Bundaberg Sugar has signed a two-year contract with Coles to supply about 20,000 tonnes of sugar a year.
Bundaberg Sugar has signed a two-year contract with Coles to supply about 20,000 tonnes of sugar a year. Mike Knott

Bundaberg Sugar signs two-year contract with Coles

BUNDABERG Sugar has signed a two-year contract with Coles to supply about 20,000 tonnes of sugar a year.

As a result of the contract, Bundaberg Sugar will invest around $2.5 million in new machinery in its packaging plant with more than 240 local growers to gain from the new deal

Bundaberg Sugar refinery operations and sales general manager Guy Basile, said the new contract was a major boost to the company and, in turn, benefited its growers in the region.

"The Coles contract with Bundaberg Sugar underwrites our business and assists us to remain financially viable which indirectly helps our 247 local growers in that they have the assurance of dealing with a stable and reliable company," he said.

"This in turn creates a strong infrastructure for the local sugar industry.

"This new business from Coles helps Bundaberg Sugar to remain a sustainable company and in turn continue to contribute to the local economy."

Under the contract, Bundaberg Sugar will now supply Coles with white, brown, icing, caster and raw sugar which is grown, milled, refined and packed in Queensland.

Coles merchandise director George Dymond said up until now, Coles has not been able to guarantee that all of its Coles Brand sugar comes from Australia because of the refining process.

"Coles is always keen to source our Australian-grown food whenever and wherever we can. We are

delighted to sign an agreement with Bundaberg Sugar which will ensure our shoppers can buy our Coles Brand sugar with the assurance it is Australian grown," he said.

"We are also excited to have formed a new partnership with such an iconic Bundaberg company, which has operated for more than 130 years in the region."

In addition to the private label contract, Coles has also agreed to stock six products from Bundaberg Sugar and from May will stock its branded 1kg and 2kg white sugar, 1kg raw sugar, 1kg brown sugar, 1kg caster sugar and 50 serves pack of white sugar sachets.

Mr Basile also welcomed the return of Bundaberg Sugar products to Coles shelves.

"It has been some years since Coles has stocked Bundaberg Sugar products and we are extremely pleased to have the Bundaberg brand back into Coles supermarkets," he said.

The contract also means Coles Brand sugar will be accredited as sustainably sourced thanks to Bundaberg Sugar's recent accreditation as Bonsucro certified.

Bonsucro is a global non-profit industry group dedicated to reducing the environmental and social impacts of sugarcane production while recognising the need for economic viability.

"We achieved Bonsucro accreditation in January 2015 and are one of two sugar companies in Australia to do so," Mr Basile said.

"In fact, our bright yellow packaging will have a new look on the shelves from May which will now show Bonsucro certification of our products."

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