Panama-infested Qld banana farm sells

The Queensland banana farm ruined by the devastating Panama disease last year has been bought out.

The Tully farm, owned by the Robson family, was the first Queensland property to be found with Panama Tropical Race 4 (TR4), a soil-borne fungus which attacks banana plants.

The family and the Australian Banana Growers' Council signed off on the $4.5 million buyout, jointly funded by the federal government and an industry levy, on Monday afternoon.

The property had been under quarantine since last March.

The planned buyout had been jeopardised while another Tully property had suspect plants tested by Biosecurity Queensland this month, but authorities confirmed they had tested negative last week.

ABGC chairman Doug Phillips praised the Robson family for their resilience and patience.

"The past 19 months has been a very difficult time for all growers and I'd like to thank all in the industry that have helped contain this disease so far," Mr Phillips said.

The TR4 strain is difficult to detect and a potentially serious threat to the Australian cavendish banana industry.

The disease is spread through root to root contact and through soil, water and contaminated equipment.

More than 90 per cent of Australia's banana production is in north Queensland where the industry is worth $570 million.