THE possibility of commercial opium processing in the Northern Territory has been mooted following the successful cultivation of a commercial poppy crop in the Douglas Daly region.
The 100-hectare trial crop has been grown on Tipperary Station, about 170 kilometres north of Katherine, by TPI Enterprises and harvesting will begin this month after the poppies were planted in June.
After an expected 150 tonnes of product are removed from the paddock, it will then be processed in Victoria before being put onto the international pharmaceutical market.
Opium is a key ingredient in pain relief medication including morphine, codeine and thebaine, and Primary Industry and Fisheries Minister Willem Westra van Holthe said there could be long-term potential for processing to be completed in the Territory.
“If the crop does prove successful and the yields coming from the poppies themselves are high enough, and TPI are keen to expand that industry higher, I believe there is potential to have processing of the poppy material here in the NT,” he told the Katherine Times.
“It is something I have already discussed with TPI and they have flagged the possibility, but that’s still some time off.”
Based on increased crop areas, it is believed poppy production could grow to be worth $12 million per year to the NT’s agricultural sector over the next five years.
TPI Enterprises chief executive officer Jarrod Ritchie said worldwide demand for pharmaceutical opiates was increasing.
“The expansion of growing to the Northern Territory is an important part of TPI’s strategy to diversify its sources of supply of poppy straw to help the company meet the growing international demand for narcotic raw material product,” he said.
“The introduction of poppy crops to the NT offers new opportunities for Territory farmers, as well as strengthens Australia’s position as a reliable supplier of high quality raw materials for the global pharmaceutical industry.”
The crop has been grown behind security measures that involve an electric fence, cameras and guards.
Mr Westra van Holthe said the success of the trial demonstrated that niche markets could provide new economic opportunities for the Top End during the push to develop northern Australia.
“I think that diversification of our crops is the key to successful agriculture up here,” he explained.
“Having this type of niche commodity just adds another string to the Territory’s bow when it comes to agriculture.”
