Australian Dairy Products Federation claim processors make strong financial contribution to sector research
Leaders of the dairy industry’s processor lobby have hit back at claims from “minority factions” that they need to contribute more to the sector’s administrative overhaul.
AUSTRALIA’S milk processor group has hit back at claims from farm lobby leaders over its contribution to reform over the sector.
The Australian Dairy Products Federation (ADPF) said today it was “dismayed at the attacks on processors by minority factions of the dairy industry.”
Last week, both Dairy Australia chairman James Mann and Dairy Connect president Graham Forbes encouraged processors to contribute more to the sector’s administrative overhaul, following the release of the Australian Dairy Plan.
But ADPF president Grant Crothers noted that his organisation has been one of the leading groups advocating for meaningful reform.
He acknowledged “this may mean processors contributing financially.”
“No worthwhile reform comes quickly, particularly when the different organisations have a long history and consultation is a priority,” Mr Crothers said.
“When we were approached to participate and co-fund the Australian Dairy Plan some 20 months ago, we welcomed the opportunity.
“After several years of turmoil, a fully resourced attempt at tackling the difficult issues and having the hard conversations with the whole supply chain was welcomed.
“The industry workshops called out organisational reform as one of the most pressing issues and it has been a key priority ever since demanding a huge commitment from all involved.”
The ADPF said most processors were comfortable with the principle of joining dairy farmers as levy payers and making a meaningful contribution to ‘NewCoB’ or its equivalent, “concurring with the sentiments of Dairy Connect and doubtlessly many other dairy farmers.”
Following the release of the Dairy Plan last week by independent chairman John Brumby, Dairy Australia chairman James Mann said the research and development corporation was in discussions with processors on “where and how they should be contributing for industry good activities”.
“I would like to see something that’s fair and equitable to all parties,” Mr Mann said.
Dairy Connect president Graham Forbes called for processors to match primary processor contributions to sector research and development.
“I think processors should be contributing as much as farmers are,” he said.
“If they’re not helping maintain the supply of milk, then it’s not only dairy farms that shut down.”
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