RIVERLAND REGIONAL DEVELOPMENT

The Hon. G.A. KANDELAARS (15:09): I seek leave to make a brief explanation before asking the Minister for Regional Development a question about regional development in the Riverland. The Riverland is an iconic area for many South Australians, both as the source of horticultural produce, such as citrus, stone fruit and grapes, and also as a destination for relaxation. Now that the drought which so devastated the area and the River Murray is a fading memory, some may think that there is nothing happening to the development of the economic base in the Riverland. Can the minister advise the chamber about a recent grant in the Riverland?

The Hon. G.E. GAGO (Minister for Agriculture, Food and Fisheries, Minister for Forests, Minister for Regional Development, Minister for the Status of Women, Minister for State/Local Government Relations) (15:10): I thank the honourable member for his most important question and his deep interest in regional matters. I am very pleased to have the opportunity here today to talk about further developments in the Riverland.

The government has worked through the Riverland Sustainable Futures Fund to ensure that there are tangible benefits for this very important region, and I believe we have made considerable headway. The Riverland Sustainable Futures Fund was established to assist industry restructuring and to promote sustainable economic and social development in the Riverland.

The futures grants have helped to provide up to 219 jobs for the region in areas including education, tourism, local business, local business development, and the food and beverage sector. So today, I am very pleased to advise the chamber that I have committed approximately $1.2 million from the fund to a Berri manufacturing company, Valls Styrene. This company plans to use the funds as part of a $2.64 million project to expand its operations for the manufacturing of environmentally friendly building insulation products. These include expandable polystyrene insulation which is attached to the Colorbond roofing materials at the time of manufacture.

These building systems have the advantage of saving construction time, cutting out several steps in the building process and obviously the need to add separate insulation. I understand that this building material is both safer during building construction, as it reduces the number of processes used in roofing work, and has lower costs than some of the alternatives in the market. Manufacturing these products in the Riverland adds to the region’s manufacturing capacity, and these new products will bring increased export opportunity for Valls Styrene, as well as millions of dollars of revenue to the region and obviously further diversification of the Riverland’s economic base.

The funding will be used towards building infrastructure in Berri, as well as plant equipment, and I think it is also industrial land. Valls Styrene is a local firm which was established in 1983 and they started by supplying polystyrene packaging to Riverland fruit growers. It has expanded its Berri operations now to four sites, offering a diverse range of products and mouldings to include industrial and refrigeration packaging and building products.

This further diversification project will enable the building on a Berri site for the company to house its operations to manufacture lightweight environmentally friendly insulated roofing and wall building products and as well, I am advised, seeing up to 12 new full-time positions being created. So this is another fabulous project initiative being supported from our futures fund to assist the Riverland in its diversification program and helping it to sustain a strong and viable economy.