Fertiliser manufacturing plant at risk

ONE of Australia’s last remaining feriliser manufacturing plants would most likely have to close down if Hobart zinc smelter Nyrstar was to cease operations in Tasmania.

Impact Fertilisers manufactures single superphosphate fertiliser, which is used on farms to improve pasture, hay and livestock quality.

The smelter is at risk of closing due to competition from subsidised critical mineral imports.

Nyrstar employs 560 people on the same site as the Impact Fertiliser plant.

Impact Fertilisers’ manufacturing general manager Wayne Newitt said it was significantly reliant on its Hobart plant.

“We have a range of fertiliser distribution points and they trade locally manufactured material, which is from Hobart, as well as a lot of imported material,” Mr Newitt said.

“But our Hobart manufacturing plant, which is celebrating its 100th anniversary this year, is on the same site as Nyrstar,” he said.

“Should Nyrstar close, then we would as well.

“The only thing we could do is operate as a warehouse.

"However, we use their wharf facilities as well, so there is quite a high likelihood that we will cease all operations at the Hobart site.

“We do have seven smaller sites across the state that serve as depots but we certainly won’t continue manufacturing.

“It’s unlikely we’d be able to use the site as a depot."

Nyrstar has been liaising with Impact Fertilisers about its situation and Mr Newitt said its relationship with the company was a good one.

“We understand they’ve got a lot of challenges and hope they can find a way through it. We’re sort of in the same boat as them in terms of outcome, unfortunately.”

Australian Workers’ Union Tasmania Assistant Secretary Robert Flanagan said staff at the Impact Fertilisers Hobart plant had been concerned for months about the potential closure of the zinc works.

“Most of the fertiliser manufacturers in Australia have closed and now most fertiliser is imported.

“In terms of the particular type of fertiliser that Impact manufactures, it’s the last one in Australia.”

Tasmanian Chamber of Commerce and Industry CEO Michael Bailey said major industrials such as Nyrstar were the lifeblood of the state’s economy.

“Nyrstar alone employs more than 500 Tasmanians and generates more than $500 million in economic value for our state.

“But without swift and serious support, these jobs and the communities behind them are at risk.” Mr Bailey said broader energy and infrastructure issues were also placing pressure on Tasmania’s industry sector.

“This is not just about one smelter, it’s about Tasmania’s long-term economic security.

“Transmission costs are rising, energy reliability is under pressure, and businesses are increasingly exposed to global economic volatility.”