Crushing begins as cane farmers grapple with low prices and high costs

13 July 2026. Chris Punzell, AgForce Cane Board President.

Crushing season is underway up and down the coast after what’s been a tough year for cane farmers. Some rain in North Queensland has held things up a little there, but it’s looking good in the Burdekin and Proserpine. In Mackay, the industry is still reeling from the impact of a cyber attack on Mackay Sugar, which shut down three sugar mills for a week and continues to slow the recovery process. That has had a flow-on effect for mill operations and business in terms of cane payments to growers and contractors and a delay in harvest data coming back to producers.

The impact of the APVMA’s ruling on paraquat labels is also bubbling along. We’ve had an additional briefing this week on the impact on industry. As I’ve said, it’s a blow for cane producers to have its use in sugarcane removed from the label, especially without the availability of an alternative herbicide that is just as cost effective. We don’t oppose change and we respect the regulator’s ruling, but it would help to have an effective implementation plan for other options before such a decision is announced. If we could negotiate to have some use, that would be a huge help.

The ruling comes on top of the floods earlier in the year and an increase in the cost of fuel and fertiliser and operating costs in general over the past few months. At the same time, the price of sugar has slumped, with some producers struggling to meet the cost of production. There is a great deal of pressure on primary producers who are simply fighting to regain momentum. There is a real fear that some people will leave the industry. And while we don’t want to be always asking for help, authorities need to recognise the importance of primary production.

At AgForce, we’ll keep pushing for diversification in the industry, to help cane farmers tackle some of these issues. One possible solution would be small pilot plants built at mills up and down the coast to produce biofuels or other products from cane. That would be a way to support local economies and create jobs. As always, we’re working hard to keep the issues affecting the industry front of mind for government.

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