SIMPLOT’S management has been urged to delay a decision on the Bathurst plant’s future as the Federal Government considers a financial support package.
Subscribe now for unlimited access.
$0/
(min cost $0)
or signup to continue reading
Calare MP John Cobb, who toured the plant earlier this month with Industry Minister Ian Macfarlane, yesterday said the government needed more time to consider Simplot’s case and had asked management to resubmit its business case.
Mr Cobb’s plea came as speculation mounted yesterday that an announcement on Simplot’s future might be made as early as this morning.
He said the Federal Government acknowledges the commitments of support for Simplot from Bathurst Regional Council and the State Government, but said the Commonwealth was considering a much larger request.
“In light of the serious budget situation the Federal Government is facing, any proposal must have the approval and endorsement of the Cabinet,” Mr Cobb said.
“Therefore, at the meeting we requested that Simplot resubmit their business case to our new government, demonstrating their intention to remain in Bathurst for the long term.
“To date, I am unaware this has occurred. We do not have access to the business case that was submitted to the previous federal government.
“This request to the Simplot board is very genuine, as I am sure they are aware, and should be seriously considered if they have a desire for assistance to keep operating in Bathurst.”
Simplot management announced in June that it was reviewing operations at the Bathurst plant in light of difficult trading conditions.
Since then, the State Government has offered the company generous income tax rebates while Bathurst Regional Council has committed to co-funded water infrastructure upgrades if Simplot commits to keeping its Bathurst plant open.
But Mr Cobb’s plea yesterday was the first public indication that the Federal Government was seriously considering its own support package.
Until now, government representatives have said only that they would support Simplot through the abolition of the carbon tax and by reducing the cost of business for all Australian companies.
Bathurst’s Simplot plant employs around 160 full-time staff and many more casuals during the summer corn season.
