Australia-based SunRice Group has agreed to acquire Blue Ribbon Rice Group's rice milling assets in Brandon in North Queensland’s Burdekin region.
The transaction, which is subject to clearance by the Australian Competition and Consumer Commission, forms part of the company's strategy to invest in and develop sources of domestic supply of specialty rice varieties.
Upon completion in September 2014, the acquisition is expected to complement the company's existing supply of rice from the Riverina region.
Currently, Blue Ribbon owns a single rice milling and packaging plant that produced around 2,000 tonnes of processed rice in 2013.
SunRice claims that the Burdekin region's local conditions are particularly suitable for growing specialty rices, including fragrant varieties and specific long grain options.
In addition, research and development will be undertaken to maximize the company's growing options through its Rice Research Australia subsidiary.
