Murray River Organics was listed on the ASX in December 2016. They grow, market and manufacture certified organic and natural food products.
The Company produces dried vine fruit, nuts, seeds, berries and other ingredients. MRO offers these products worldwide. Its customers include restaurants, cafes, and other retailers. MRO also has an organic hemp operation.
What is the River Murray?
The Murray River is the lifeblood of South Australia and one of the world’s most important inland rivers. It is a vital source of water for agriculture, urban and industrial uses, as well as our precious floodplains and wetlands.
It rises in the Australian Alps and drains the west side of the country’s highest mountains. From there it meanders northwest across the inland plains, passing through Hume Reservoir near Albury and then forms much of the state boundary between New South Wales and Victoria before turning sharply south at Morgan to flow into Lake Alexandrina, a salty lake that often fluctuates in salinity.
The Murray and its tributaries provide habitat for many species of birds, fish, mammals and plants. The river also has significant cultural significance for Aboriginal peoples. It was a major route for the early European explorers of the region and later a busy transport route, with a rich history of trade along its banks.
Why is the River Murray in trouble?
The River Murray supports a wide range of agricultural activities and makes a significant contribution to the economy. It also has great cultural and spiritual significance for Aboriginal peoples.
However, dams on the Murray inverted its natural patterns of winter-spring flood and summer-autumn dry, which made it Australia’s most productive agricultural region. This has seriously disrupted the life cycles of many ecosystems inside and outside the river, and led to the development of dryland salinity that threatens the country’s agricultural industries.
In addition, the lack of ocean water entering the river system during drought (as would have occurred before the Goolwa barrages) causes a major problem called acidification. The acidity dissolves metals from soils into the lake waters, lowering their quality. This can lead to the demise of aquatic plants and animals, and ultimately impact on human health. It can also destroy the quality of irrigation water. Consequently, the river’s health is in serious trouble.
What are some of the problems with the River Murray?
At Murray River Organics, they’re proud to make the finest Australian dried fruit snacks – all certified organic and better-for-you. But it’s no secret that their journey to the top hasn’t been smooth sailing.
Their CEO Valentina Tripp has resigned and CFO Birol Akdogan will be stepping in on an interim basis. He’s not new to the company however having joined just last year.
He’s also worked for the Australian Conservation Foundation and in his spare time, plays rugby league. So he’s got plenty of experience to draw on. However, he’ll have to move fast. A raft of issues are putting the Company in dire straits. They’ve been writing down inventory and recently reported a $22.2 million half year loss. Things have been so bad that the Board of Directors have resigned, and major shareholders are selling down their shares. The Board was unable to turn the business around despite efforts by its executive team.
What can be done to help the River Murray?
The health of the River Murray is critical to South Australians and Aboriginal people. It provides Adelaide with 50% of its drinking water and supports our valuable wetlands and floodplains.
It also supports irrigation, livestock and recreational activities. Unfortunately, the River Murray system climate is highly variable, making it difficult to predict long-term rainfall and temperature conditions. This makes it hard to accurately distribute water to entitlement holders.
This has resulted in many farms struggling to manage their water use. Some are even unable to continue operating. Fortunately, there are some things that can be done to help the River Murray. For example, we can increase the amount of environmental water in storage to make up for drought years. We can also reduce the salinity of the river by improving farming and irrigation practices. In addition, we can encourage the use of renewable energy to generate electricity. Finally, we can reduce the risk of flooding by adjusting floodplain policies.