Aligning the drivers in the value chain - a new cane payment system for Mackay Sugar

Pollock, John, O'Hara, Ian Mark, & Griffin, Ken (2007) Aligning the drivers in the value chain - a new cane payment system for Mackay Sugar. Australian Society of Sugar Cane Technologists. Proceedings, 29, pp. 1-8.


For the 2005 season, Mackay Sugar and its growers agreed to implement a new cane payment system. The aim of the new system was to better align the business drivers between the mill and its growers and as a result improve business decision making. The technical basis of the new cane payment system included a fixed sharing of the revenue from sugar cane between the mill and growers. Further, the new system replaced the CCS formula with a new estimate of recoverable sugar (PRS) and introduced NIR for payment analyses. Significant mill and grower consultation processes led to the agreement to implement the new system in 2005 and this consultative approach has been reflected in two seasons of successful operation.

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ID Code: 46013
Item Type: Journal Article
Refereed: Yes
Additional URLs:
Keywords: Cane payment, Shared revenue, NIR, Business drivers, Value chain
ISSN: 0726-0822
Divisions: Current > Research Centres > Centre for Tropical Crops and Biocommodities
Past > QUT Faculties & Divisions > Faculty of Science and Technology
Deposited On: 15 Sep 2011 21:59
Last Modified: 15 Sep 2011 21:59

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