Thousands of jobs at risk if SPC Ardmona goes under

A report commissioned by a council in northern Victoria says 2,050 jobs are at risk if fruit processor SPC Ardmona goes under.

The report by Essential Economics was commissioned by the Greater Shepparton Council.

It also shows that up to $165 million a year in investment would also be at risk if the plant closes down.

Unemployment in the area would rise from 8.6 per cent to 11 per cent and the council's rate base would take a hit of $700,000 a year.

Shepparton Mayor Jenny Houlihan says the council has been lobbying for months for $50 million in federal and state funding to help SPC Ardmona consolidate its operations at Shepparton.

"We've been using this document to tell the governments, both federal and state, all along that yes we can lose 2,050 jobs all up," she said.

Federal Liberal MP Sharman Stone says the Abbott Government is well aware of the gravity of the situation facing SPC Ardmona.

"So it's probably a very timely reminder to everybody, particularly our ministers who are looking at SPCA's application now for industry support for factory enhancements for its technology, that this is not chicken feed," she said.

"It's a serious business if we have these losses."

Source: ABC News, 16 October 2013