South Australia’s fledgling commercial seaweed industry will get a significant boost with a $1.5m State Government project to grow the sector and create new jobs.

The two-year project will include establishing a local seaweed industry cluster, undertaking large-scale cultivation pilot trials, looking at ways of boosting commercial seaweed production and establishing a land-based hatchery.

Current industry partnerships are already generating more than $105m in economic activity in the next two to four years with modelling indicating the industry could generate an additional $120m to the state’s economy and an extra 453 jobs over the next five years.

Primary Industries and Regional Development Minister David Basham said South Australia was uniquely positioned to take advantage of the growing international interest in this sector.

“Turning seaweed into a valuable commodity may seem strange to some, but there is huge opportunity in South Australia with early estimates showing the industry could add $120m to the state economy and create hundreds of jobs,” Minister Basham said.

“Commercially grown seaweed can be used in industries such as pharmaceuticals, cosmetics, food production, animal and stock feed. The mass production of seaweed also benefits carbon recycling and offsetting the impact of greenhouse emissions.

“We have a highly diverse seaweed flora endemic to our waters, large areas of in-sea and coastal land for farming, a supportive regulatory environment for aquaculture development, an international reputation for high quality seafood and state of the art research and development capability.

“This new $1.5m project, which is being led by the South Australian Research and Development Institute, will help better engage with the private sector to attract new players into the local industry and grow our commercial seaweed opportunities.”