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SR DC Annu Al Report 2005 2006 43%$"OOVBM3FQPSU "OOVBM3FQPSU@ @ CCover.inddover.indd 1 112/10/062/10/06 9:16:109:16:10 AMAM Sugar Research and Development Corporation Annual Report 2005–2006 SRDC’s Core Business is: to foster an innovative and sustainable Australian sugar industry through targeted investment in research and development An innovative sugar industry will build capacity in people to…capitalise on and embrace advances in science, engineering and technology. A sustainable sugar industry will optimally combine the 3 Ps: profit (economy), planet (environment), and people (society). SRDC works in partnership with industry, government, R&D partners and associated rural communities to underpin a vibrant sugar industry with the object of achieving the Corporation’s Corporate Outcome: A profitable and internationally competitive Australian sugar industry providing economic, environmental and social benefits for rural and regional communities. SRDC strives to create an environment that recognises the value of innovation – change that adds value. SRDC invests in R&D activities to find new and improved ways of doing things rather than funding core or ongoing services. The Corporation is committed to setting the right targets, managing investments so they succeed and making sure research delivers impacts across the Australian sugar industry. In short, SRDC is firmly committed to maximising the return on industry and Government investment into research and development. SSRDC_AR_05_06_01.inddRDC_AR_05_06_01.indd 1 112/10/062/10/06 11:18:0311:18:03 AMAM To the Parliamentary Secretary 28 September 2006 The Hon. Sussan Ley Parliamentary Secretary to the Minister for Agriculture, Fisheries and Forestry Parliament House CANBERRA ACT 2600 Dear Ms Ley, In accordance with the requirements of the Primary Industries and Energy Research and Development Act 1989 (the PIERD Act), I submit the Annual Report of the Sugar Research and Development Corporation (SRDC) for 2005–06. The activities of the Corporation are reported against the objectives, strategies, outputs and outcomes of the SRDC Research and Development Plan (R&D Plan) 2003–2008 and are consistent with the 2005–06 Annual Operational Plan and Portfolio Budget Statement. The report of operations included in the Annual Report has been made in accordance with a resolution of the Directors of SRDC on 25 August 2006. SRDC Directors are responsible under section 9 of the Commonwealth Authorities and Companies Act 1997 for the preparation and content of the report of operations in accordance with the Finance Minister’s orders. As required by the PIERD Act, the Board at its meeting in July 2005 reviewed SRDC’s R&D Plan 2003–2008. As you are aware, the R&D Plan was approved by Senator the Hon. Judith Troeth, the then Parliamentary Secretary to the Minister for Agriculture, Fisheries and Forestry in December 2002. The SRDC Board is confident that the R&D Plan 2003–2008 remains consistent with the reform initiatives and is continuing to provide a research and development framework to support the reform process. SRDC believes, and has received strong industry endorsement, that systems thinking and improved capacity for innovation, which are the hallmarks of the SRDC Plan 2003–2008, are necessary to ensure a sustainable future for the Australian sugar industry. I commend this report to you. Yours sincerely, R G Granger Chair Sugar Research and Development Corporation SSRDC_AR_05_06_01.inddRDC_AR_05_06_01.indd 2 112/10/062/10/06 11:18:0411:18:04 AMAM Contents Page Letter to the Parliamentary Secretary 2 1 SRDC Highlights 2005–06 5 1 2 OVERVIEW OF SRDC IN 2005–06 8 SRDC’s Business 8 The Australian Sugar Industry in 2005–06 10 Our People 11 2 Our Portfolio 12 Our Partners 14 Income and Expenditure 16 3 CHAIR AND EXECUTIVE DIRECTOR’S MESSAGE 17 3 4 REPORT OF PORTFOLIO OPERATIONS 21 SECTION 4A Achieving the SRDC Corporate Outcome and Addressing Government Priorities 22 SECTION 4B 4 Achieving SRDC’s Corporate Performance Measures 60 5 REPORT OF CORPORATE OPERATIONS 63 Legislative Framework 63 Corporate Governance Framework 65 5 SRDC Directors 68 Corporate Functions 74 Other Legislative and Reporting Requirements 77 6 FINANCIAL STATEMENTS 79 Independent Audit Report 80 6 Statement by Directors 82 Financial Details 83 7 APPENDICES Appendix A Current Research Project Listing (2005–06) 113 7 Appendix B Final Reports Approved (2005–06) 129 Appendix C Published Papers 135 Appendix D Freedom of Information Act Statement 139 Appendix E Abbreviations 141 Appendix F Table of Compliance with Publishing Guidelines and Legislation 143 8 Appendix G General Index 145 8 SELECTION COMMITTEE 147 SSRDC_AR_05_06_01.inddRDC_AR_05_06_01.indd 3 112/10/062/10/06 11:18:0511:18:05 AMAM ISSN. Copyright Sugar Research and Development Corporation 2006 PO Box 12050 Telephone: (07) 3210 0495 George Street Facsimile: (07) 3210 0506 Brisbane Q 4003 Email: [email protected] Web: http://www.srdc.gov.au Text design and typeset by Sunset Digital Pty Ltd, Brisbane Cover design by AEC Group, Townsville Printed in Australia by Harding Colour, Brisbane SSRDC_AR_05_06_01.inddRDC_AR_05_06_01.indd 4 112/10/062/10/06 11:18:0511:18:05 AMAM Section 1 SRDC Highlights 2005–06 In 2005–06, the Sugar Research and Development Corporation celebrated the following achievements 1 and successes with our industry and government stakeholders, research partners and members of the Australian sugar industry. • SRDC supported projects which encouraged sugarcane growers to adopt new farming systems such as a minimum till legume rotation system. Growers in the Ord River Irrigation Area have increased the total hectares of fallow legume planted seven-fold over two years. Similarly 12 per cent of growers surveyed in New South Wales’ three mill areas indicated that they were in the process of implementing improved farming systems based on Sugar Yield Decline Joint Venture principles and a baseline survey undertaken in Queensland found that 23 per cent of growers had adopted this farming system (SRDC Project Codes: WAA003, NSC008 and BSS286) (refer to Section 4). • Recognising that a cooperative approach is critical to facilitating whole-of-system change, SRDC funded a synthesis of Value Chain R&D (SRDC Project Code: CSE013) and hosted a Value Chain Workshop in Townsville in October 2005. In March 2006 the Hon. Sussan Ley MP, Parliamentary Secretary to the Minister for Agriculture, Fisheries and Forestry launched the publication The Value Chain of the Australian Sugar Industry: SRDC Technical Report 1/2006 (refer to Section 4). • The detection of sugarcane smut in Queensland in June 2006 highlighted the need for investment into research aimed at improving biosecurity in the sugar industry. Over the last decade, SRDC has invested over $1.9 million in projects which are specifically aimed at managing a smut incursion and improving biosecurity in the sugar industry. Notably, SRDC supported the development of the Sugarcane Smut Contingency Plan for the Australian (PROSPER) have embraced best practice Sugar Industry, led by BSES Limited and recorded higher average returns (BSES), which was completed in 1997. per hectare – by about seven per cent This incursion plan was instrumental in – compared with those who did not guiding identification and containment participate in the group-learning program efforts. (SRDC Project Code: BSS260). • A CSIRO-led, SRDC funded research • Cane growers who want to grow project completed in 2006 is influencing soybeans for grain as well as green thinking about irrigation of sugarcane manure welcomed the introduction of and will ultimately change the way a new variety – Stuart, which is broadly cane farmers apply irrigation water. The adapted to planting in both the wet and capability developed during the project the dry season in the tropics and to (SRDC Project Code: CSE001) to apply planting from South East Queensland water at the optimum time has been well through to North Queensland. Stuart was received and has the potential to assist released thanks to a CSIRO led project growers with seasonal planning of water with partnership SRDC funding (SRDC use (refer to Section 4). Project Code: CPI005). • A revolution in the payment for harvesting • Grower Group Innovation, Travel and has resulted in growers and harvesters Learning Opportunity and Scholarship working together to improve productivity Projects made a positive mark on and profitability. A BSES-led project more than 400 individuals in the sugar resulted in rapid adoption of a relatively industry, helping to build industry and straight-forward and easily-implemented human capacity for change; learning and system based on payment for tonnes innovation (refer to Sections 2 and 4). of cane delivered plus the costs of fuel • to be paid directly by the farmer. This Bagasse and trash, by-products of the system has been widely implemented sugarcane milling process, are under across the Australian sugar industry, and increasing evaluation as potential sources has given farmers greater incentive to of revenue for the industry. In 2005–06 reduce the costs of harvesting (SRDC SRDC funded an analysis of the costs, Project Code: BSS261). risks and benefits of implementing each of the known bagasse and trash • With research showing that an effective utilisation options. This project will way to increase rate of adoption of more help industry assess options for using profitable and sustainable practices bagasse and trash as an alternative on Queensland sugarcane farms is to revenue source. encourage farmers to work together in • groups, SRDC is funding the facilitation Over 100 members of the next of such groups. Burdekin participants generation of leaders in Australia’s sugar who took part in a BSES-led program industry took advantage of opportunities 6 SUGAR RESEARCH AND DEVELOPMENT CORPORATION available through the SRDC supported and capable people. In 2005–06, SRDC Generation Next program to learn the partnered with industry and researchers skills that will help them make an impact to encourage greater participation by on the industry well into the future (refer women, and SRDC projects resulted in 1 to Section 4).
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