Section 2 - Sugar Research and Development Corporation
Section 2 - Sugar Research and Development Corporation
Section 2 - Sugar Research and Development Corporation
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<strong>Section</strong> 1<br />
REPORT FROM CHAIRMAN & EXECUTIVE DIRECTOR<br />
2011 marks the 20th anniversary of the establishment of the <strong>Sugar</strong> <strong>Research</strong><br />
<strong>and</strong> <strong>Development</strong> <strong>Corporation</strong> (SRDC). <strong>Research</strong> <strong>and</strong> <strong>Development</strong> (R&D)<br />
projects funded by SRDC over the past 20 years has been the cornerstone for<br />
continuous improvement <strong>and</strong> innovation <strong>and</strong> the industry has reaped some<br />
signifi cant rewards from this investment.<br />
This annual report covers the penultimate year of<br />
the fi ve-year SRDC <strong>Research</strong> <strong>and</strong> <strong>Development</strong> Plan<br />
2007–2012. The plan outlines a vision for the future<br />
of the industry: a vision that has proven perceptive<br />
<strong>and</strong> intuitive. But few during the development of<br />
the fi ve-year plan would have foreseen the scope<br />
of change <strong>and</strong> the test of skill <strong>and</strong> endurance the<br />
industry would face within those fi ve years.<br />
2010–2011 is to be remembered as the ‘summer<br />
of natural disasters’, the resilience of the sugarcane<br />
industry was severely tested with widespread<br />
fl ooding <strong>and</strong> the devastation left by Cyclone Yasi<br />
in the heartl<strong>and</strong> of cane production, the second<br />
major cyclone in fi ve years.<br />
The result has been a reduction in sugarcane<br />
production <strong>and</strong> therefore the SRDC’s levy-based<br />
income, <strong>and</strong> the conduct of many research<br />
projects, which have been delayed by fl ooding,<br />
cyclone damage, lack of crop replacement or<br />
technical diffi culties.<br />
The Minister for Agriculture, Fisheries <strong>and</strong> Forestry<br />
<strong>and</strong> the Minister for Finance <strong>and</strong> Deregulation<br />
gave approval for the SRDC to draw down from<br />
fi nancial reserves to address reduced levy income<br />
<strong>and</strong> stimulate new research in areas targeted for<br />
immediate attention by industry as a result of the<br />
climatic extremes.<br />
More research will be needed to provide solutions<br />
to increase yield per hectare, which has already<br />
been supported by SRDC’s increased investments<br />
in farming systems research led by BSES Limited.<br />
In 2007 we noted a likely reduction in the number<br />
of mills in future <strong>and</strong> this has certainly eventuated,<br />
but the investment by large international<br />
commercial players in milling was not as closely<br />
predicted. While signalling confi dence for the<br />
future, from a research point of view, these<br />
investments will be observed with interest as part<br />
of an increased offshore focus <strong>and</strong> international<br />
infl uence.<br />
The past year saw two major reviews of the<br />
R&D sector. The fi rst, led by the Australian<br />
Government’s Productivity Commission, examined<br />
<strong>and</strong> reported on the operations of the 15 R&D<br />
<strong>Corporation</strong>s. The second, <strong>and</strong> most signifi cant for<br />
the future of this organisation, was conducted by<br />
Port Jackson Partners on behalf of the Australian<br />
<strong>Sugar</strong>cane Alliance <strong>and</strong> proposed an investigation<br />
of an amalgamation of the SRDC, <strong>Sugar</strong> <strong>Research</strong><br />
Limited <strong>and</strong> the BSES Limited.<br />
During these reviews SRDC continued to improve<br />
its operating performance, it looked inward during<br />
the external reviews <strong>and</strong> looked outward through<br />
its interaction with stakeholders <strong>and</strong> industry<br />
partners. Although the time involved in preparing<br />
submissions <strong>and</strong> responding to reviews was time<br />
consuming, it resulted in greater collaboration<br />
with other R&D <strong>Corporation</strong>s <strong>and</strong> industry groups.<br />
As we enter the fi nal year of the SRDC <strong>Research</strong><br />
<strong>and</strong> <strong>Development</strong> Plan 2007–2012 we embark<br />
on the fi rst year of the National <strong>Sugar</strong> Industry<br />
<strong>Research</strong>, <strong>Development</strong> <strong>and</strong> Extension Strategy,<br />
a comprehensive strategy to defi ne targeted<br />
research priorities with full industry <strong>and</strong><br />
government cooperation <strong>and</strong> involvement.<br />
Soon SRDC will start preparing the next <strong>Research</strong>,<br />
<strong>Development</strong> <strong>and</strong> Extension Plan 2012–2017.<br />
This plan will be a subset of the National <strong>Sugar</strong><br />
Industry <strong>Research</strong>, <strong>Development</strong> <strong>and</strong> Extension<br />
Strategy <strong>and</strong> will involve extensive industry <strong>and</strong><br />
government consultation. In addition, we will<br />
implement fi ndings of our evaluation review <strong>and</strong><br />
exp<strong>and</strong> our research dissemination <strong>and</strong> industry<br />
engagement activities.<br />
Feedback from our 2010–2011 project investment<br />
process has been adopted <strong>and</strong> included in the<br />
process for selecting <strong>and</strong> managing research<br />
projects in 2012. Changes includes inviting<br />
industry experts to join peer review panels to<br />
provide feedback on project applications prior<br />
to short listing.<br />
SRDC Annual Report 2010–2011 5