Queensland Government Takes Action to Support Farmers and Consumers
In response to concerns raised by Queensland farmers and consumers, the Queensland government has announced a series of measures to address the unfair treatment of farmers by supermarkets and the rising prices of essential goods. The government has pledged to implement all recommendations made by its Supermarket Pricing Select Committee, including the appointment of an interim “Food Farmers Commissioner” to assist producers in negotiating supply contracts with supermarkets.
One of the key initiatives is the introduction of retail and farm gate price reporting, which will allow consumers to easily see the mark-up that supermarkets add to essential goods. This transparency will empower consumers to make informed choices and put pressure on supermarkets to ensure fair prices for both farmers and consumers. Queensland Premier Steven Miles stated, “The reforms we plan to implement will mean a fairer go for farmers, consumers, and those along the supply chain.”
The Select Committee inquiry highlighted the troubling practices employed by supermarkets, such as offering farmers unfair terms that made production unprofitable, while selling the produce at excessively high prices. Bundaberg MP Tom Smith, the Committee Chair, emphasized the power imbalance between farmers and retailers, stating, “Queensland growers feel powerless to speak out against the tactics being used against them by the dominant retailers.”
The appointment of an interim Food Farmers Commissioner is seen as a significant step towards addressing these issues. The commissioner, who will hold office for 12 months, will provide support to producers in navigating supplier arrangements with supermarkets. Their role will include consultative, advisory, mediation, transparency, and advocacy functions. This move has been lauded by Jo Sheppard, CEO of the Queensland Farmers’ Federation, who called it “an important first step” towards a level playing field and transparency in the marketplace.
In addition to supporting farmers, the government aims to lower barriers for small retailers by amending planning rules and curbing “land banking” practices. Land banking refers to the practice of acquiring land for future development without actually commencing construction. By capping the number of times supermarkets can roll over approvals without building, the government aims to encourage the timely development of new supermarkets and promote competition.
The Office of Fair Trading will also launch an education campaign to enhance consumers’ awareness about unit pricing, consumer rights, and the benefits of buying imperfect or non-premium produce. This campaign aims to empower consumers to make informed choices and support local producers. The government is also closely monitoring the impact of the growing click-and-collect and home delivery market, with a comprehensive examination planned once the ACCC’s Supermarkets Inquiry concludes next year.
Recognizing the challenges faced by farmers in regional and remote areas, the government plans to enhance the delivery of subsidised freight services through regional assistance packages. This will support the efficient movement of goods and strengthen supply chains. Furthermore, the government will continue the ongoing roll-out of major transport infrastructure to further support regional and remote supply chains.
The decision to fund EastAusMilk to develop a Queensland Dairy Industry Plan in consultation with industry stakeholders has been welcomed by Queensland Fruit & Vegetable Growers. Rachel Chambers, CEO of Queensland Fruit & Vegetable Growers, expressed her appreciation for the government’s commitment to safeguarding and strengthening the link between food production and consumption. She stated, “The government’s focus on tackling the challenges within our very complex food system is both timely and essential.”
The Queensland government’s proactive approach to addressing the issues faced by farmers and consumers demonstrates a genuine understanding of the importance of a fair and transparent food system. By implementing measures to support farmers, enhance consumer awareness, and promote competition, the government is working towards a future where farmers receive fair compensation for their produce, consumers have access to affordable goods, and the entire supply chain operates on a level playing field.
