Australian farm management and investment group CropScale Australia have agreed terms to acquire the 42,300-hectare Douglas West agricultural property, part of the Tipperary Group of Companies, with plans to operate regenerative agricultural and pastoral activities which will bring significant technology and benefits to the Northern Territory, and north Australia's agricultural industry.
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CropScale brings strong expertise in cost-efficient broadacre cropping, crop monitoring and land mapping technology, infrastructure development, and value-add supply chains and specialises in large-scale precision broadacre cropping within wet and dry climates.
Project Managing Director Phillip Walter said the company's approach to profitable regenerative agriculture would see a holistic farming methodology that focuses on renewing and enhancing soil health and nutrient levels.
"Lack of working capital and negative impacts on profitability are the most quoted barriers to farmers transitioning to a regenerative approach to soil ecology," he said.
"CropScale has developed a broadacre farming methodology specifically for large-scale operations designed to increase crop margins, farm profitability, and reduce input costs.
Regenerative agriculture and maximising shareholder value are not opposites. Regenerative agriculture prioritises cropping strategies that add organic matter and biodiversity to soil, leading to a more resilient ecosystem. This practice involves techniques including crop rotation, cover cropping, reduced tillage, and integrating livestock manures.
"Methodologies structured for the Northern Territory result in a self-sustaining agricultural system that not only produces more nutritious food but also sequesters carbon in the soil, and when combined with our technology platform reduces reliance on external fertiliser inputs."
Mr Walter said the company is planning to reinstate nature corridors on historically cleared land to support and encourage native flora and fauna, and practice crop rotation to support healthy soils with sustainable seasonal water use through crop selection, climate-proven technologies, and agronomy science.
"CropScale is planning to capitalise on the property's excellent soil potential over a sensible five-year period, adhering to best practice regenerative farming approaches."
The project will also deliver considerable investment in the Northern Territory, through industry and research partnerships, shared knowledge and supporting local businesses through purchasing supplies and investment into crop processing infrastructure.
"We are committed to contributing to and being part of the Top End community," Mr Walters said.
"Our senior team includes highly skilled local station management who know the property well and will live on farm, and the wider advisory team includes well-known NT agronomists and crop specialists.
"We have been on-station conducting surveys and research since last year.
"We will be investing heavily in infrastructure and technology, buying our supplies from local businesses, and are committed to an open source approach, where we can share our learnings from the data collected on what works best and why, how we overcame challenges, and provide support with adoption to climate-proven technology and practices to other growers and farmers."
Investment from CropScale operations subsidiary 'Territory Harvest' into on-site wholesale and retail crop processing is set to achieve overall gross margin uplift for regional farmers.
The group's platform and consulting division 'CropScaleAI' has unlocked the ability to monitor broadacre crop health and soil ecology with centimetre-level accuracy to assess individual plant health and reduce input costs using established monitoring hardware and proprietary software, including variable command uploading into John Deere machinery. This is enabled by StarLink's low orbit broadband network combined with GeoScience Australia's GNSS station in the Daly region.
"98 per cent of the world's farms are two hectares or less. In a world with increasing fertiliser costs, an expanding population and changing dietary habits, small farms are becoming financially unsustainable," Mr Walters said.
"Australia's food and fibre security depends on a blend of controlled environment production where the cost variable is energy, and 'at-scale' crop farming where economies of scale, climate-tested precision methodologies, end-to-end supply chain control, and sustainable approaches to soil management provide the greatest economic benefits."
Tipperary Group of Companies owner Allan Myers AC KC said CropScale had the ability to add value to NT's agricultural industry.
"We were impressed with CropScale's data-driven and disciplined approach and sustainable practices," he said.
The Douglas West property is situated alongside the Stuart Highway south of Darwin, with sealed roads to the gate, mains power with its own substation, and environmentally sound sewer and water facilities.
CropScale Australia's asset development subsidiary has agreed terms with the Tipperary Group of Stations to wholly acquire the Douglas West property in a private off-market transaction for an undisclosed sum.