DLL’s renewable energy financing has enabled La Cántara Artisan Cheeses to transition to solar power, aligning with the dairy farm’s sustainability goals, while reducing its electricity costs
Tasmanian dairy farm La Cántara Artisan Cheeses is renowned for producing cheese, pasteurised milk, and other quality dairy products.
Founded in 2019 and based in Smithton, owner Genaro Velasquez says the business’ location is significant to the state’s milk industry.
“This area of Tasmania produces about 50 per cent of all milk that is produced in the state, and there are no facilities where milk is further processed,” Velasquez says.
An ongoing challenge for the business has been overcoming financial barriers to becoming more sustainable.
Despite its role in the region’s dairy industry, La Cántara had previously faced significant hurdles in securing financing for growth and modernisation, until it collaborated with DLL.
For three years, La Cántara had aspired to install a solar panel system to mitigate rising electricity costs and encourage more sustainable practices on the dairy farm.
However, the substantial upfront capital outlay made it a challenging prospect – highlighting a common struggle for agribusinesses seeking to expand.
Velasquez says “if it didn’t help our cash flow, we wouldn’t consider it” – emphasising the need for financially viable solutions.
While discussing possibilities with banks, Velasquez didn’t find a tangible solution.
“One of the main challenges we have been facing is just sitting in that limbo to be considered by a big bank. You don’t have enough equity,” he adds.
“Trying to find the solutions…to bring a business to a level where you can be considered by some of these financial institutions.”
Seamless collaboration
As an existing Rabobank customer, La Cántara’s vision for renewable energy presented a natural opportunity for collaboration within the broader Rabobank Group.
DLL, a wholly owned subsidiary of the global Rabobank Group, shares a deep passion for Australian agriculture and is strategically focused on supporting the energy transition.
Leveraging Rabobank’s strong agricultural experience and global knowledge, the DLL Energy Transition team in Asia Pacific stepped in to provide a tailored financial solution for La Cántara.
“We bring all of that knowledge together in each of the different markets to really optimise what is the best solution for farmers in those regions,” DLL Energy Transition Commercial Manager, Asia Pacific John Feenan says.
“We can provide finance solutions like we have with Genaro, that he doesn’t have to pay capital upfront. He can put that on a finance solution, on a monthly repayment scheme, so that allows him to deploy his capital in a more effective way.”
More sustainable practices
With DLL’s financial support, La Cántara installed a robust solar panel system consisting of 108 panels and a 50-kilowatt inverter. This investment began delivering measurable benefits and returns for the dairy farm.
Beyond the immediate offset of electricity consumption due to rising prices, the shift also supports more sustainable energy use.
This initiative aligns with Velasquez’s sustainability goals, Feenan says.
“It’s his passion to reduce his carbon footprint and to create a product, his cheeses, which can have recognition that they’ve been produced with energy produced on his own farm,” he explains.
The involvement with DLL was notably positive for La Cántara.
“Our experience with DLL has been fantastic – it was a hassle-free experience. As more individuals see the benefits of renewable energy, both for the environment and for their bottom line, we may see more businesses getting on board,” Velasquez says.
The DLL and La Cántara collaboration is a great example of how integrated financial solutions can empower agricultural businesses to overcome challenges, embrace innovation, and contribute to a more sustainable future.
By addressing the critical need for accessible renewable energy financing, DLL is not just facilitating business growth but actively fostering a more sustainable, resilient future.
For more information on transforming your farm with more sustainable energy solutions, scan the following QR code or call +61 2 9113 5000.
