Transforming northern WA's cotton industry
Madeleine King, Minister for Resources and Northern Australia, and Luke Gosling, Special Envoy for Northern Australia, announced the official opening of the Kimberley Cotton Gin in Kununurra.
Minister for Resources and Northern Australia Madeleine King has officially opened a new cotton processing plant in Kununurra that will kickstart a new industry, create jobs, and generate opportunities for the Kimberley and the Northern Territory.
Minister King opened the Kimberley Cotton Gin Project, which has been backed by a $34 million loan from the Northern Australia Infrastructure Facility (NAIF), as well as support from the WA State Government.
The Kimberley Cotton Gin project will support the development of the cotton industry around the Ord River Irrigation Area by eliminating the high cost of transporting cotton thousands of kilometres for processing.
“This state-of-the-art facility represents far more than just infrastructure – it's the foundation of an entirely new industry for the Kimberley region,” Minister King said.
“The Kimberley Cotton Gin Project has the potential to transform the cotton industry across the Kimberley and into nearby parts of the Northern Territory by ensuring locally-grown cotton can be processed and prepared directly for the market.”
The project will:
- Employ around 30 people
- Have an initial processing capacity of up to 110,000 bales of cotton per year
- Potentially expand and scale up production
- Return a public benefit of almost $250 million over the next 20 years
- Establish the Ord River Irrigation Area as a new cotton region
Special Envoy for Northern Australia Luke Gosling said the project would boost local cotton production and contribute to long-term agricultural growth.
“Not only is this project essential for making cotton an economically feasible crop in the region, it will also create opportunities for related industries to realise sustained economic benefits,” Mr Gosling said.
“It is also great to know the cotton gin has a clean energy focus, utilising hydro-electric power generated from Lake Argyle to reduce the project's carbon footprint.”
“Kimberley Cotton plans to transport product through the Port of Wyndham, which will benefit businesses and communities, particularly in the East Kimberley region, by providing jobs and improving the resilience of supply chains.”
The project has committed to work with the Traditional Owners and project partners the Miriuwung Gajerrong people to support First Nations employment, training and suppliers.
NAIF CEO Craig Doyle said:
“The construction of the Kununurra Cotton Gin represents a significant step towards establishing a robust and sustainable cotton industry in the region. We're proud to have supported this project from investment decision in 2021 through to today's official opening.”
Chair of Kimberley Cotton Company Limited Jim Engelke added:
“This cotton gin is a substantial investment. However, it is only the beginning of the development opportunities in the region. Investment is needed in enabling logistics, export facilities and the incremental increase in cattle management.”
NAIF has so far committed $4.3 billion in loans across 32 projects in northern Australia, supporting around 18,000 jobs.
