suitable site with water within specs (May be 150 allocation suppliers in this area) • Guaranteed access to cattle • Breeder contracts premium supply linked to higher grade kill specs • Contracted feed supply • Water allocations • DA approval • Feeder contracts • International Environmental • Contracted access to accreditation containerised rolling stock from • Indigenous employment abattoir to port providers • Shipping contracts • All weather access to road and • Port access rail • Killing contracts abattoir • Direct containerisation to port • Environmental approvals • Within 70km of three abattoirs • DA local, state and federal Opportunity: Take or pay contract • Who puts it together? on 7.8 million tonnes of beef Immediate Priorities • Currently $140 million in investment opportunities • CQUniversity Partnership – smarter regions • Industry training and education for investment ready projects • Build alternate investment models for agriculture through cooperative and external capital models • Fund Eden Bann and Rookwood Weirs • Fund our current $140 million investment opportunites • Cost benefit analysis of supply chain impediments and opportunities to be ready for funding • Advocate and promote Growing Central Queensland as a regional brand (e.g. Darwin event November 8-10 & NQ Economic Summit?) • Build an inclusive regional membership model that creates an investment ready environment for investors and opportunities.

The Way Forward

• Maintaining cooperation and communicating the vision • Recognition and price premium for the Growing Central Queensland Brand • Attracting further capital into agricultural investment • Supply chain readiness for product from Eden Bann and Rookwood • Continue to kill distractions Summary

• Collaboration is key • Successful history of development • Build on strengths • Seize opportunities

Growing Central Queensland – Its time for the next harvest! Growing Central Queensland We are open for business Thankyou! Anne Stünzner www.rdafcw.com.au