Federal Member for Lyne Dr David Gillespie says structural reforms are needed in the dairy industry to ensure local dairy farmers are not only sustainable, but also have the capacity to grow and flourish in future.
“The Australian Competition and Consumer Commission previously identified market failure in the dairy industry and the sector has since come to a united position in response on the need for a mandatory code of conduct for the dairy industry,” Dr Gillespie said.
“I’m delighted that Australian Dairy Farmers have reached a position to support development of a mandatory code of conduct to improve the bargaining power for Australian dairy farmers.”
“I also support the proposal currently being canvassed of a temporary retail levy going directly to dairy farmers to allow the industry breathing space to undertake broader fundamental structural change to secure the long term viability of the industry both locally and across Australia.”
“The current returns to dairy farmers are unsustainable and I believe both the processors and retailers have not only a moral obligation, but also a national interest obligation to ensure farmers in the dairy industry remain sustainable, particularly during challenging times,” he added.