Industry likely to suffer following closure of chip factory
Following an announcement from food giant PepsiCo, of the closure of the Smith's Chips Western Australian factory and distribution centre, Shire of Manjimup President Wade DeCampo is expressing grave concerns for the WA potato industry.
"The closure of the Smith's Chips factory is going to hit the industry hard, particularly in the Southern Forests region," said Cr DeCampo, who explained that approximately two-thirds of the potato supply for Smith's coming out of the Southern Forests Region.
"Potato production has always been a stable and reliable platform for local producers, but with this blow to the industry when people's incomes and livelihoods are already under threat from the looming de-regulation of the potato industry, we need to be prepared for what comes next," said Cr DeCampo.
Manjimup has been enhancing its Supertown status with various initiatives that are aimed at increasing investment and economic activity in the region. The Southern Forests Food Council, one of the initiatives under the Royalties for Regions funded Agricultural Expansion Project, is making ground with the expansion of markets for fresh produce, both nationally and internationally.
"Farmers in the region already diversify, but it is something that certainly needs to be encouraged further in order for businesses remain viable. This too presents problems though, as it causes greater competition and may flood and pressurise other markets."
Cr DeCampo noted that the decrease of economic activity that will result following the closure of Smiths will cause negative flow-on effects throughout the region - and wider. "The number of job losses for the people who work out of the Canning Vale factory is huge, not to mention that potato production contributes greatly to our local economy. There are also the social and environmental impacts that the state is going to feel."
"Our focus will remain on building the region's momentum as the food bowl of WA and we'll most certainly continue to promote agriculture as a career path."
Click here to see a news article regarding the closure of Smiths in WA.
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Authorised by Andrew Campbell, Chief Executive Officer, Shire of Manjimup
Contact: 9771 7777
Contact Gina Nieuwendyk, Public Relations Officer, Shire of Manjimu
Contact: 9771 7777
Contact for comment: Wade DeCampo, Shire President
Contact: 0427 094 081