Industrial business new stories in the City of Salisbury

$7 million Business Attraction Fund for Northern Adelaide Food Park

Coles Distribution Centre at Edinburgh Parks

The next stage of the Northern Adelaide Food Park is underway, with $7 million funding available to attract food and beverage processors, manufacturers, packaging and logistics businesses looking to locate at the new industry hub to create jobs, increase exports, and stimulate economic growth.

The Food Park will be located at Edinburgh Parks, instead of the site initially selected at Parafield Airport’s Cross Keys precinct.

A $7 million Food Park Business Attraction Fund is now available to help businesses looking to relocate to an innovative, smart and central food manufacturing area.

Existing food and beverage businesses located at the Food Park site in Edinburgh Parks, as well as international and interstate businesses looking to relocate to South Australia, may also be eligible to apply to the State Government’s $200 million Future Jobs Fund.

There are currently four well-known and reputable South Australian companies who are in negotiation to sign on as tenants of the Food Park.

Premier Jay Weatherill saidI’m thrilled to announce our $7 million Food Park Business Attraction Fund, which will help businesses relocate to reach local, national and international markets quickly.

South Australia is a global leader in growing clean and green produce and the food industry continues to grow at a record rate.

In December, our food and wine revenue hit a record $18.64 billion and created 3400 jobs in the past year and we’re pleased to continue supporting this industry through the Northern Adelaide Food Park and these grants.”

Background

The Food Park will generate economic growth in northern Adelaide by attracting new and expanding businesses. It will encourage innovation in the food industry by forging collaborative partnerships, economies of scale and knowledge sharing.

Parafield Airport Ltd’s Cross Keys Precinct was initially identified as the preferred site for detailed concept, infrastructure and implementation planning of a food park following an open market and site assessment process. This initial phase was undertaken with an intent from both parties to review the outcomes of concept planning before any further commitment.

After detailed planning, site feasibility work, and discussions with the food industry, it was determined the Parafield Airport site proposal wasn’t commercially attractive to the private sector, as it was unable to provide the flexibility of tenure or development opportunities many local businesses were looking for.

The Food Park will capitalise on ‘South Australia’s premium food and wine exported to the world’ credentials, maximising production of value-added food, wine and beverages.

The project forms a key part of the Northern Economic Plan, developed by the State Government in partnership with local councils, industry, business and the community to support economic growth and create jobs in the Northern Adelaide area.

For more information on the Food Park Business Attraction Fund go to www.pir.sa.gov.au/foodpark.

Edinburgh Parks

Edinburgh Parks in northern Adelaide is about 25 kilometres from Adelaide CBD. Based in the City of Salisbury Edinburgh Parks site offers rapid development opportunities for businesses, multiple tenure options and well-serviced with the majority of base infrastructure already in place.

Edinburgh parks provides a cost competitive opportunity for local food and beverage processors, manufacturers, packaging and logistics businesses considering expanding their business or starting operations in northern Adelaide. Food-based business that already call Edinbugh Parks home include Coles Distribution Centre (92,000 sqm), Inghams Processing Facility (24,000sqm), Comfresh, Infuse Bottling Co., and Nobel Wines.

The site will be home to leading local, national and international companies that drive growth and exports in South Australia’s value-add food sector.

Download: City of Salisbury – Food Processing Sector Profile

On The Run provides platform for Bickford’s to launch new products

Bickford's at Salisbury South

Bickford’s at Salisbury South

As reported in AdelaideNow,  On The Run is South Australia’s largest private employer in SA – with more than 2400 direct employees at its 130-plus stores – the 24/7 outlet is also a platform for local companies to launch products.

Salisbury-based drink company Bickford’s has had a strong relationship with OTR’s Shahin family for more than 20 years. It has successfully launched several products via OTR, the most recent being its Chiahh range of drinks.

In 2014, the two combined to create a stand-alone section, complete with dedicated SA branding, that promoted locally made beverages that went beyond Bickford’s range.

Golden North who also has the headquarters in City of Salisbury has also benefited with the launch of their soft serve ice cream.

To find out how more how you support local goods and services see www.ichooseSA.com.au

Edinburgh Parks sites get snapped up

Edinburgh Parks

While automotive manufacturing at GM Holden will end in 2017, there is a positive future ahead for the northern region.

With seven businesses taking up more than 19.8 hectares and creating approximately 250 jobs in Edinburgh Parks in the last two years, many businesses are realising the great value industrial property represents at Edinburgh Parks. This is supporting a smooth transition away from automotive activity. The recent purchases of several ex-automotive sites prove to be a gateway to future industrial development which will endeavour to bring in jobs and sustainably transform the region’s industrial base over the long term.

These advantages were recently be reported in the The Advertiser where businesses explain why they have made the move to Edinburgh Parks over other locations. Read here. 

The businesses who have made Edinburgh Parks their home in the last two years include:

  • Footersville
  • YourDC
  • Mayfield Engineering
  • Dowell Windows
  • Tilling
  • Comfresh
  • Infuse Bottling Company

There two other sites that are currently under negotiation with many more deals in the pipeline.

“What we are seeing is good value buying where businesses are realising the established infrastructure area of Edinburgh Parks,” said Mayor Gillian Aldridge. “Recent developments and project announcements across Northern Adelaide are encouraging signs for the ongoing economic transformation of the region”.

According to Businesses, there are a number of benefits businesses are seeing:

  • Major transport and infrastructure upgrades are bringing new and improved access to Edinburgh Parks including the $1 billion
  • Northern Connector and South Road upgrades.
  • Access to labour where northern Adelaide has South Australian’s fastest growing population
  • Proximity to major Defence Contractors, Defence Science and Technology Group and RAAF Base
  • Neighbouring freight companies and distribution centres such as Coles Distribution Centre based in Edinburgh Parks

To find the right site in Edinburgh Parks our Economic Development Team is here to offer investors and businesses free and confidential services to help you find the right site to grow and expand your business.

 

Call us on (08) 8260 8205 to find out how we can help

Technology Park- Smart, Growing and Global

Codan Premises at Technology Park 2Technology Park’s reputation as Adelaide’s premier business location for knowledge intensive firms has been further cemented with a raft of activity over the past six months.

“Technology Park is home to more than 80 businesses, and recent expansions and relocations will make a significant contribution to the ongoing value and synergies that come from like businesses co-locating,” said Mayor Gillian Aldridge.

“These businesses have University of South Australia expertise at their doorstep with the new multi-million dollar Future Industries Institute, which focuses on building knowledge and capacity in core future industries. It provides business real scope to leverage these research capabilities to address real world issues.”

Codan recently centralised its Adelaide operations to Technology Park bringing over 250 staff. Codan exports to more than 150 countries with leading-edge technology solutions that solve customers’ communications, safety, security and productivity problems in some of the harshest environments on Earth.

Managing Director and CEO Donald McGurk said Codan’s new premises underwent significant redevelopment and a refit “bringing a campus-feel to the workplace”. “It has been designed to foster a culture of collaboration and interaction by being predominately open-planned, with minimal offices and extensive break-out and meeting spaces,” he said.

The choice to relocate to Technology Park was a simple one for Codan, said Matthew Csortan, Executive of Operations. “Technology Park is the premier technology precinct in Adelaide and Codan establishing its global base of operations here puts us amongst other like-minded hi-tech and defence organisations, which will benefit both business and the community as well as supporting economic growth in the northern suburbs”.

Other recent expansions and relocations include:

  • Speedcast purchased and expanded facilities to provide teleport and satellite capabilities to service providers and the natural resources and government sectors. This recent acquisition accounted for a growth in staff and the construction of multiple on-site satellite dishes.
  • Ellex has signed a conditional contract to buy an office building of some 4,500 square metres, which will become the headquarters of this ASX listed company. They design and make ophthalmic lasers and ultrasounds to treat eye disease. This move will bring over 150 staff with plans to grow significantly to meet increasing export demands.
  • In November combat system manufacturers Lockheed Martin Australia opened their new facility, which integrates the best sensors, sonar, radar, navigation, imagery systems and weapons for Australia’s future submarine combat systems.
  • Global aerospace giant Boeing established their first ever South Australian headquarters at Innovation House at Technology Park to prepare for eight Boeing P-8A Poseidon maritime patrol aircraft at the RAAF Edinburgh Base.
  • Defence firm CEA Technologies is expanding from its current location in Technology Park to a new purpose built two storey office plus separate workshop.

 

Click here for more information on the business success stories in the City of Salisbury.

Mayne Pharma $25 million expansion to grow their US markets

Mayne Pharma pharmaceutical facility at Salisbury SouthBased at Salisbury South pharmaceutical company Mayne Pharma is investing $25 million in its manufacturing facility to support their significant export opportunities in the United States as highlighted by a story on AdelaideNow
Mayne Pharma is expanding by putting in new infrastructure and equipment in to its facility over the next 18 months.
Much of the spend is related to the production of its Doryx brand which is a treatment for acne in the US as Mayne last year suecured the marketing right for the brand in its biggest market.
Its expected this will fuel a growth in high-tech jobs which as already see a 25% growth in staff over the past two years to 200.
There will be high-tech jobs in the future at the site, which also houses its research and development centre, where the company innovates to improve older patents and formulations.
The Salisbury workforce has grown by 25 per cent in the past two years to 200 staff.
Their expansion plans includes

  • $10 million is going towards equipment, including a fluid bed dryer and sprayers, to add polymers or coatings to the drug that can control its release in the body.
  • $15 million is towards new tablet presses, high-sheer granulators and a tablet film coater which will be put into a new manufacturing rooms.
  • 600 square metres of new processing areas within the existing (12,000sq m) factory

The production faculties at Salisbury makes about 3 billion capsules and tablets, 100 metric tonnes of bulk product and 16 million units of liquids and creams of which 75% is exported to US. Other markets also include South Korea, Canada and some parts of Europe and Asia.

In SA, Mayne Pharma’s history stems from FH Faulding and Co and the company remains one of the largest and most prominent public companies headquartered in South Australia.

Mayne Pharma’s Website

$10 Million to grow small business and create jobs in the north

Guidelines released today outline how the $10 million Small Business Development Fund will support small businesses to grow and create multiple, ongoing jobs in northern Adelaide.

An initiative under the State Government’s Northern Economic Plan, the Fund will provide small businesses with financial support through two Grant programs, over three years.

A total of $4 million in Start-Up Business Grants worth up to $20,000 will assist entrepreneurship and new business establishment, while $6 million in Business Expansion Grants worth between $10,000 and $100,000 will support activities that grow small, established businesses.

The Grants are exclusively for businesses based in the local government areas of Playford, Salisbury and Port Adelaide Enfield. Applications open on July 1.

Background

The Small Business Development Fund is an initiative under the Northern Economic Plan, which has been developed by the State Government in partnership with the Playford, Salisbury, and Port Adelaide Enfield Councils, along with industries, businesses, and the community.

The Northern Economic Plan is a blueprint for a prosperous northern Adelaide, focused on creating jobs and empowering local communities. More information about the Northern Economic Plan is available at www.looknorth.com.au

The guidelines can be found here.

 

 

Food Park at Parafield Airport gives tenants $7 million boost

Food Park Parafield AirportA new Food Park will be located at Parafield Airport has been given a boost with $7 million to attract anchor tenants to the Northern Adelaide Food Park and to promote the use of renewable energy and energy storage solutions at the Food Park.

This announcement forms part of $24 million of new projects announced as part of the Northern Economic Plan launch by the Premier last week at Bickford’s at Salisbury South.

The 40-hectare site will be located at southern end of Parafield Airport and will bring together food manufacturers, packaging and transport companies. Co-locating services will improve efficiencies and cost competitiveness.

Every year for the past 17 years the state’s horticulture sector has increased in value. It currently contributes about $250 million to the total state economy (6.5 per cent). In addition, South Australia’s food and wine industries generated a record $18.2 billion in revenue in 2014-2015. Finished food and wine exports increased by 17 per cent in the past financial year.

The City of Salisbury truly is the food hub of South Australia with the largest concentration of food and grocery activity in the state delivering clean and green produce and premium food products to the world. We are the ideal location for food businesses and enjoy access to major food distribution centres whether that be via road, rail or air. See our Food and Beverage Processing Sector Profile for more about the benefits of locating food based operations in the area.

The park is currently on hunt for tenants. For more information and to register for updates visit www.pir.sa.gov.au/foodpark

Hugh Jackman invests in RM Williams

hugh-jackmanAussie actor Hugh Jackman has added is support for for R.M. Williams by announcing he has become a private investor in the company.

 

“R.M. Williams is proud to have Hugh Jackman as a shareholder. It is the strong view of the company that with the support of its shareholders there is a unique opportunity to take R.M. Williams and the iconic Adelaide-made boots, to a global customer”

The R.M. Williams Company was founded and established in South Australia in 1932 by Australian legend Reginald Murray RM Williams, who sold it in 1998.

R.M. Williams now exports to 15 countries, has more than 50 retail stores in Australia and a store in London.

“With its roots firmly planted in Outback Australia the company has at its core the famous R.M. Williams boots crafted from one piece of leather and worn by a discerning clientele from the bush to the board room.”

Here’s why R.M. Williams like doing business in Salisbury.

Bolt-on system to air-conditioner systems slashes power usage

IP Hybrid HVACSaving money and environment was the game at a local products launch at Para Hills last Thursday showcasing innovative products that can dramatically reduce power bills, while boosting their green credentials at the same time.

One of these products was the IP Hybrid HVAC fits to existing air-conditioner systems, boosting energy efficiency by up to 40% and slashing carbon emissions by a third. The product will be sold in South Australia by the Accumulus Energy Group. Owner and Founder Anup Reghaven said the technology’s simplicity makes it a genuine game-changer.

“It’s basically a car radiator, but for air-conditioners. It uses a by-product – water – to increase the efficiency,” he said.

The technology has been recognised at some of the most prestigious engineering and innovation awards in Australia, including the Nasscom Australia Innovation Award, which it won in 2013.

Other feature products at the launch included ThemoShield a thermal insulating coating for roofs which can reduce temperatures up to 45% and Solenergy showcasing their partnership with Solar Edge one of the main providers of the new Tesla Solar Battery Solutions.

With mercury rising this summer and with power bills for ever increasing appling energy efficient technologies can be fastest and most cost effective way to reduce costs in your business.

Osmoflo treatment of ground water enabling beer production

 

Water is always a major talking point in Adelaide, capital city of the driest state on the driest continent. Pro-active local industries often lead the way in adopting measures to conserve sometimes scarce drinking water supplies. Adelaide’s iconic Coopers Brewery is no exception to this cause and when planning its move to a substantially larger site actively sought out water saving measures including the replacement of mains water with ground water. Aware that the ground water source was slightly saline and would require treatment prior to use, Coopers’ management turned to Osmoflo which had already provided a small 200 kL/d reverse osmosis plant at the original Leabrook plant.

Osmoflo’s solution was to design a plant which met initial needs at the new brewery following its commissioning in 2001, but which could be easily upsized in line with future expansion. This occurred in 2007 when Osmoflo increased the capacity of its plant by 50% to 3ML/d Following pre-treatment to remove suspended solids the reverse osmosis plant reduces the salinity of the ground water from around 6,000mg/L TDS to 60mg/L. The concentrate or reject water from the desalination process is held in tanks and mixed with rainwater, making it suitable for the irrigation of a three hole golf course at the Regency Park site.

Coopers are achieving net savings by using ground water instead of mains water while the use of reject water in irrigation is also reducing effluent discharge costs. Osmoflo also offered its client a Build Own Operate arrangement whereby Osmoflo owns and operates the RO plant and the brewery is billed on consumption. Under this scheme, Osmoflo has the responsibility of providing water to the required standard, while Coopers can concentrate on what it does best – brewing beers of high quality.

Coopers Brewery Limited is the largest Australian-owned brewery, based in South Australia, brewing beer for over 150 years.

See here for more information about Osmoflo capacity.

Parafield Airport precinct to host 40ha Food Park

A 40-HECTARE food manufacturing hub will be established at the Parafield Airport precinct will bring together the packaging, distribution and transport of food products.

With Premier Jay Weatherill revealing the Parafield Airport precinct had been chosen from eight potential sites. The Government has allocated $2 million over two years to planning the food hub. “By co-locating and even sharing certain utilities creating cost competitiveness and driving efficiencies,” he said.

Chief Executive Officer of Food SA, Catherine Barnett, said today’s announcement was welcomed by the industry.

“The proposed Food Park is a great step for the South Australian food industry to encourage world’s best practice, collaboration and the opportunity to reduce manufacturing costs through new, efficient facilities and shared services,” she said.

“The South Australian food industry is very well networked and a hub, such as a Food Park, will continue to bring the industry together and will benefit those inside the precinct and other industry players who will want to use the facilities.”

Managing Director of Parafield Airport Limited Mark Young said the Food Park would further utilise airport land, extending the organisation’s portfolio of activities.

“Parafield Airport is located very close to food processing and manufacturing businesses and major food distribution centres in northern Adelaide, with close links to road, rail, air and heavy vehicle infrastructure,” he said.

The 40ha is based on south west corner of Parafield Airport and according to Parafield Airport Ltd Managing Director Mark Young the site was “development-ready and appropriately zoned as set out in the Parafield Airport Master Plan”.

In addition to the synergies that you get when you co-located like businesses together locating the Food Park at Parafield Airport will provide food business a number of compelling advantages including:

  • Centrality to a broad regional and metropolitan labour market
  • Limited residential interface, but close proximity to the amenities of Mawson Lakes
  • Synergies with the University of South Australia’s adjoining campus and nearby Technology Park
  • Access to low cost Salisbury Water which can be brought up to food grade quality to provide water supplies lower than SA Water
  • Locating at Parafield Airport also has a strong visual frontage to the community which is ideal for branding but also creates exciting potential for factory outlets with the vicinity. (Elder Smith 28,000 per day* Main North Rd 56,300 per day* – Average Daily Traffic Estimates (DPTI May 15)
  • Access to public transport including the train transport via City the Gawler line at Mawson Lakes, plus public bus routes on Main North Rd and Salisbury Highway.
  • Centrality to distribution centres including Aldi (Regency Park), Woolworths (Gepps Cross), Coles (Edinburgh Parks) a planned $65 million distribution centre at Salisbury South, Costco (Kilburn) and Adelaide Produce Market (Pooraka) with streamlined road access.
  • Excellent transport links facilitating quick access to the Port of Adelaide, airports and intermodal terminals. Direct connection to the National Highway to service interstate markets.
  • Proximity to major transport and cold storage companies including Gilbert’s Transport Service, Toll, Swire Cold Storage, Border Express, Auscold Logistics, Rapid Haulage and Scott’s Transport

The Salisbury Council understands that food processing provides a significant opportunity to create new jobs.  Over 1,600 people in Salisbury are already employed in this sector with 50% jobs growth between 2006-2011.  This level of growth reflects the vote of confidence food processors have given to Salisbury as their location of choice.  The Food Park will help maintain this growth which is critical to soften the effects of the declining automotive industry and to provide alternative manufacturing jobs for those displaced.

Parafield Airport Limited and the State Government are working collaboratively to undertake detailed concept design, planning and investigations. If you would like receive to further information regarding the Food Park Initiative, visit http://pir.sa.gov.au/foodpark and complete the registration form.

More details on the City of Salisbury as place to grow your food business see:

Food and Beverage Sector Profile

Logistics Sector Profile

City of Salisbury Investment Prospectus

Here why Bickford’s choose Salisbury relocate and expand their business in Salisbury.

BRW showcases planned $30m cloud data centre

Scott Hicks- YourDCAdelaide entrepreneurs Scott Hicks and Greg Siegele will build a cloud data centre, secure enough to meet Department of Defence standards, at a former car exhaust factory in the north of the city.

Hicks and Siegele are the major shareholders in start-up YourDC, which has just purchased the abandoned Tenneco Walker exhaust factory at Edinburgh Parks, a 6000 square metre facility sitting on a 25,000 sqm site about 25 kilometres north of Adelaide’s CBD.

YourDC’s investors – which in addition to Hicks and Siegele also include private investors from Adelaide, Switzerland, Darwin and Perth – expect to have spent $14 million by the time the data centre is ready for its first tenants in December.

“We hope the data centre will be a big enabler for Northern Adelaide, which has had a hard run over the last 12 months with General Motors Holden and a lot of manufacturing going,” Hicks says.

“There’s some amazing sites out there, and anybody wanting to move a business into Adelaide will want to have access to infrastructure like ours.”

Work has already begun to repurpose the factory as a cloud data centre meeting the Uptime Institute’s coveted ‘Tier 3’ rating.

“It means you’ve got a replication of every potential point of failure,” says Hicks.

“So we’ll be drawing power from two substations, multiple UPSs [uninterrupted power supplies] that maintain power in the event of an outage, and multiple generators that start 15 seconds after an outage with five days’ worth of diesel on site to keep them running. We’re looking at a 1.5 megawatt solar array on the roof too.”

Razor wire and guards will complement biometric hand scanners, pin codes and keys as security around the 1000 server racks YourDC eventually intends to house at the site, which by that stage will have cost $30 million to build. The founders also stress it is 50 kilometres away from South Australia’s earthquake faultlines and above the one-in-100 year flood line.

Hicks has calculated that YourDC becomes cashflow-positive upon renting space for 100 server racks, yet his due diligence has revealed demand for 300-400 racks’ worth in the next 12 months from local companies alone.

“There’s nowhere else to go in SA because the only other Tier 3 centre – Adam Internet’s, which I helped build – is at 90 per cent capacity and we’re not picking up any plans from the major players to increase capacity here.”

Data centre clients prefer to be able to reach their equipment within a short drive, Hicks says, while SA-based clients using the centre for network storage or low latency requirements could never consider racks in Sydney or Melbourne.

“From Adelaide they’re a 32 millisecond return trip, where a lot of that equipment requires a 3-4 millisecond response time.”

The data centre will be built in four stages over the next two years, assuming steady demand, with the first spaces available from December.

“We’re adding the mechanicals in a compact way that means we can grow with demand and not spend a ridiculous amount upfront,” Hicks says.

The SA Government is a likely client for some of the space, says Hicks, who also points out the centre is being built to Department of Defence specifications. A Royal Australian Airforce base will be a neighbour of YourDC.

“We’re also talking to the big managed services providers, who are finally rolling out cloud platforms and wanting them replicated at two facilities within SA,” Hicks says.

YourDC’s current headcount of 10 is planned to double over the next year, with another 70-80 jobs created during the build phase, Hicks estimates.

Some non-mechanical components of the build will be handled by Astelec, the telco construction company building a majority of the National Broadband Network in South Australia. Hicks is a passive 50 per cent shareholder in Astelec.

Hicks ran Adam Internet, the Adelaide-based ISP founded and owned by his father Greg, from 2004 to 2012. He reportedly disagreed with his father about selling the business, and left it in 2012, not benefiting financially from its $60 million sale to iiNet the following year.

Greg Siegele, who sold his video gaming company Ratbag to Midway Games in 2015, says he initially looked at YourDC as an investment, but loved the business plan so much he decided he wanted to become more involved at the operational level.

“Not only is there huge demand, I have enormous confidence in Scott, who has spent his working life building and managing one of the State’s most successful Internet Service Providers,” Siegel says.

Hicks is CEO and Siegele an executive director of YourDC.

*This story has been corrected to clarify Scott Hicks’ title at Adam Internet and the fact he did not benefit financially from its sale.

Original article can be found on the BRW site by clicking here.

State’s fresh produce food precinct set to expand amid growing export potential

 

Adelaide Produce Market design of new food precinctThe Adelaide Produce Market the State’s only fresh fruit and vegetable wholesale food precinct is set for its most significant expansion since 1988 with increasing export potential of local fresh produce into South East Asia.

In the late 1980s, the State’s only wholesale produce market moved from its longstanding location along East Terrace in the city to its current location in Pooraka when the industry required a larger, more modern facility. Since then, the Adelaide Produce Market has grown and continues to remain a hive of activity in the early hours each morning with growers and wholesalers supplying hundreds of supermarkets, greengrocers and other food service providers. Each year, around 290,000 tonnes of fresh produce is traded, worth an estimated wholesale value of $590 million.

Riding on the back of its Memorandum of Understanding with one of China’s largest wholesale markets, the Adelaide Produce Market is seeking expressions of interest from parties for their new fresh food precinct. The new fresh food precinct will cater for up to 70,000 square metres of food processing, export consolidation, warehousing and cold storage facilities and could house up to 50 businesses, adding to the 100 businesses currently on site.

“We have the supply chain, the location, the land, the existing facilities and over 100 years’ experience to make a food precinct really work,” Adelaide Produce Market CEO Angelo Demasi said.

“What we need are people and companies from within the processing, warehousing, logistics and exporting sectors, who are keen to grow and work with our existing growers, wholesalers and food service providers in driving sales of premium, clean and green fresh produce, both domestically and internationally,” he said.

See here for more details on the opportunity to become part of this precinct.

To find our more about our food industry download our Food Sector Profile.

Thomas Foods International looks to northern Adelaide for new manufacturing facility to meet export demands

Ready made mealsA South Australian food company Thomas Foods International is promising a significant number of local jobs out of a deal it has reached with a group of Thailand’s biggest private businesses as reported on ABC online.

Thomas Foods International has signed a memorandum of understanding with Thailand’s CP Group to build an advanced food processing centre to produce ready-made meals for export. Thomas Foods chief executive Darren Thomas said it could lead to tens of millions of dollars of investment.

“It will be one of our company’s biggest investments so it’ll be in the millions of dollars and the jobs will be there and they’ll be significant,” he said.

The SA Government hoped the deal might benefit Adelaide’s northern suburbs, where the unemployment rate is expected to rise once Holden shuts its car manufacturing plant by 2017.

“There’s been a lot of talk about the northern suburbs and the land availability,” Mr Thomas said.

“If you look at land availability … it would be a logical choice to be looking there.”

Mr Thomas said some of the automotive workers losing their current jobs might be well-suited to the potential work in food processing.

“[That is] because of the high technology and automation, in that there are some skill sets there that I think would be useful and we’ve had discussions along those lines,” he said.

Charoen Pokphand Group is Thailand’s largest private business

  •  Established in 1921, its annual turnover is $US43 billion
  • CP Group has more than 300,000 employees and operates in 18 countries

Thomas Foods International was established in 1988 as T&R Pastoral

  • Based at Murray Bridge in SA, it employs 2,500 people
  • Its annual revenue is $1.3 billion and it exports to 80 countries.

The memorandum of understanding arose from a recent South Australian trade mission to South East Asia, during which the State Government and Austrade introduced the two companies. Premier Jay Weatherill said there was no decision yet on where to build a processing plant, but he would be keen to see it in the northern suburbs.

“While manufacturing generally in South Australia has been in decline, food manufacturing as a category has actually been going up,” he said.

“So there are bright spots in the manufacturing sector and food is one of them.”

For more information on Food Processing Sector in Salisbury see our sector profile.

Chinese MOU paves way to increased fresh produce exports

MOU Signing with Adelaide Produce makets to develop exports with ChinaMore local South Australian fresh produce could be seen in Chinese supermarkets and in restaurants  with the State’s wholesale fruit and vegetable market will enter into a Memorandum of Understanding to  increase exporting opportunities through the Chinese GuangZhou Jianghan Fruit and Vegetable Wholesale Market.

The GuangZhou Jianghan Fruit and Vegetable Wholesale Market is one of China’s largest wholesale fresh produce markets which supplies a diverse group of retail customers in China.

The Adelaide Produce Market, which consists of 100 wholesaling and growing-related businesses that supplies over $590 million of fresh produce each year has entered into a partnership indirectly with its Chinese counterpart. This was witnessed by Prime Minister Tony Abbott and Minister for Agriculture Leon Bignell MP last week on 5th August 2015.

“The signing of this memorandum of understanding signify the bond and strength of this relationship which had been formed as a result of the Premier’s Trade Mission to Shandong Province, South Australia’s sister state in China in May 2015,” Adelaide Produce Market CEO Angelo Demasi said.

“This MOU will pave the way for increased exporting opportunities for the South Australian horticulture industry and in particular, the Adelaide Produce Market community,” he said.

Click here to find out more about the Adelaide Produce Market and why they like doing business in Salisbury.

Over $30 million of investments supported by $11million grants

Mayfield Switchroom UnloadingCity of Salisbury based companies Mayne Pharma, SA Structural, Ezy-Fit Hydraulics, Mayfield Engineering and BAE Systems Australia have all been successful in accessing $11 million in federal manufacturing grants to spur on by over $30 million in planned their planned investments.

These businesses have won these grants through the Next Generation Manufacturing Investment Programme on merit and will invest at least double the grant amount to grow their business. An example includes Mayne Pharma who is investing $11 million in three machinery equipment pieces from their $4 million grant, which will fuel their rapid export growth.

This is a strong indicator businesses have the confidence to invest and the ingenuity to create competitiveness strengths within their businesses. It also shows the how support from the government can stimulate a broad range of investments which will drive both jobs and investment in the manufacturing sector plus in majority of instances brings exports dollars back into our local community.

Successful Applicants

Applicant Organisation Grant amount supported Project Description
SA Structural Pty Ltd $1,261,140 Installation and commissioning of a state-of-the-art coping machine to cut steel using the dual thermal processes of high definition plasma, where extreme precision & quality finish is required.  This will replace a manual steel cutting process, and allow the company to diversify and expand its manufacturing capabilities and competitiveness.
Mayfield Industries Pty Ltd $1,414,981 Introduction of new plant and equipment, including the latest in Computer Aided Design and Manufacture (CAD/CAM), and improvements to Enterprise Resource and Material Requirement Planning for the production of Switchboards and Transportable Switchrooms.
Mayne Pharma International Pty Ltd $4,000,000 Increase the existing capacity of the spray coating facility with the purchase of a new fluid bed spray coater, which will be used to apply coatings to medicine. Purchase of three key pieces of machinery: Spray coating equipment including fluid bed, mixing vessels, feeders, controls, lifting devices, maintenance and cleaning equipment; and tablet coating equipment including the solution tank and tablet loader; and chiller.
BAE Systems Australia Limited $2,479,500 Establish a complex mill turn capability in hard metals (particularly using the super alloy Inconel).  Expand high-value manufacturing activities to encompass engine components for the Joint Strike Fighter, with the potential to access additional market opportunities in aerospace, oil and gas, nuclear and automotive industries.
Ezy-Fit Engineering Group Pty Ltd $1,932,850 Through the purchase of CNC turning, machining and measuring equipment, the project will expand the company’s capability to manufacture heavy-duty hydraulic cylinders at its facility in Salisbury South.

 

Source: www.business.gov.au

Mayne Pharma to plans to double exports with $11 million expansion

Mayne Pharma pharmaceutical facility at Salisbury SouthSalisbury South based Mayne Pharma plan to double their exports to $60 million this year. To accelerate this growth they will invest $11 million instillation of a large-scale fluid bed spray coater at its Salisbury facility. Fluid bed processing technology is used to apply various polymers to drug particles to modify the rate of release of the drug when ingested.

This expansion is being supported by $4 million grant under the Federal Government Next Generation Manufacturing Investment Program which was recently announced. Other local companies which were successful include SA Structural, Ezy-Fit Hydraulics, Mayfield Engineering and BAE Systems.

Mayne Pharma expansion and growth into export market has been in-part because of the focus on R&D and investing profits back into the business. Mayne’s Chief Executive Scott Richards said over the past two years the company has directed 80% of is Australian based R&D spend into the development of advanced oral drug formulations.

IT entrepreneurs select Edinburgh Parks for $30 million cloud data centre

yourdc_logo-edinburgh parksNew IT infrastructure firm YourDC has purchased a 6,000 sqm facility at Edinburgh Parks, South Australia, to house a state-of-the-art, $30m cloud data centre.

Founded by two of South Australia’s most successful IT entrepreneurs, Scott Hicks and Greg Siegele, the high tech data centre will support the transformation of Adelaide’s North by providing essential IT infrastructure to underpin job creation and global competitiveness.

In a first for the State, YourDC will lease custom private data rooms at no extra cost to large government and corporate clients.

Co-founder and CEO Scott Hicks said there is a critical shortage of hosting infrastructure, with just 0.5% spare capacity available across the State.

“Our market research tells us that the major players have no plans to increase capacity,” Mr Hicks said.

“When you combine that demand with the reality of the NBN taking shape at last and the mass move to cloud computing, you have a perfect storm for a brand new, energy efficient data centre.”

YourDC is one of only two Tier 3 data centres in SA, the other being Adam Internet, which Scott Hicks helped build and which is currently at 90% capacity. All other providers are Tier 1, the lowest possible rating.

“YourDC, or Your Data Centre, is fully customisable to your needs, whether large or small,” Mr Hicks said.

Executive Director Greg Siegele, who sold video gaming company Ratbag to Midway Games in 2015, said he initially looked at YourDC as an investment, but loved the business plan so much he decided he wanted to become more involved at the operational level.

“Not only is there huge demand, I have enormous confidence in Scott, who has spent his working life building and managing one of the State’s most successful Internet Service Providers, Adam Internet,” he said.

YourDC satisfies the demanding criteria required by organisations such as the Department of Defence for the highest levels of security and redundancy.

“If there’s a power outage and an organisation’s computers go down for even a minute the whole operation grinds to a halt and customers are greatly inconvenienced, at the very least,” Mr Siegele said.

“Organisations can and have lost millions of dollars because of outages caused by anything from an earthquake, as in Christchurch recently, a plane crashing into a building, a flood or even a terrorist attack.

“Although the risk of these events may seem very low, the impact can be catastrophic. That’s why Edinburgh Parks is the ideal location for YourDC.”

The site at Edinburgh Parks is some 50km away from the State’s notorious earthquake fault lines, which run along the foothills and through Darlington, Tonsley and Flinders Park to the south of the city.  It also sits above the one-in-100 year flood zone.

YourDC  will be one of the most energy efficient data centres in Australia, designed with a unique approach to optimising temperature control for humans and machines.

The site delivers vast amounts of power guaranteed by multiple redundant backup systems, and uninterrupted internet connectivity from multiple carriers.

The State Government has identified the critical need to build out the kind of infrastructure that underpins a growing economy.

“By building a facility like this locally, we immediately make South Australia more attractive as a place to work and live,” Mr Hicks said.

YourDC will join a host of other companies that have recently chosen to expand and relocate to Edinburgh Parks. This includes Mayfield Engineering, Dowell Windows and CommFresh Marketing.

Edinburgh Parks

Centrally placed for access to major road and rail infrastructure, Edinburgh Parks and Direk is South Australia’s premier location for industry. Adjacent to the Defence Science and Technology Organisation and RAAF Edinburgh, it is one of Australia’s largest advanced industrial precincts and has more than 350 hectares of fully-serviced land available.

 

 

Codan centralises to Technology Park, Mawson Lakes

Codan_logo-Technology Park-AdelaideCodan Limited (ASX:CDA) has announced that the company will centralise its Adelaide operations to the Technology Park Adelaide precinct at Mawson Lakes bring over 250 staff.
Codan provides robust and leading-edge technology solutions that solve customers’ communication, safety, security and productivity problems. Their customers include United Nations organisations, mining companies, security and military groups, government departments, major corporates as well as individual consumers and artisanal miners.

Technology Park is home to over 80 businesses including the likes of Saab Technologies, Tindo Solar, Optus, Topon, Lockheed Martin, Kongsberg Protech Systems, CSC and ThyssenKrupp Marine Systems Australia.In making the descion to move to Mawson Lakes, Codan CEO, Donald McGurk, said “We currently operate out of two locations in Adelaide which are owned by Codan. Consolidating these offices into one location and selling our surplus properties will result in increased efficiencies, cost synergies and a stronger balance sheet”.

“After 40 years at the same facility, either we had to redevelop the site at very substantial cost or relocate. The move follows an extensive review of all of our options. The redeveloped leased premises will provide great facilities for our staff and represents a long term commitment to the electronics industry in South Australia.”

Codan has entered into a long term lease of a refurbished building owned by Renewal SA. It will be home to over 250 Codan and Minelab staff. The building will also house Codan’s advanced manufacturing technology centre, which includes over 150 specialised engineering and research staff and all corporate functions. It will also include extensive training and product demonstration facilities showcasing our leading-edge products to a global customer base.

Technology Park Adelaide

Technology Park is home to over 80 businesses including the likes of Saab Technologies, Tindo Solar, Optus, Topon, Lockheed Martin, Kongsberg Protech Systems, CSC and ThyssenKrupp Marine Systems Australia. Commercial land within Technology Park Adelaide is available for immediate development. Benefits of locating within Technology Park Adelaide include the synergies that are created from the co-location of over 85 companies in defence, electronics and communication sectors. It is close to Mawson Lakes Town Centre, the University of South Australia and public transport.
www.techpark.sa.gov.au

 

 

Holco becomes NT’s largest dedicated meat supplier

Holco-Cavan-MeatCavan based meat company Holco will spend $5 million upgrading its Darwin cold storage and distribution centre to better serve Northern Territory consumers. The demands from the mining sector and US defence personnel will justify the company’s multi-million dollar meat storage expansion.

This expansion will help Holco become the Northern Territory’s largest dedicated meat supplier, providing fresh beef, chicken, lamb, pork, seafood, kangaroo and crocodile to consumers throughout the territory.

This expansion will increase storage capacity by 400 per cent to 500 tonnes of meat. It’s expected this will position Holco well from further growth opportunities including export markets into South East Asia. Holco success nationally has seen them grow from $120 million turnover business five years ago to over $200 million.

This success build on their recent partnership with Thomas Foods.

Ground work begins on new Masters store at Parafield Airport

Masters-Parafield-Airport-City of SalisburyMore South Australian customers are set to benefit from Masters’ wide range of hardware and home improvement goods, with work commencing today on a new store at Parafield Airport.

The start of construction will be marked with a sod-turning ceremony on-site today at Parafield Airport to be attended by SA Treasurer Tom Koutsantonis, Member for Ramsay Zoe Bettison and local dignitaries.

The new 13,500sqm Masters Parafield Airport store is set to open in May 2016 and when complete, customers will have access to more than 36,000 products available across 19 departments.

The construction of the store will generate more than 300 local jobs. Over 130 in-store jobs will be available when Masters Parafield Airport opens its doors.

Parafield Airport Masters is being constructed in line with Masters’ latest design, with a large paint department, ‘tool shop’ and more than 10,500 hardware products. It will also feature a spacious garden section and extensive bathroom and kitchen display area and a large drive-through area to assist local tradies and builders.

Senior Property Development Manager for Masters Rob Hain said today’s sod-turning marks a new era in home improvement for the local community.

“The new store will bring an unrivalled range of home improvement and hardware products to Adelaide’s northern suburbs. The construction will employ a number of people from the area and we look forward to strengthening our ties with the local community,” he said.

Masters is Australia’s fastest growing hardware store. It has 56 stores across Australia, offering a huge range of more than 36,000 products at Australia’s best prices.

For more information and a list of current stores, visit www.masters.com.au

 

Osmoflo’s expertise to the rescue at NSW mine

Osmoflo convoy 13

Osmoflo-Burton waste water treatment

Burton-based Osmoflo continue their growth with their winning expertise to supply wastewater treatment and desalination solutions to the Ulan coal mine in New South Wales.

As reported in AdelaideNow a convoy of 11 trucks are heading to New South Wales as part of the delivery of the $12 million contract won last year to design and construct the wastewater treatment and desalination plant.

All the components designed and manufactured in Burton are being transported to the site for installation and commissioning by May. Transportation is being managed by Beattie Transport at Cavan, is carrying components including racks of reverse osmosis membranes, pumps and piping.

The desalination solution will deliver 21 megalitres per day of water generated through coal production, which will allow 10 megalitres per day of desalinated water to be returned to local streams and rivers.

Osmoflo has 140 staff and is expected grow their turnover by 20% to $100 million this financial year. This growth continues contines their ongoing success with major project such as providing Osmoflo provides off-shore desalination for LNG Project in Timor Sea as part of the Ichthys liquefied natural gas project.

For more success stories in northern Adelaide click here.

 

 

2014: A list of promising opportunities for business

Aworkforces reported by AdelaideNow the City of Salisbury is well placed to cope with the closure of Holden thanks in part to more than $130 million in planned developments.

With development applications totalling nearly $138 million received in the past six months. Plus a $147 million worth of applications were approved in 2012/13 financial year.

Due to be completed this year include $20 million worth of apartment buildings in Mawson Lakes and a $6.9 million expansion of Coca-Cola’s distribution centre on Cross Keys Rd.

Other strengths in the City include:

  • a 50 per cent jobs increase in the food and beverage industry over the past seven years and further spending forecast in defence, retail and real estate were good signs for the district.
  • the defence sector has the capability to undertake future projects – such as building Air Warfare Destroyers – if project funding from the Federal Government is forthcoming.
  • The Healthcare and social services are also showing grow on the back of the district’s ageing population, he said.

According to the City of Salisbury spokesperson “there is strong interest in retail investment with an integrated lifestyle, retail and leisure centre on Kings Road (opposite Parafield Airport) potentially generating 1550 jobs upon completion, with more than 400 short-term jobs created during construction,” the spokesman said.

“There is also a proposal for a $20 million retail precinct on Saints Road, and Aldi is likely to locate retail outlets in northern Adelaide as part of its expansion into South Australia.

“Transport, logistics and warehousing saw some significant completions and approvals in 2013, while mining services firms are expected to continue growing, despite capital investment in Australian mining projects declining.”

About 2280 development applications were lodged with the council in 2013, up on the 2134 lodged the year before.

City of Salisbury said some of the economic highlights in 2013 included:

  • Global luxury goods brand Louis Vuitton buying a 49 per cent stake in RM Williams, which has a factory outlet in Salisbury;
  • The Cooperative Research Centre for Cell Manufacturing spending $59 million on laboratories at Uni SA’s Mawson Lakes campus;
  • Mining firm Liebherr-Australia spending $65 million on an expansion of its Para Hills West operation, which is expected to be completed in mid-2014 and create more than 100 jobs, and;
  • BAE Systems building a $20 million titanium manufacturing facility to make Joint Strike Fighter tail parts.

Click here for more business and investment news.

 

Housing for 700 at Burton to be considered

Burton- Waterloo CornerHousing for nearly 700 people is being considered for a 37ha of industrial land between Waterloo Corner and Pt Wakefield roads which will need to be rezoned to allow for about 250 houses.

The City of Salisbury staff have recommended their support and councillors will vote on it January 2014. If supported by the elected members’ the rezoning would go out for consultation with the public.

Salisbury staff has listed issues to be addressed before the rezoning goes ahead. For full approval the Planning Minister John Rau would have support to the rezoning proposal.

$35m Rand Refrigerated Logistics food distribution centre at Direk creates 100+ jobs

Rand logisiticsMORE than a hundred jobs will be created at Direk next month when Rand Refrigerated Logistics’ 10,500 sq m $35 million food distribution centre opens.

The project is the latest addition to the Vicinity industrial estate at the corner of Heaslip and Edinburgh roads, which is being developed by Walker Corporation.

Walker Corporation national industry manager Claire Boenne said more companies were looking to Adelaide’s north, which would result in increased employment opportunities.

She said cheap land in comparison to the rest of Adelaide, coupled with and Salisbury and Elizabeth’s proximity to Port Adelaide, made it an attractive place to do business.

She said the estate would eventually be home to about 4000 workers.

“The ripple effect of this employment in the surrounding area has already been profound, creating hundreds more jobs in companies which supply or contract to companies now located at Vicinity,” Ms Boenne said.

For more coverage of this investment see AdelaideNow.

 

 

RM Williams to supply Australian Army

RM Williams bootsRM Williams will supply 15,000 pairs of black Craftsman boots to Australian soldiers each year for the next three years, enough to equip every soldier in the Army.  They will be made at RM Williams Salisbury manufacturing headquarters.

Another 5000 pairs of boots will be supplied to inductees each year in the final two years of the five-year Army contract.

The boots will be used as the new Australian Army parade boot, replacing the traditional black lace-up Army boot worn by generations of soldiers on the parade ground.

“We are proud to further secure our manufacturing capability in Salisbury, which will now be complemented initially by a 4pm-8pm shift, with plans to go to a full evening shift in the coming years,” RM Williams chief executive Hamish Turner said.

The full story can be found at AdelaideNow

To find out more on why RM Williams likes to do business in Salisbury.