RIVERLAND REGIONAL DEVELOPMENT

The Hon. G.A. KANDELAARS (14:45): I seek leave to make a brief explanation before asking the Minister for Regional Development a question on regional development in the Riverland.

Leave granted.

The Hon. G.A. KANDELAARS: Many keen gardeners appreciate the variety of plants and seedlings available to choose from. While the stocks on nursery shelves at this time of year are not as colourful as at other times, it is always worth a look. Can the minister update the chamber on the progress relating to a nursery in the Riverland?

The Hon. G.E. GAGO (Minister for Agriculture, Food and Fisheries, Minister for Forests, Minister for Regional Development, Minister for Tourism, Minister for the Status of Women) (14:46): I thank the honourable member for his important question. I am very pleased to update the chamber in relation to the Plumco Nursery, a Renmark-based nursery run by the Plummers, which embarked on a $1.1 million project last year with assistance from the Riverland Sustainable Futures Fund, and this project is well on its way to completion. The $438,000 grant made available to the Plummers in late 2011 was to assist this important local producer to upgrade its facilities on Airport Road, Renmark. The family owned and run business, which I have had the pleasure of visiting, has begun a project to expand and automate its facilities.

The project presents a distinct economic benefit to the region by allowing the company to increase production and supply a much larger variety of vegetable and flower seedlings, as well as the very popular potted colour plants to growers, local government, retailers, function caterers, chain stores and garden centres. Plumco has already completed major construction works, including a storage warehouse, a greenhouse, staff rooms and soil bins, and I understand that a germination room is also currently being built, which will allow the nursery to increase germination capacity and quality for the important spring production.

The company, which currently employs about 38 people, has already added staff due to the expansion. Five casual staff have been employed on a permanent basis, including four in apprenticeships, working in Plumco's new seeding area. In addition, the business has also taken on an office administrator and a transport driver, with a further two people employed in the building process. Local production of small seedlings in trays means the nursery will no longer have to import this type of stock from Victoria and Queensland, obviously providing an economic benefit to the region and making this particular part of the industry more self-reliant. I understand that producing seedlings in the Riverland means that exports to other states will also be increased, which is a very pleasing and positive outcome for the business and the region.

I understand that expansion so far has already paid dividends, by enabling an increase in business turnover and improved efficiencies in this financial year. The project is not expected to be entirely complete until mid-2014, but it is pleasing to hear of the progress that has been made to date, which is already providing many benefits. As members will recall, the Riverland Sustainable Futures Fund is designed to help the region strengthen its economy by encouraging sustainable economic benefits to one of the important food bowls in our state.

The $20 million fund is accessible by industry and businesses to bolster projects that improve infrastructure, support industry attraction and help grow existing businesses and can provide up to 50 per cent of eligible project costs. I take this opportunity to congratulate the Plummers on their hard work so far. They are wonderful people and they employ a fabulous staff who are very dynamic and hardworking. I congratulate them and obviously I am looking forward to seeing the completion of this important project.