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We follow an integrated Agribusiness model,

that embraces sound business practices,

innovation, and experimentation.

In everything we do, our priority is to consider the sustainability of

the activity. We will not put profit before our commitment to a

sustainable and safe environment.

We believe that we are the custodians, not the owners of our land.

It is our responsibility to ensure that the cultivated land is managed

to improve its natural fertility, and that the wilderness is preserved

for future generations.

We will seek out and embrace new techniques and equipment to

actively improve and manage our land.

We will innovate and experiment, and actively share our learnings

with the broader community.

We are strongly committed to the recycling of materials and

products.

We work to develop synergies between our business ventures,

where equipment and materials are integrated across the business

functions.

Stuart and Thitikarn Douglass April 2016

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1.0 Executive Summary.

There are three identified revenue streams associated with proposed activities at Long

Orchard Farm.

Each of the planned activities are at a different stage of development, and face either

shared or specific challenges. The activities will be considered in turn before presenting

them together as an integrated proposal.

2.0 History of Long Orchard Farm.

Tinglewood farm on Glenrowan road was sub-divided in 2006, and Lot 18 was sold by the

Wood family and subsequently re-named by the current owners as Long Orchard Farm.

Judy Wood and her Husband established the first vines in the Denmark area at Tinglewood,

and won numerous awards for their Reisling wines before other wineries were established

in the region. Judy also established Jassi Ugg Boots, and The Puzzle Shop, both of which

operated from the adjacent farm lot on Glenrowan Road.

An extensive program of clearing tree stumps, deep-root extraction, and soil improvement

was undertaken. Soaks were repaired and cleaned and fences established.

In winter 2007, 600 mixed citrus and stone fruit trees were planted.

The first 4000 cider apple trees were planted in 2008. These 6 varieties of apple trees were

a unique assortment of bitter-sharp and bitter-sweet apple varieties, specifically grown for

Cider production. A further 2000 trees of the same varieties were planted in 2009,

followed by 600 trees of an additional 12 varieties in 2010.

Harvesting of the apples began in autumn 2013, with the first vintage of 450 litres of

scrumpy Cider produced at Harewood estate. The 2014 vintage yielded 2250 litres, and

2015 vintage 6750 litres, all processed at Harewood estate and Castelli estate.

2016 marks a watershed in the history of Long Orchard Farm. The farm must undergo a

step change to transition from the establishment period to become a viable business. If

this transition does not occur in a timely manner, the entire operation will fail.

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3.0 Three Complimentary Ventures at Long Orchard Farm.

3.1 The Denmark Heritage Cider Company

The Denmark Heritage Cider Company grows specific varieties of bitter sharp and bitter

sweet apple varieties. Cider SHOULD be made using a blend of bitter sweet / bitter sharp /

sweet apples.

In Australia there are a handful of orchards that produce bitter sweet or bitter sharp apples

for cider production. In Western Australia, there is only one; Long Orchard Farm, in

Scotsdale. The Cider produced from these scattered speciality orchards is recognised as

being a premium “world class” product, but has as yet failed to break into the mainstream

Cider market in Australia.

The vast majority of cider produced in Australia is made from “rejected” eating apples. Much

of it is made from apple concentrate. Eating apples lack the vital flavourings imparted by

tannins and various acids, and the fermented juice is dry and tasteless. Sugar is added post

fermentation to sweeten the Cider, and often other products are added to disguise the bland

flavour.

Unfortunately, with no point of reference for premium Cider consumption, the Australian

consumer is generally unaware of the nature of the product being purchased, and is often

surprised when trying a REAL Cider.

Denmark Heritage Cider Company proposes to offer a unique tourist resource to the district,

and is fully in keeping with the regional desire to become a “foodie” destination.

3.2 Long Orchard Farm Apple Cider Vinegar. (ACV)

There is a well established niche market for Apple Cider Vinegar both world-wide, and in

Australia. The benchmark ACV available in Australia is Braggs, which is imported from the

USA and retails at around $12.00 per litre. Various Australian ACVs are available, none of

which match Braggs for content or quality. As with mainstream cider production, the wrong

varieties of apples are used.

ACV has numerous applications, particularly in the alternative health market. However it is

currently up to the individual to prepare these products from the base material.

Within the waste streams of the Denmark Heritage Cider Company, there are two ready

sources of material that can be used to produce an ACV of similar quality to Braggs. The

unique bitter sharp and bitter sweet apple varieties grown at Long Orchard Farm will be can

produce the one and only true ACV from Australia.

Windfall (early ripening) apples can be pulped and aged to provide the base fluid. In addition

the pulp from the pressing associated with our cider production can be rehydrated and aged

with “sugar” solutions to extract the required vinegar base fluid.

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It is proposed that as well as bottled ACV, a range of ready remedies will be marketed from

Long Orchard Farm. These include throat sprays, and flu relief preparations. In addition a

range of “kits” will be available for preparation of skin treatments and weight control drinks.

The product will also be available as a locally produced vinegar to other food outlets as a

“high end” condiment. (Oysters / salad dressings / speciality foods).

The proposed range of products associated with ACV provides opportunity for a new

industry, and further benefits to the local economy.

3.3 Long Orchard Farm Speciality Beverages.

Small amounts of fruit wines may be produced off-site using local winery facilities, using the

citrus crops. Batches of up to 600 litres are anticipated. These wines will be ameliorated with

various spices, anticipating that the spiced drink trend that has developed overseas will

penetrate the Australian market.

4.0 Planning Requirements.

4.1 Retail Outlet.

It is proposed that an existing farm shed will be used as the cellar door venue. Specific details

of this proposal are included with the planning application.

A gravelled car parking area will need to be provided adjacent to the shed. A single sealed

parking space for the disabled will be provided on the concrete pad inside the shed.

The retail outlet will be used for the sales of Cider, ACV, and possibly OTOP products

imported from Thailand. (OTOP is a government sanctioned scheme to assist localities in

Thailand develop self sufficient economies and reduce reliance on illegal activities. Such

products are specialist leaf teas, coffee and fabrics.)

The planning approval for this is critical to obtaining a producers license which will allow

sales of Cider and release much needed capital into the business. The target date for opening

the Retail outlet has a target of November 19 2016.

The retail outlet will need to be considered a licenced premises.

It is not anticipated that heavy sales of product will occur at the retail outlet. However the

producers licence associated with the premises will allow the critical establishment of

internet sales.

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4.2 Toilet Facilities.

The operation is staffed entirely by family, with access to the house facilities.

4.3 Hours of Operation.

May to October

10:00 am – 4:00 pm (Friday to Sunday)

November to May

10:00 am – 4:00 pm (Monday to Sunday)

5.0 Further Action.

On review of this document, it is expected that timely advice be received in order to progress

any business plans.

Discussions on any or all parts of the document are to be encouraged in order to avoid

misunderstanding and advance the approvals process in an efficient manner.

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Appendix A

Conversion of existing farm shed to Cellar Door outlet. July 2016

a. Introduction.

In order to generate revenue to support the ongoing activities at Long Orchard Farm, it is

critical that a liquor licenced retail outlet (Cellar Door) is established.

There are limited funds to establish the licensed retail outlet.

b. Functions Required for Cellar Door.

Across WA and Australia there are multiple configurations of cellar doors. These range from

the extensively staffed serious structures along Caves Road in the Margaret River Region, to

unattended simple counters within sheds, as in the Porongorups.

With such wide ranging constructions it is difficult to define exactly what constitutes a cellar

door. Historically a “cellar door” was simply a door to the wine cellar where locals and

visitors could visit to purchase wines.

It is the variety of options available that adds to the experience of visiting multiple cellar

doors. At its most basic the cellar door must provide a defined area, within which people

can sample small quantities of the produce. The area must be safe and secure, and provide

access to disabled persons.

It is proposed that (initially) there is no requirement within the cellar door for office or

refuge facilities for staff as the cellar door will be manned entirely by the owners of Long

Orchard Farm and the house is adjacent to the shed.

c. Staffing and Operations.

A bell will be situated at the door of the shed. This would ring in the house and via wi-fi to

the more distant workshop area. The roller door would be locked shut when no customers

were in attendance, and opened by us to allow access to the shed.

Inside the area would be a table, sink, refrigerator and a secure cash repository. We would

also display some of the craft cider making equipment in the shed, and use the area as a

store for some of the product. In addition we would display our range of ACV products and

possibly OTOP goods from Thailand.

This proposal accurately describes a door to a cellar, and accurately reflects what a cellar

door is? At it’s most simple it is a door to the wine storage area (cellar) through which people

can purchase product.

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d. The Location.

The Google Map images below show the as built locations of the buildings.

The first image is a large scale overview of the farm showing the location of the buildings

and road access.

The second image zooms in on the house and shed.

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e. The Building.

The photographs show the shed in its existing form. The equipment and machinery will need

to be removed to other storage on the farm.

General View of Shed.

Proposed Area for Sales – inside roller door.

Proposed area for Disabled Car Parking – Left hand side of the open area.

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View out from shed through roller door.

f. The Access.

The photographs show the level area adjacent to the shed. This is currently used as a

machinery park during routine operations. These operations will shift to the other workshop

in the orchards.

Area adjacent to Shed. Screened gravel car parking where trailers currently parked, and more

distant excess parking on grass.

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Farm road passing the shed. Proposed car parking area beyond shed prior to orchard boundary

fence.

Access for pedestrians on gravel road to cellar door area from car parking area.

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