Aussie cotton farm’s new owners eye water savings
Published September 6th, 2012
The imminent rescue of debt-ridden Australian cotton farming concern Cubbie Group from administration by a Chinese/Japanese consortium could result in greater efficiencies in the way the station currently uses water.
The use of flood irrigation techniques at Cubbie has been heavily criticised in the past, but the review of water usage efficiency which the prospective new owners have signed up to as part of the federal approval process has clear potential to free up water entitlements, which could then be sold on the open market.
Under the proposal, the operation and maintenance of Cubbie Station would be undertaken by Australian agricultural property management firm Lempriere, while 80% of the Cubbie Group would initially be held by textile manufacturer Shandong RuYi. RuYi has committed to sell its shareholding down to 51% within three years, and will investigate the possibility of a stock exchange listing for Cubbie as part of this process.