Market rent hike threatens fresh food donations for vulnerable Victorians

Generous fresh produce wholesalers who have donated fruit and vegetables to food charities may be forced to try and sell the produce instead in the wake of increased rental costs.

Food banks across Victoria could lose tonnes of donations of fruit and vegies, in an unintended consequence from the Melbourne Market Authority’s rental hikes.

Fresh produce wholesalers say they may have to resort to selling fruits and vegetables that would have been destined for donation, in a bid to make a profit while juggling increased rental costs.

It comes after tenants at the Melbourne Market Authority’s Epping market have enacted a rent strike in retaliation of the proposed 100 per cent rent increase over the next decade.

More than one million kilograms of fruits and vegetable is donated to the likes of Foodbank Victoria each year, with almost 40 per cent of that being distributed throughout regional Victoria.

Foodbank Victoria chief executive David McNamara said fruit and vegetable wholesalers have been donating fresh produce for more than 40 years, accounting for 1.8 million meals a year for vulnerable Victorians.

David McNamara CEO of Foodbank in Victoria. Picture: David Caird

“Unfortunately, anything that impacts our partners out at the Epping market, impacts our ability to get fresh food out to the people who need it most,” Mr McNamara said.

“We’re concerned for our community. Access to fresh fruit and vegetables is critical, it’s a basic human need. Fresh fruit and vegetables are already unaffordable for many people. Right now, they are buying whatever they can to feed their families – usually cheap food that is nutritionally poor and energy dense.”

Mr McNamara said demand for fresh produce was strong, with fruits and vegetables accounting for 35 per cent of food distributed via the food bank.

“Unfortunately, it’s Victorians in regional and remote communities who have the greatest access issues when it comes to fresh fruit and vegetables. They’re our most vulnerable Victorians and this will hit them hard,” Mr McNamara said.

“There is no doubt the rent increase at the Epping market will have a huge impact on our operations, and on Victorians who are already struggling to put food on the table.”

Big Valley Produce wholesaler Frank Budde has donated produce from his business for about 25 years, to Foodbank, and more recently the Melbourne Zoo and Fair Share, and estimated he donates up to 10,000kg of produce a week.

He said “without a shadow of a doubt” the proposed rent increase would result in less, or possibly no, food donations.

Wholesale tenants at the Melbourne Market Authority’s Epping Market could resort to selling produce they would otherwise have donated in the face of a proposed rent hike.

“I’ve spoken to others and they’ve said they’ll have to pull back and not donate at all, they can’t afford the loss. It’s a worry,” Mr Budde said.

Mr Budde said he and other wholesalers took pride in being able to send quality produce to a good cause such as a food charity.

“You’re just rapt you can do that. It’s a good cause. It’s heartwarming knowing that there are so many people starving out there. How could people be able to do that when dealing with extra costs?” Mr Budde said.

“A lot of people are deflated.”

A Melbourne Market Authority spokesperson said remaining tenants affected by the rent adjustment have additional time, until January 17 2025, to return to their leases.