VFF welcomes ACCC investigation

We’ve had the Barnawartha Boycott, a Senate inquiry and now an ACCC investigation into competition in the red meat sector.

The investigation, which we can expect to be completed by November, is the first significant work of the ACCC’s new Agriculture Enforcement and Engagement Unit.

It’s great to see Australia’s competition watchdog sink its teeth into the issues of competition, efficiency, transparency and trading issues in the beef and cattle supply chain.

It’s also pleasing to see the ACCC review will examine the share of profits being made along the supply chain from producer to retailer.

There are plenty of farmers who want to know exactly how much processors and the supermarkets are making out of their livestock.

But there needs to be a political response. With an election looming, this issue is a chance for politicians to take a stance and support competition in the red meat market.

A campaign launched by the VFF and NSW Farmers last year in the wake of Barnawartha saleyards being forced to abandon pre-sale weighing led to a Senate inquiry into the consolidation of the red meat processing sector.

The VFF will continue its push for red meat sector market reforms as part of the federal election campaign.

We want a fair market place that’s provides transparency along the supply chain and where no-one can abuse their power.

The VFF is calling for:

1.    A fair, competitive and orderly market place for Australian livestock producers

2.    Price discovery and transparency via mandatory reporting

3.    Mandatory carcass performance reporting

4.    Market conduct rules and agent/buyer licensing to be enforced to protect participants and provide an avenue for recourse

All livestock producers are encouraged to forward a submission to be considered by the review.

This is a once in a lifetime opportunity that we must take advantage of.

*Responses can be emailed to marketstudy@accc.gov.au by May 6, 2016.