World Grain - August 2022 - 44

REGIONAL REVIEW: AUSTRALIA MILLING SECTOR CONSOLIDATED BUT HIGHLY EFFICIENT
home has increased steadily. "
The ATMA puts the annual domestic
consumption of flour in
Australia at around 1.5 million
tonnes, with a further 440,000
used for industrial purposes such
as starch and gluten. It also said a
varying tonnage of flour products
are exported.
The association puts total production
of flour at around 2.1 million
tonnes, and noted that around
60% of flour sold for human consumption
is used by commercial
bakers, adding that millers have to
use wheat.
" Unlike other end users, there is
ATMA puts the
annual domestic
consumption of
flour in Australia at
around 1.5 million
tonnes, with a
further 440,000
used for industrial
purposes such as
starch and gluten.
not the luxury of being able to substitute
other grains, " the ATMA said. " The flour milling
industry therefore has a vital interest in the sustainability
and profitability of the Australian wheat industry. "
Domestic use of the wheat crop accounts for 25% of
the typical crop each year, the ATMA said.
" Clearly this is a significantly higher percentage in
low yield years, " the ATMA said.
The domestic requirement rises in the eastern states
of Queensland, New South Wales and Victoria, to
45% of the crop, leaving 55% for export. The ATMA
stresses the need for a reliable supply of a full range of
wheats to enable millers to produce flour with the varying
characteristics required by individual customers.
The big three
There are three big players, in particular: Mauri, which
is part of George Weston Foods (GWF), itself a division
of Associated British Foods; Allied Pinnacle, owned
by Nisshin Seifun Group, part of which is Nisshin
Flour Milling, the largest flour miller in Japan; and the
Australian family-owned Manildra Group.
In May 2022, GWF announced plans to build a new
flour mill in the Ballarat West Employment Zone, in the
state of Victoria. The company said the new mill would
create 174 new jobs in Victoria and transfer 46 jobs
from GWF's existing flour mill in North Melbourne.
The new mill is part of an investment totaling A$132.9
million (US$89.3 million) by GWF in the state.
As well as the new flour mill, it is adding a Tip
Top boutique bakery in Bendigo, relocating its
Golden Crumpet manufacturing line from Adelaide
to Dandenong, upgrading its Don KRC business in
Castelmaine to increase exports and expanding its
Yumi's plant in Hallam to increase production.
" We are excited to be investing in the future of sustainable
agriculture and food production in Victoria, "
44
said Stuart Grainger, chief executive
officer of GWF.
" This new flour mill, together with
other investments, enables us to continue
to grow our Tip Top, Abbotts,
Don and Yumi's brands while also
being able to serve the needs of our
Mauri customers, " he said.
Also in May, Manildra Group
received news of A$85 million
(US$57 million) in funding to build
a cleaner power plant running on
natural gas instead of coal, significantly
reducing its emissions. The
investment is being made on behalf
of the government by the Clean
Energy Finance Corp. It will form
part of a A$190 million (US$128
million) project to build a cogeneration power plant at
the company's Shoalhaven Starches plant in Nowra,
New South Wales, the global leader in the production
of vital wheat glutens, modified proteins, wheat starches,
syrups to ethanol and animal stockfeed.
The new power plant will cut emissions at the energy
intensive site by some 40%, a reduction of an estimated
332,000 tonnes of carbon dioxide per year. The new
plant will be completed by early 2023. The installation
of cogeneration technology will reduce emissions at the
energy intensive Nowra plant by about 40%, abating an
estimated 332,000 tonnes of CO2-e annually. Manildra
will no longer use coal to generate steam at the plant.
Work on the plant will start by the middle of the year
and is expected to be completed by early 2023.
John Honan, managing director at Manildra Group,
explained that " employing more than 350 people on
site, our integrated manufacturing process relies on
heat (from steam) production to power our operations,
day-in, day-out, 365 days a year. We're very proud to
work with the CEFC. "
" Their support has enabled Manildra Group to increase
cleaner energy sources, substantially reduce
our greenhouse gases and reduce coal usage entirely, "
he said.
Ian Learmonth, chief executive officer of CEFC,
described Manildra Group as " a globally competitive
family business that recognizes the financial prudence
of long-term investment in lower carbon fuel to power
production. "
Chris Lyddon is World Grain's European correspondent. He may be
contacted at: cajlyddon@gmail.com
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August 2022 / World Grain / World-Grain.com
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World Grain - August 2022

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