Agreements between the State Government and Chinese-owned Kimberley Agricultural Investment were reached this week, overing 7400ha at Goomig Farmlands, near Kununurra, as part of the Ord Stage 2 project
China secures deal for big expansion of Ord crop land
by Jenne Brammer
Agriculture in the Ord Valley is set for a massive expansion after long-awaited agreements between the State Government and Chinese-owned Kimberley Agricultural Investment were reached this week.
Agriculture Minister Alannah MacTiernan confirmed the agreements, covering 7400ha at Goomig Farmlands, near Kununurra, as part of the Ord Stage 2 project, had been finalised and would be executed in coming weeks.
The Goomig Development Lease and the Goomig Common Area Lease and Infrastructure Management Agreement support the transition of pastoral leases into irrigated farmland to grow crops.
The lease agreements support long-term development opportunities in the Ord, including broad-acre farming and value-added industries such as grain grading and processing.
KAI general manager Jim Engelke said the company would start building a $5 million grain processing plant within months. Longer term plans include a $40 million cotton gin.
KAI will plant its first big scale cotton trial (300ha) next year.
Ms MacTiernan said the McGowan Government had set about finalising this lease agreement as a priority given negotiations had been under way for more than two years.
“More than $300 million has been invested by the government in Ord Stage 2 to date, and KAI has become a very important development partner with its significant investment,” she said.
Ord Irrigation Cooperative chairman David Menzel said the Ord River Valley irrigated farming area was finally reaching an economy of scale that would ensure its success and deliver outstanding returns.
