Ravensdown Fertiliser Australia had a profitable first full year of operation, 200 shareholders heard at the company’s first annual meeting in Townsville last Thursday.
“The support we’ve received from CANEGROWERS and growers has been extremely positive and means we can accelerate our five year establishment plan in the State and continue to develop a more complete offering,” Ravensdown Fertiliser Australia Chairman Rodney Green told the meeting.
“One of the major planks in the establishment plan is our intention to invest in the brand new Townsville store we are currently leasing. This will give us good storage facilities in Brisbane and Townsville.”
CANEGROWERS Chairman, Alf Cristaudo, said the move by CANEGROWERS over 18 months ago to bring Ravensdown – a leading fertiliser co-operative in New Zealand and Western Australia –to Queensland is paying off.
”The cane industry, concerned about spiralling prices for a farm input, fertiliser, wanted to bring a strong company with a transparent pricing structure to the eastern-seaboard,” said Alf Cristaudo.
“What sealed the deal for growers was being able to take a stake in that company and provide growers with genuine competition,” he said.
“The meeting in Townsville last night followed an equally successful meeting, of approximately 200 canegrowers, in Mackay at their Annual Meeting,” he said.
At both meetings Ravensdown CEO Rodney Green explained to growers the current and future initiatives for the co-operatively structured business in Queensland. He also gave growers the assurance that the teething problems experienced by some growers have now been resolved and growers were comfortable with these assurances.
Ravensdown’s entry into Queensland heralded lower prices, but growers who have bought in say their decision was more about the long-term. “Ravensdown’s co-operatively based business principles mean we return our profit to shareholders, we have transparent pricing and we listen to them,” says RFA’s Rodney Green.
“Since our entry level offer in Queensland in 2009 we have taken feedback on-board and improved our offer. We’ve introduced agronomic support staff; we’re offering an increased number of products; we don’t require a deposit; we’ve improved bag quality; and we’re offering a range of payment options at the time of ordering,” he says.
“Founding members of Ravensdown Fertiliser Australia received an additional rebate of A$20/tonne. This rebate is about rewarding support, particularly those who had the courage and foresight to help establish Ravensdown Fertiliser Australia in Queensland,” says Mr Green.
“Expanding operations in Australia and New Zealand gives us economies of scale through sourcing and inventory management, increasing efficiency and spreading our overheads over an increased tonnage.
“Our Queensland shareholders have different requirements to our New Zealand and Western Australian farmers and we will continue to seek to increase the value of our offer.”
Mr Green finished the meeting by confirming Ravensdown Fertiliser Australia had a healthy balance sheet and good cashflows. “The board is looking forward to continuing to maintain and develop this new operation so it continues to meet shareholders’ growing and changing requirements.”
