Victorian Government to invest in $90m SPC plant upgrade

The Victorian Government will invest $4.4 million to support SPC Ardmona in upgrading its Shepparton plant. The $90 million upgrade will create 45 new jobs.

“SPC Ardmona is vital to the future of the Goulburn Valley and the Coalition Government is pleased to support this major investment in efficiency gains, environmental improvements and product innovation,” said Peter Ryan, Minister for Regional and Rural Development, speaking from SPC’s Shepparton plant on 13 June.

Ryan said the upgrade will include works to de-seasonalise fruit operations, consolidate tomato products manufacturing and replace caustic peach peeling with steam peeling. The plant and equipment will be modernised and reduce fruit processing costs by $12.4 million, reduce water use by 242 megalitres and reduce energy consumption by nearly 55,000 gigajoules each year, Ryan said.

“The project will also secure the future of SPC Ardmona’s 275 contract growers and suppliers of semiprocessed fruit products such as fruit juice and pulp,” Ryan said. “SPC Ardmona buys 150,000 tonnes of fruit worth $32 million each year from contract growers who, along with suppliers, employ about 1868 workers in the region.”

The upgrade will provide greater certainty for growers and employees, said Richard Dalla-Riva, Minister for Manufacturing, Export and Trade.

“This investment is a great example of the contribution regional manufacturers make to Victoria’s manufacturing sector, which is the largest employer of manufacturing workers in Australia,” Dalla-Riva said.

Tim Piper, Victorian Director of the Australian Industry Group, congratulated SPC and the Victorian Government on their investment in the upgrade. “This is a difficult time for Victorian manufacturers and to have a significant announcement such as this, backed by the state government, is a sign of great faith that food processing in the state has a positive future,” Piper said.

Work on the upgrade will commence in October and should be completed by March 2015.