A CONSORTIUM that aimed to develop a pork manufacturing and cheese plant at Leitchville have put their plans on hold indefinitely.
The group planned to purchase and re-open Murray Goulburn’s processing site, creating 80 jobs at the plant which ceased operations in 2010.
First announced in August, the Primary Partners consortium – led by Gannawarra Shire Council Yarran Ward candidate, Andrew Gibbs – received the backing of Deputy Prime Minister, Barnaby Joyce, Federal Member for Murray, Damian Drum, State Member for Murray Plains, Peter Walsh and former Industry Minister, Ian Macfarlane.
“I have facilitated many deals to date, but none where a multi-national was presented with a chance to work with another company, allowing the community to be the winner of up to 80 jobs in a town struggling, that gave the multinational no sovereign risk and yet rejected based on an almost implausible suggestion that it is a vital asset,” Mr Gibbs said.
“Even with massive volumes of milk being moved away from Murray Goulburn operations this year, it still prior would have been seen as nothing more than an abandoned factory, but the padlock to stop any other diary group a chance to work with farmers. This could be just acceptable, if it wasn’t tested when they had the chance to partner with a non-dairy business at no cost to themselves and financial reward obvious.
“My clients were disappointed as were people in government and our region that the dormant, stripped down and powerless building is an important part of the future strategy for Murray Goulburn, when they valued it written off within their own books at a mere $600,000.”
The co-operative reiterated this week it does not intend to sell the plant, which closed in 2010, with equipment inside the King Albert Avenue site still in “excellent” order, according to a company spokesperson.
“Leitchville remains a strategic asset for MG and we do not intend to sell the plant and equipment which are still in excellent order. This includes a high quality cheese production line which has the potential to be reused in the future if required,” the spokesperson said.
Although the plan will not proceed, some of the initial investors still want to develop projects in the area.
“We are working with them on a couple of significant options, which will be front and centre in the weeks ahead, as strategic reviews are being undertaken,” Mr Gibbs said.
“Gannawarra Shire Council’s chief executive officer and mayor will join me during the next investors visit to support the measures our region can undertake to secure projects like this and others in the future.
“On behalf of the those we represented and those community members supporting the work done, it would be remiss not to acknowledge the efforts undertaken by those who all made a good effort to see a solid outcome for Leitchville and dairy producers in this region.”
