Arabic version: منتجو زيت الأوكالبتوس الأسترالي يستثمرون لمواجهة الواردات الرخيصة

According to ABC News, Australia’s major blue mallee eucalyptus oil producers are investing in distilleries, harvesting equipment and higher-yielding trees as they compete with cheap imported oil and fraudulent substitutions. The industry produces about five per cent of the world’s eucalyptus oil, despite the product’s strong association with Australia.

At West Wyalong in south-central New South Wales, the Davis family’s new distillery produces light golden oil that is shipped to more than 20 countries. Annabelle Davis said the oil is used in pharmaceutical, disinfectant and confectionery products. GR Davis recently spent more than $6 million on its ultra-efficient distillery and harvesting equipment.

Australian blue mallee oil is described as finer than lower-grade imported oil produced from blue gum trees, including trees grown in China. Imported oil can be cheaper and is sometimes fraudulently substituted with camphor oil. Richard Davis said the objective was to place oil on the market at a price that would not make synthetic products worthwhile to buy.

FGB Natural Products, based in central Victoria, has invested $10 million in a similar upgrade. Managing director Tegan Abbott said the investment was intended to futureproof Australian supply and sustain a local industry. The COVID-19 pandemic increased awareness of hygiene and lifted local sales, while consumers sought natural and effective eucalyptus oil products.

Both businesses are also expanding plantations of genetically selected blue mallee trees. The Davis family has planted five million elite trees, while the Abbott family has planted a similar number near Wedderburn. University of Melbourne plant scientist Jason Goodger said average blue mallee trees contain less than one per cent oil, while the latest improved trees yield closer to seven per cent.