MEDIA RELEASE from QUEENSLAND FARMERS' FEDERATION

 15 May, 2006 

Economic impact of Mary River Dam needs urgent attention.

Queensland’s farm lobby has called on the State Government to urgently commission an economic impact statement on the proposed Mary River Dam to ensure that rural industries will have a secure future in the Mary Valley.   Queensland Farmers’ Federation Chief Executive Officer John Cherry said the resumption of 900 properties and 7600 hectares of prime agricultural land in the Mary Valley for the Traveston Dam would come at a major cost to the local economy. 

This will have a major impact on rural industry in Gympie, with 18 million litres of milk production and tonnes of fruit and vegetable production ceased,” he said. 

Farmers have invested millions of dollars into their farms in the Mary Valley because of the combination of rich soil, water availability and proximity to Brisbane. “ 
The economic study needs to assess where those farmers can relocate, and what assistance and compensation they will need to get there.

Water users further down the Mary will be looking for assurance that the diversion of water from the Mary to Brisbane will not impact on their long term farm viability. “

The loss of 7600 hectares of prime agricultural land will also have spin-off effects on service and support industries in Gympie which need to be assessed. It is concerning that none of this important economic assessment work had been done before the Government announced its plans for the dam. 

QFF has called on the Government to establish a joint industry taskforce to start working through the economic and industry consequences of this dam proceeding. “

The Mary River Dam, with the resumption of 7600 hectares of prime land and displacement of roads and rail infrastructure, is likely to cost a lot more than the $200-300 million cost foreshadowed by the Government

The cost also included the investment uncertainty now faced by 900 landholders whose investments are now in a state of limbo until the assessment of the dam proposal is concluded. “

QFF, Growcom and the Queensland Dairyfarmers’ Organisation, are looking for surety for producers, with a commitment from Government that landholders will be advised of progress with assessment of the dam as soon as possible.

The public also needs to be assured, before asking 900 landholders and their families to give up their homes and farms, that a full cost-benefit analysis has been completed and the alternatives to the dam fully considered.”

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Media Release QFF