Growers paid to experiment with sugarcane on land traditionally used for peanuts, grains

Australia Broadcast Center

5 days ago

Fourth-generation peanut farmer Ben Rackemann was hesitant when his father suggested growing sugarcane at a time when farmers across Queensland were abandoning it.
But when the local mill offered to pay him to plant it, he took the chance to trial a new crop on his Coalstoun Lakes property, 300 kilometres north of Brisbane.
Just over a year later, it is hard to deny its success as test results show the high-quality potential of the stalks now towering over him.
As the industry faces pressure from shrinking plantings and waning investment, he is among the few not giving up on sugar.
Mr Rackemann's cane crop is one of the first for the small community, which will be crushed at the Isis Central Sugar Mill, 70 kilometres away.
In 2024, the mill offered farmers $500 per hectare to plant on land not used for cane in the past three years.
Chief executive Craig Wood said supply had increased as other nearby mills closed, but the future remained uncertain.
"There's been a major change since 2001 … with the advent of macadamias and so forth," he said.
"We have been down to a very low ebb, but now we're starting to see a little bit extra [planted].
Mr Rackemann is trialling five varieties on irrigated and dry land across 46 hectares, which will be ready for harvest next year.
"We're still learning … but it's exceeded all expectations," he said.
"We just got estimates in terms of yield, and I'm pretty happy."
He said the irrigated cane yielded about 110 to 120 tonnes per hectare, while the dry land was close to the mill's 10-year average of between 80 and 90 tonnes per hectare.
It did not take long for farmers in the small community to notice the new crop and its potential.
The Rackemanns' neighbour Kerry Dove planted his sugarcane trial block almost a year ago, hoping for a reliable alternative to his usual rotation crops.
The invasive fall armyworm made his previous corn and sorghum crops unviable, and unusually heavy rain halved his latest peanut crop.
"We're hoping that this will work … we'll just wait and see the tonnes per hectare we get and the dollars per hectare we make," Mr Dove said.
If successful, he could plant a further 30 hectares.
"In the next couple of years, there will be more trials and a little bit more confidence may build in the area."
Grower representative group Canegrowers chief executive Dan Galligan said over the past 20 years, tough weather conditions and poor mill performance had contributed to many leaving the industry.
But he said diversification projects, like using cane for biofuels, had helped slow the trend.
"We're seeing places expand out of what might have been horticultural crops back into cane," Mr Galligan said.
While planting incentives were commonly used to increase cane supply, Mr Galligan said the trial at Coalstoun Lakes was unique.
Isis mill's productivity services officer Anthony LaRocca has been tasked with making the crop work, 150 kilometres from the coast, where frost, lack of water, and volcanic rock present new challenges.
He worked with farmers to determine planting windows and appropriate cane varieties, and to manage their expectations.
"That region is different from what is a common cane-growing area, so we didn't want to elevate their expectations beyond what we thought was capable," he said.
Mr LaRocca said the trial was also providing new insight into soil and moisture conservation methods.
"They've been successful farmers for a long time," he said.
"I don't want to go up there and tell them: 'This is the rule book' … we've adapted to suit their conditions."
It is not the first time the mill has tried to grow sugarcane in new areas.
In 2017, plots were planted in Gayndah in the North Burnett, about 40 kilometres inland from Coalstoun Lakes.
While deemed a success, access to water and transport that relied on the re-establishment of an old rail corridor ultimately proved insurmountable.
Next year, the first official harvest will use a mix of hired specialist equipment and modified machinery before the sugarcane is trucked to the mill.
"We've got a lot of learning to do between now and that point, but we'll just take it a year at a time and see how it ends up," Mr Rackemann said.