Fruit and vegie grower sentiment drops to ‘all-time low’

An estimated 15 per cent of the nation’s apple and pear orchards have been bulldozed in recent months following sustained input pressures and poor prices.

Almost 40 per cent of vegie growers willing to step away from their farms while 15 per cent of the nation’s apple and pear orchards have been bulldozed in recent months, in the face of rising input and labour costs and poor retail pricing.

The growing number of fruit and vegetable producers are feeling disenfranchised with the horticulture industry comes as industry bodies continue to make their submissions into the Senate inquiry on supermarket prices.

An AUSVEG industry survey, conducted in the opening weeks of the new year, found 37 per cent of surveyed vegetable, potato and onion producers would consider leaving the industry in the coming 12 months.

This is a rise on the 34 per cent noted in September last year, with growers citing input pressures, retail prices, and labour costs as the top three reasons.

Australian Apple and Pear Ltd head of government relations Jeremy Griffith said in the past four months, the industry has bulldozed an estimated 15 per cent of the national pear orchards.

“That’s a really big number,” Mr Griffith said.

“And another one is just looking at the average age of growers … the average age is just way too high, because the next generation simply don’t see a future in it … they can’t see how they can earn a living, how they can get a return and that’s a major issue.”

AUSVEG chief executive Michael Coote said it was crucial growers received fair prices for their produce, as growers “continue to face livelihood-threatening challenges” which were driving supply costs higher.

AUSVEG chief executive Michael Coote said growers were increasingly feeling pressure from retailers to accept lower prices. Picture: Supplied

“ … Growers tell us they are under more and more pressure from retailers to accept lower and lower prices, and often have few options but to do just that. A major contributing factor is the concentration of market power in the hands of retailers that are often the biggest customer for many vegetable growers,” Mr Coote said.

“With our latest industry survey confirming sentiment is at an all-time low in the sector and getting worse, this inquiry is an opportunity to embrace reforms that support the long-term viability of the vegetable growing businesses that feed the country.”