The Australian Dairy Industry Council is disappointed at the Federal Government’s announcement regarding the treatment of dairy food processing in the proposed Carbon Pollution Reduction Scheme (CPRS).
ADIC chairman, Wes Judd said that while there was some level of assistance for dairy food processors, it did not go far enough.
"It appears there will be an additional cost impost on our trade exposed dairy products because our processors have missed out on any free permit allocation," Mr Judd said.
"This will make our dairy industry less competitive in global markets by not only affecting our exports but also giving imported product a price advantage.
"What doesn’t seem to be understood is that additional costs will also be passed on to dairy farmers, who in our estimate will be paying an additional minimum of $5000 per annum.
"This may cause some farmers to leave the industry."