Territory Horticultural Farm (THF) is in liquidation, owing creditors more than 1.3 million dollars.

The 60 hectare watermelon and pumpkin farm in Ti Tree, 180 kilometres north of Alice Springs, was recently decimated in just over an hour by extreme hail, rain and wind.

Macks Advisory is handling the liquidation.

Firm principal Peter Macks says the rare event may have ended THF but the horticultural operation itself remains viable.

"The trial crop was perfect and they were just commencing harvest," he said.

"It's not very helpful when suddenly it all gets decimated by a hail storm."

Mr Macks estimates the value of the lost crop to be 'easily' 2.5 million dollars.

"That's what the crop was going to fetch," he said.

Mr Macks cites debts to various creditors that amount to more than 1.3 million dollars and, without crop insurance, says it will be difficult for any creditors to get paid.

But he says there are many opportunities for the landowners, TTG Nominees, and for the future of the farm.

"There is nothing wrong with the business model that was set-up, other than the insurance issue," he said.

"Surely the probability of a storm decimating a crop again is fairly low."

Source - http://www.abc.net.au/