TASMANIA'S Government has begun a war of words seeking to ban the expansion of poppy growing on mainland States and territories.
In doing so, they have raised the ire of Victorian Minister for Agriculture Peter Walsh and industry leaders.
Tasmania's deputy premier Jeremy Rockliff and Poppy Growers Tasmania president Glynn Williams and CEO Keith Rice have sought assurance from the Federal Health Ministers' Parliamentary Secretary, Fiona Nash, for a five-year moratorium - to protect the poppy industry on the island.
Mr Rice said they sought a meeting with Senator Nash last week because of concern about Australia complying with the United Nations Convention governing exporting of narcotic material.
He also believes the crop should only be grown in Tasmania.
"There is sufficient land in Tasmania to allow the crop to expand and meet demand," Mr Rice said.
"We can allow for trials to occur on the mainland in the next five years but as things stand, we don't believe demand for the crop is as big as the processors say.
"The Federal Government needs to determine its responsibilities to America and Turkey about expansion of the crop in Australia.
"If there are commercial orders out there [overseas], Australian companies should be able to meet those orders from crops grown only in Tasmania."
However, Mr Walsh believes the expansion is "complementary to what is already happening in Tasmania, not competition".
"I don't believe Tasmania can tell Victoria what to do," he said.
"Restriction of trade between States is illegal.
"The processors are looking to mitigate risk and expand the industry in Victoria."
The Victorian Government passed legislation and regulation earlier this year to allow for the growing of poppies within the State, and established protocols and processes that growers needed to follow to enter the market.
The new industry is potentially worth $100 million, according to the Victorian Government.
"It's up to the processors where they grow the crop and we'll support what they want to do," Mr Walsh said.
Processors GlaxoSmithKline and TPI Enterprises said they were looking at growing the crop in other States as a risk mitigation move.
Australia currently produces 80pc of the global thebaine market and 46-50pc of the global market for poppy straw.
TPI managing director Jarrod Ritchie confirmed to Stock & Land that processing of the crop would continue in Tasmania, but processors needed to look to the mainland to grow crops.
TPI grows about 4000 hectares in Tasmania and this year expects to plant 2000ha in Victoria, expanding to 5000ha in 2015.
TPI also recently planted 500ha in the Northern Territory.
"We've had a lot of interest from growers across Victoria," Mr Ritchie said.
"We can't get enough crops grown in Tasmania.
"A moratorium would be very damaging for the industry and doesn't make sense.
"We need that safety net of expansion into other States.
"Tasmania is not a different country and should not be trying to restrict free trade between States."
