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Food & Beverage

WA Govt Funding Spurs Family-Food Biz's Expansion

2024-12-09

Foodfolk Australia, a Western Australian family-owned and operated business, is experiencing remarkable growth with the support of a government investment. This investment is enabling them to expand their operations and put their delicious ready-made meals on more in-flight menus.

Government's Investment Unlocks New Heights for Foodfolk Australia

Government Support and Business Expansion

The Western Australia Government's investment of $1 million through the Value Add Investment Grant is playing a crucial role in Foodfolk Australia's growth journey. This grant is allowing the business to undertake its ambitious $10 million expansion project. By relocating and upgrading their operations at Perth Airport, Foodfolk Australia is setting the stage for significant growth.The introduction of new state-of-the-art technology, advanced equipment, and automation will enhance the capacity and efficiency of the business. It will enable them to triple their meal production, increasing their share in the Australian aviation and non-aviation markets. This includes sectors such as mining, events, hospitals, and aged care. Moreover, it opens up opportunities to attract new international air-carrier customers.

Ethos of 'Less Waste, More Taste'

New processing and packaging equipment will be a key aspect of Foodfolk Australia's expansion. This equipment will support their ethos of 'less waste, more taste' by extending the shelf life of fresh packaged meals from five days to 20 days. This not only reduces waste but also ensures that customers can enjoy their delicious meals for a longer period.

Job Creation and Local Economy Boost

The expansion is expected to create 100 new jobs over the next three years, with the potential for a further 100 jobs within the decade. This job creation will have a significant impact on the local economy, providing employment opportunities and contributing to the growth of local supply chains.The Value Add Investment Grants program is not only helping Foodfolk Australia but also a diverse range of agrifood and beverage businesses across the state. These grants are enabling them to take on large-scale expansion plans and provide a much-needed boost to local economies.As Food Minister Jackie Jarvis said, "It's truly exciting to support Foodfolk Australia, which started as a small business, to reach new heights and put more of WA's incredible produce on the menu." The Cook Government's continuous support for the growing food industry is evident through programs like the Value Add Investment Grants.Foodfolk Australia's story is a testament to the power of government investment in supporting local businesses and driving economic growth. With their expanded operations and increased production capacity, they are set to make a significant impact in the food industry.

South Australian wine exports to China have witnessed a significant surge, reaching an impressive $558 million in the 12 months up to October. This remarkable growth comes after Chinese tariffs were lifted, with over 99 per cent of sales occurring in the subsequent seven months. This development marks a major comeback for the state's wine industry, which had faced severe setbacks due to trade restrictions.

Unlock the Potential of South Australian Wine in China

Impact of Tariff Lifting on South Australian Wine Industry

The removal of tariffs on Australian wine in April has had a profound impact on the South Australian wine industry. Overall, wine exports from South Australia during this period reached a record $1.7 billion, representing a 38 per cent increase compared to the previous year. South Australian producers now hold a significant share, accounting for two-thirds of Australia's total wine exports, which are valued at $2.5 billion. This surge in exports showcases the industry's resilience and ability to adapt to changing trade conditions.In addition to China, South Australia's second-largest wine export market, Hong Kong, also experienced impressive growth. Sales in Hong Kong rose by more than 30 per cent, reaching $237 million. This indicates the growing demand for South Australian wine in international markets.

Diplomatic Efforts and Government Support

The turnaround in trade with China was made possible through months of diplomatic efforts by the Federal Government. Ministers Don Farrell and Penny Wong played crucial roles in normalizing trade and removing tariffs. In March, the South Australian Government unveiled a proactive $1.85 million reengagement package to help local wine exporters capitalize on the opportunities in China.Trade and Investment Minister Joe Szakacs emphasized the importance of this effort. He stated, "From a total cessation of wine exports to China, as a result of the combined effort and dedication from wine producers and government alike, the return has been very pleasing. Anticipating the lifting of tariffs, it was crucial to act quickly, and that's why we invested heavily in our reengagement package, supporting our exporters to get back into the market as soon as possible. We are now seeing the dividends of that investment, with our producers selling more than half a billion dollars of wine to China in just seven months."The initiative has provided extensive support to exporters, including attending major trade shows and receiving critical on-the-ground assistance from trade experts both domestically and abroad.

Opportunities for South Australian Wine Producers

Matthew Deller, CEO of Wirra Wirra Vineyards, highlighted the significance of the tariff removal. He said, "The removal of tariffs has opened up China as a valuable additional market in our export diversification strategy. For Wirra Wirra, it's an opportunity to re-establish relationships and introduce McLaren Vale's premium wines to a dynamic and growing audience. Chinese consumers are increasingly drawn to authenticity, quality, and sustainability—qualities that are at the heart of South Australian wine."This week, the reengagement package facilitated the return of Chinese wine buyers to South Australia, where they engaged with representatives from over 70 wineries across eight regions. This direct interaction between producers and buyers is expected to further boost South Australian wine exports.

Improving Trade Relations and Other Milestones

In a broader sign of improving trade relations, the Australian and Chinese governments recently announced a schedule to resume imports of Australian Southern Rock Lobster. Exports of this prized seafood are expected to resume later this month, marking another significant milestone in the recovery of trade between the two nations.This series of events demonstrates the positive trajectory of South Australian wine exports and the efforts being made to strengthen trade relations between Australia and China. South Australian wine producers are well-positioned to capitalize on these opportunities and continue their growth in the global market.

The Queensland Government has achieved remarkable feats in strengthening export opportunities and attracting further investment for local projects. Through a highly successful trade mission to Japan and South Korea, significant steps have been taken to boost the state's economic standing.

Unlock Queensland's Export Potential with Government Support

Minister's Trade Mission Highlights

Minister for Finance, Trade, Employment and Training, Ros Bates, embarked on a crucial trade mission to Japan and South Korea. During this five-day journey, she visited key cities like Tokyo, Osaka, and Seoul and engaged in over 25 meetings and engagements across several industries. These industries included agriculture, resources, and renewables, laying the foundation for strong business connections.

One of the standout events was the Taste of Queensland event in Tokyo, where the state's world-class produce was showcased to 150 buyers and business leaders. This initiative not only promoted Queensland's agricultural products but also opened doors for potential trade partnerships.

Significance of Trade with Key Partners

Japan holds a significant position as Queensland's second-largest export destination, with exports reaching $16.9 billion in the 12 months to September 2024. The main drivers of this trade are coal, LNG, and beef. Similarly, Korea is Queensland's fourth-largest export destination, with $14.6 billion in exports during the same period, also led by coal, beef, and LNG.

The trade mission was about ensuring that key investment partners view Queensland as a business-friendly destination. Japanese and Korean investments in the state create jobs for Queenslanders and ensure the long-term success of the Queensland economy. Minister Bates is confident that there will be more investment outcomes following these meetings.

Benefits for Local Regions

By strengthening export opportunities and attracting more investment, local regions in Queensland are set to reap the benefits. The increased trade activities will lead to economic growth, job creation, and the development of local industries. This will have a positive impact on the overall prosperity of the state.

With the Queensland Government's active role in facilitating trade and investment, the future looks bright for the state's economy. The success of this trade mission serves as a testament to the government's commitment to promoting Queensland's interests on the global stage.