The Minns Labor Government is continuing its commitment to boost economic development and services for regional NSW with the announcement today of the first seven low interest loans to regional food and beverage manufacturers.
The loans, delivered as part of the Government's Regional Development Roadmap will help boost productivity, create jobs, and deliver advanced manufacturing capabilities.
The loans have been made to businesses in Dubbo, Byron Bay, Wagga Wagga, Wauchope, Bathurst, the Central Coast and Southern Highlands.
Under the $5 million pilot program, low interest loans can be used for projects such as installing automated production lines, upgrading bottling lines, or buying equipment that will enable products to be exported more efficiently.
Loans are available of between $100,000 and $1 million, and interest is charged monthly at a fixed rate of 2.5 percent for the life of the loan. Loan repayments are interest only for the first two years. The maximum loan term is seven years.
Unlike a commercial loan, these loans do not require family homes to be put forward as security,
In a series of Ministerial Roundtables with regional businesses this year, food and beverage industry leaders indicated they needed assistance to adopt new technology to increase productivity and expand their market opportunities.
The NSW Government is assisting good businesses grow so they can increase demand for local produce, add value to their products, boosting revenue and creating jobs into their regions.
Businesses receiving a low interest loan include:
- Little Big Dairy Co in Dubbo will use funding to install automated technology to reduce waste and increase capacity and improve energy efficiency creating job opportunities and opening new markets.
- Byron Beef Jerky will convert existing areas into cool rooms and food preparation spaces, upgrade power supply, and improve production and storage leading to higher demand for local beef and job growth.
- East Coast Beverages on the Central Coast will upgrade its production capacity by installing automated technology including high speed conveyors, bottling equipment, and advanced line cleaning systems to increase production and reduce waste.
- Ezy Fresh in Wagga Wagga who supply processed vegetables to manufacturers will invest in diversifying their product range and enable a more efficient production process that enables upskilling of staff, doubling of their capacity, which will increase demand for local grown vegetables.
- Timber Town Pies in Wauchope can now invest in upgrading equipment to double their production capacity, create new jobs plus increase demand for local beef..
- McDowells Herbal in Bathurst will invest in specialist equipment to increase their product line and significantly increase their output which will multiply job opportunities and revenue.
For more information on each of the companies receiving low interest loans click here.
The food and beverage manufacturing sector is a major employer in regional NSW, which is already home to companies such as Nestle, Ferrero, Stone and Wood, Sanitarium and Simplot Foods.
The food and beverage manufacturing sector across NSW had an annual turnover of $42.5 billion in 2022-2023 and employed more than 66,000 people as of May 2024.
For more information, go to: nsw.gov.au/regionaldevelopmenttrust
Minister for Regional NSW Tara Moriarty said:
"The NSW Government is changing the way it invests in regional NSW, and this investment package supports our regional food and beverage manufacturers to grow, create more jobs and benefit local producers.
"The NSW Government is committed to strengthening the farming sector and regional economies by encouraging and assisting local businesses that add value to local produce, expand their production capacity and product offerings so they can employ additional local people, compete against imported products and bring revenue into the region.
"This pilot package has demonstrated there is high interest in the low interest loans for food and beverage businesses, just as we were advised in my Roundtable listening tour through the regions. I look forward to considering the pilot review so we can evaluate this work and propose next steps."
David Harding, Executive Director Business NSW said:
"The take up on this attractive low interest loan pilot from the NSW Regional Development Trust is encouraging but not at all surprising.
"Enabling regional businesses to invest in themselves and scale is exactly what is needed, especially with a loan focus on automation, efficiency and export potential.
"I look forward to seeing these regional backbone enterprises grow and flourish, and expect the pilot scheme to be a great success.
"I thank the Minister for Regional Development and Primary Industries, Tara Moriarty for initiating this smart and valuable initiative"
Emma Elliot, Director, Little Big Dairy Company said:
"As business owners we should all be taking up the opportunities that are put in front of us and I think it's a really good scheme to borrow cheap money, and the interest only at the front of the loan is really attractive.
"We really love being a regionally based business and it's really cool to see the state government looking for ways to support us to continue to be our community doing the roles we love and sharing the product that we make here into the future.
"It enables us to embark on projects sooner than we would without the scheme and I think it's really exciting for us a family as because it works towards our sustainability in terms of being in business into the future."
CASE STUDY
Little Big Dairy Company (Dubbo)
The Little Big Dairy Co. is one of the first businesses supported by the NSW low interest Food and Beverage Manufacturing loan program under the Regional Development Roadmap
The business was established in 2012 by the Chesworth family in Dubbo NSW and is family-owned and operated dairy business.
The Little Big Dairy Co specialises in producing high-quality, single-source milk which is traceable back to the family dairy farm located west of Dubbo
The company delivers over 100,000 litres of fresh bottled milk each week direct to customers across NSW and the ACT
Their product line also includes flavoured milk, butter and cream, which is free from permeates and additives
The farm hosts over 1,000 Holstein cows and is committed to employing sustainable and innovative practices to minimise their environmental impact
The company carries a legacy of over 100 years in the dairy industry, spanning five-generations of the family,
