Sugar mill strikes put Australia's cane harvest at risk
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jun 07 2024
0mins
Source: Yahoo Finance
- Industrial Disputes in Australian Sugar Industry:
- Strikes over pay at sugar mills owned by Wilmar International and COFCO have delayed cane crushing operations, threatening production.
- Delays could impact exports from Australia, the world's fourth-largest sugar exporter.
- Concerns arise about shorter processing seasons and potential disruptions to overall sugar production.
- Union Demands and Negotiations:
- Unions are asking for pay rises of 18% and 21% over three years at Wilmar and Tully mills, respectively.
- Workers seek higher wages due to challenging work conditions and previous inflation.
- Companies have offered increases but face potential strikes if agreements are not reached.
- Upcoming Votes and Ballots:
- Unions at Wilmar will vote on an offer on June 10-11, with expectations of rejection.
- Tully workers plan to ballot in the week of June 17, potentially leading to work bans.
- Impacts on Harvesting and Community:
- The delays in starting crushing operations affect harvesting crews and community income.
- Every day of delay is crucial as it impacts the financial stability of districts relying on the sugar industry.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
