Australia: Joe White Maltings will close its Wendouree malt production plant

Australian agribusiness, ABB Grain Ltd announced on October 6 that its wholly owned subsidiary, Joe White Maltings, will close its Wendouree malt production plant at Ballarat from December 1.

Joe White Maltings says the decision was due to the need for major capital investment in the Ballarat plant to bring it up to efficient operation. “The 30,000 tonnes of malt previously produced by Wendouree will now be covered by the more efficient, low cost Forrestfield plant in Perth,” ABB Grain Ltd’s managing director, Michael Iwaniw, said.

“In addition to covering the malt production previously produced at Wendouree, an additional 70,000 tonnes will be produced at Forrestfield. “The doubling of Joe White Maltings’ Forrestfield’s annual malt capacity to 200,000 tonnes is the result of a $40 million upgrade to the WA plant, with the extra production used to supply the expanding malt market in Asia.

“The increased efficiencies we will gain from the Western Australian upgrade, which will be completed in February 2006, will better position ABB and Joe White to compete in the Asian market.”

Joe White Maltings’ other plants in the Ballarat region – Lake Gardens and Delacombe – will continue to produce malt. Many of the Wendouree staff are long-term employees and Joe White Maltings’ chief operating officer, Andrew Gee, said he regretted there would be some job losses.

“The company will be working with affected employees to try and find alternative employment within the region,” Mr Gee said. “All employees will receive their full entitlements. “The Wendouree plant is very old and malt very expensive to produce – continued production there is unsustainable.”

07 October, 2005