Legislative Council - Fifty-Fifth Parliament, First Session (55-1)
2025-06-05 Daily Xml

Contents

Regional Business Closures

The Hon. J.S. LEE (14:32): I seek leave to make a brief explanation before asking a question of the Minister for Primary Industries and Regional Development about regional business closures.

Leave granted.

The Hon. J.S. LEE: On 3 June 2025, The Advertiser reported that the Seven Point Pork abattoir in Port Wakefield will close in January 2026, resulting in the loss of 270 jobs. JBS cited the facility's lack of viability following the withdrawal of a strategic partner. This closure follows the recent relocation of Balco's headquarters from Balaklava and comes amid ongoing drought conditions in the region. Local leaders have warned that the cost of doing business in regional South Australia is becoming unsustainable, with energy, freight and workforce costs all contributing to business closures. My questions to the minister are:

1. What specific steps is the government taking to reduce the cost of doing business in regional South Australia to prevent further closures like those I mentioned?

2. Has the government conducted a regional competitiveness review to understand why major employers are withdrawing from towns like Port Wakefield and Balaklava?

3. Will the minister commit to a regional industry assistance package to safeguard regional jobs and support businesses at risk of closure due to rising operational costs?

The Hon. C.M. SCRIVEN (Minister for Primary Industries and Regional Development, Minister for Forest Industries) (14:33): I thank the honourable member for her question. First of all, however, I think it's important to reiterate what I said in answer to a question about this particular matter yesterday, which is that the reason that has been provided for the mooted closure of JBS in January next year is essentially the loss of a customer. That is not about cost of doing business.

In terms of the various things that the Malinauskas Labor government has done to reduce costs to business, I would refer the honourable member to the various reports that we have had from independent bodies that have stated that South Australia is one of the best places to do business. That is something that the government is proud of but will, of course, continue to work on. So I think that it is important to differentiate the reason for this closure. I think that is quite different from the aspects that the honourable member is referring to.