On the heels of Coles’ admission to the Australian Competition and Consumer Commission (ACCC) yesterday, Australian Dairy Farmers (ADF) has reiterated the need for stronger competition laws that will protect suppliers against the unjust activities of major retailers.

ADF President, Noel Campbell said that Coles’ announcement was a damning indictment against the supermarket giant, whose actions and continual denial over the past four years have had significant negative impacts on suppliers and dairy farmers affected by $1 per litre milk.

“Coles has misled Australian consumers and Parliament for too long on this issue,” Mr Campbell said.

“They have finally confirmed what ADF, and others, have long said about their unsustainable $1 per litre milk campaign. This admission does nothing to rectify the damage they have inflicted upon processors and dairy farmers, who have ultimately paid for their unsustainable price cuts.”

Mr Campbell said the announcement highlighted the need for a Mandatory Code of Conduct with significant penalties and a Supermarket Ombudsman to enforce the Code.

“Coles must pay suppliers, and ultimately farmers, a fair price for their hard work. They should not be able to force the costs of unsustainable price cuts onto farmers,” he said.

ADF looks forward to the findings of the Harper Review of Competition Law and Policy, with the hope that this will foster a fairer supply sector going forward and end unjust practices such as the $1 per litre campaign.

ADF thanked the ACCC for its persistence in pursuing Coles in this matter, and said it will be watching the court proceedings closely.

Media Contact:

Shona McPherson, Media Officer

M: 0447 161 919

E: media@australiandairyfarmers.com.au

Australian Dairy Farmers’ Business Members today elected three new Business Directors to the Board, Simone Jolliffe, David Basham and Tyran Jones at the second consecutive ADF Annual General Meeting.

With significant experience in the dairying business, all three Board members are exceedingly well qualified for their roles, with each bringing a unique perspective to the table.

Outgoing Board members, Chris Griffin and Peter Evans announced in September that they would retire at the end of their respective terms and therefore did not seek re-election. ADF President, Noel Campbell spoke highly of both directors.

Simone Jolliffe, who has been re-elected to the ADF Board having fulfilled a casual vacancy, has been on the board of Dairy NSW since 2010, and became Deputy Chair in 2013. Simone has a Bachelor of Rural Science, and is the current Chair of the Inland Elite Dairy Network.

As President of the South Australian Dairyfarmers’ Association since 2005, David Basham has been a lively advocate for the dairy industry over many years. David has been instrumental in the development of SADA Fresh Milk.

Tyran Jones is the current President of United Dairyfarmers of Victoria, and a committed member of the ADF National Council. A Victorian dairy farmer, Tyran is an advocate for agriculture innovation and adapting new technologies on farm.

ADF President, Noel Campbell welcomed the new additions to the Board, and thanked the outgoing directors for their service.

“It’s a pleasure to welcome our directors to the Board” Mr Campbell said. “Their vision and ideas will help ADF in its work to promote the interests and sustainable profitability of all Australian dairy farmers.”

The ADF Board is comprised of four farmer directors Noel Campbell, Simone Jolliffe, David Basham and Tyran Jones, and one independent director, Dr Anne Astin.

Media Contact:

Shona McPherson, Media Officer

M: 0447 161 919

E: media@australiandairyfarmers.com.au

Australian Dairy Farmers (ADF) today called for Expressions of Interest from ADF farmer members asking them to become part of one of the peak body’s Policy Advisory Groups (PAGs).

Expressions of interest close on 30 January 2015 and can be accessed via the ADF website.

PAGs play a key role in setting business objectives for industry and driving policy formulation. They help to ensure dairy interests are properly represented at a domestic and international level.

Mr Noel Campbell, President of ADF, said the role of the PAGs was critical to policy formulation for the long-term future of dairy.

“We face many challenges as an industry and have always relied on the vision, passion and participation of people within dairy,” said Mr Campbell.

ADF PAGs recommend policy settings to the ADF via the National Council and also act in an advisory capacity providing feedback to Dairy Australia, state dairy farmer organisations (SDFOs) and other bodies like the National Farmers Federation and the Australian Dairy Products Federation.

“PAG members have made a great contribution to dairy over the last 70 years and we want this to continue,” Mr Campbell said.

Mr Campbell said the five PAGs including: Markets, Trade and Value Chain; People and Human Capacity; Animal Health and Welfare; Farming Systems and Herd Improvement and Natural Resources needed to be driven by farmers.

“We welcome and encourage direct involvement from dairy farmers to drive policy in the right direction,” said Mr Campbell.

PAGs are appointed by the ADF Board every year to ensure ADF business members with the right skills, talent and interest are involved.

PAGs can meet up to three times a year. There is a requirement for PAG members to attend the majority of meetings. When PAGs do meet face to face, expenses and sitting fees are covered by ADF in line with internal policy.

Background

PAG Skills and Interest

Ideally, a PAG will have members with a specific interest in that policy area and a complementary mix of skills and experience. The ADF National Council’s appointment of PAG members is based on assessment of each prospective PAG member and the likely contribution they will make to that policy area.

Generally PAGs will consist of six members including two to three National Councillors (some PAGs may be larger in order to accommodate members with specialist skills).

Australian Dairy Farmers (ADF) has called on the Government to address the imbalance of market power facing dairy farmers, with the submission of its response to the draft report of the independent Competition Policy Review Panel; ADF’s second submission to the Harper Review.

ADF President, Noel Campbell said that the unequal distribution of market power means that farmers are often backed into a corner when it comes to farm gate prices.

“This disadvantage is heightened due to logistical constraints in supplying perishable goods. We need policy that will enable a more level playing field,” Mr Campbell said.

The peak dairy farmer body welcomed the Panel’s recommendation for an Effects Test, to examine the impact of major retailer conduct. However, ADF pointed out that the new need to prove purpose may make the Effects Test impossible to apply and should be removed.

ADF also reiterated the need for a Mandatory Code of Conduct and a Supermarket Ombudsman with teeth to balance the excessive market power of major retailers.

“While we recognise that the proposed retailer and AFGC Grocery Code of Conduct is a step in the right direction, ADF is of the view that it has a number of significant flaws and gaps,” Mr Campbell explained.

“The Code must be mandatory, applying to all retailers and incurring penalties for non- compliance, giving it the necessary authority to provide meaningful protection for the industry.”

The industry also called for further improvements to Collective Bargaining and boycott regimes, than those proposed by the Panel.

Designed to review Australia’s competition laws and policy, the Competition Policy Review is the first of its kind to be undertaken in 20 years. ADF acknowledged the efforts of the government to create a more equal commercial environment for industry suppliers, processors and retailers.

ADF appreciates the opportunity to respond to the review and the hard work that the Panel has undertaken to address key issues in competition policy.

Media Contact:

Shona McPherson, Media Officer

M: 0447 161 919

E: media@australiandairyfarmers.com.au

Addressing over 100 dairy farmers, industry and political representatives at the Corangamite Farmers’ Forum on 16 October, the Minister for Trade and Investment, Andrew Robb declared that investment, both foreign and domestic, is crucial to the future of dairy.

“For over two centuries now, Australia has relied on foreign investment to drive much of its industrial development,” Mr Robb said. “Such investment continues to be integral to our development.”

ABS data indicates that 99.5 per cent of dairy farm businesses are entirely Australian owned, while foreign investment and joint domestic/foreign partnerships, account for a mere 0.5 per cent.

Australian Dairy Farmers (ADF) President, Noel Campbell said he welcomes foreign investment, recognising the potential it presents to foster sustainable growth for dairy.

“As with any negotiation there will be trade-offs, we cannot expect a strong deal on dairy from the Chinese government without giving something in return, “Mr Campbell said.

Mr Campbell stressed that any foreign business must adhere to the same legislation local industry is subject to, from regulation of employment to food and safety standards.

“ADF believes that foreign investment which passes our foreign investment regulatory regime poses no more risk than any other investment.”

Mr Robb suggested concerns over foreign investment are unfounded.

“There are [6,400] dairy farms in Australia. The fact that 50 may be bought with a lot of other money coming with it, to invest in local towns and new processing operations…this is what Australia’s been built on.”

“Foreign investors will still have to pay taxes like everyone else. They will still have to abide by our laws.”

Media Contact:

Shona McPherson, Media Officer

M: 0447 161 919

E: media@australiandairyfarmers.com.au

“Australian Dairy Farmers recognises the importance of foreign investment to our vibrant Australian dairy industry and supports foreign investment in the industry,” said ADF President Noel Campbell.

“This view has been expressed consistently over the last two decades as various countries have invested in Australia,” said Mr Campbell.

The Australian dairy industry is a global player in a global industry. We export almost 40 per cent of our total production.

If we are to grow our industry it will be through exports. Our global market share is currently 7 per cent, we want this to grow.

“Investment, both domestic and foreign, is crucial for this growth. Australian dairy farmers support foreign investment for this reason.”

The China Free Trade Agreement is an important plank in growing our industry.

Greater China is now our biggest export destination, even without an FTA, with over half a billion dollars worth of product going there in 2013.

As with any negotiation there will be trade-offs, we cannot expect a strong deal on dairy from the Chinese government without giving something in return.

ADF is confident the current foreign investment regulatory regime is robust, will be strengthened further by the planned land register and supports the National Interest Test.

ADF believes that foreign investment that passes our foreign investment regulatory regime and accords with our national competition laws poses no more risk than other business investment.

It is worth noting that investment to drive sustainable growth was a key priority from the National Dairy Farmers’ Summit.

“I have never seen a foreign investor pick up farming land or a dairy farm and take it back to their country,” said Mr Campbell.

We welcome foreign investment that helps to grow and strengthen our industry.

Media Contact:

Shona McPherson, Media Officer

M: 0447 161 919

E: media@australiandairyfarmers.com.au

Australian Dairy Farmers (ADF) has welcomed the Joint Standing Committee on Treaties (JSCOT) recommendation that Australia ratify the Korea-Australia Free Trade Agreement (KAFTA) – an agreement that could deliver millions of dollars in additional export value to the Australian economy.

ADF President Noel Campbell said the deal recognises dairy as one of the nation’s export strongholds and must be ratified as soon as possible to open up markets for Australian dairy farmers.

“We were pleased that the Korean and Australian Governments reached an agreement in December 2013 after four years of intense negotiations. This was a major step forward in securing Australia’s trade within the Asian region, and we congratulate the Government on its achievement.

“The challenge now is moving from words to action. Key commercial rivals such as the USA and EU already have FTAs with Korea and Australia’s FTA with Korea is vital to stop continued market erosion,” Mr Campbell said.

“Korea is a significant dairy market for Australia and currently ranks 10th by value with $88 million worth of exports in 2012/13,” he said.

In 2011/12 Australian exports to Korea were $116 million. To arrest this decline, Mr Campbell stressed that KAFTA must be ratified before the end of 2014.

“The agreement, when implemented, will set most Australian dairy products on a path to eventual full trade liberalisation into Korea,” Mr Campbell said.

Key benefits for dairy in the agreement include:

• Some dairy products with zero tariffs on entry into force, while the majority will see tariffs phased down over varying periods of time; and
• Tariff-free access for specified volumes of cheese, infant formula, and butter under Country Specific Quotas (CSQ) from day one of the agreement.

Mr Campbell said that Dairy Australia estimates indicate that the first year benefit of tariff savings for Australia under KAFTA will be in the order of US$7.6 million, with this figure set to grow year on year as the CSQ volumes increase and the out of quota tariffs reduce.

“Ratifying the agreement before the end of the year will mean that Australian dairy can take advantage of the tariff reduction timeline as of 1 January 2015. Any delay in the parliamentary process will cost the Australian dairy industry another year of benefits.

“It’s vital that Australia acts quickly to seize the opportunity for early implementation of this agreement. We must get the ball rolling – every day of unnecessary delay holds Australia’s growth and prosperity back,” Mr Campbell said.

Media Contact:

Media Officer

T: (03) 8621 4200

E: media@australiandairyfarmers.com.au

Australian Dairy Farmers’ (ADF) social media campaign, #FTA4dairy launched yesterday, received a tremendous response, reaching over 1.6 million Twitter users.

Australian Dairy Farmers (ADF) is today urging all Australians to get behind its #FTA4dairy ‘selfie’ campaign to help secure a China-Australia free trade agreement (FTA) which could see $30 million in tariff savings per year placed back into the pockets of Australians.

Showing your support is as simple as uploading a #FTA4dairy selfie holding up a postive message, and posting it online incorporating the #FTA4dairy and #FTA4farmers hashtags.

Australia’s fresh and unparalelled quality dairy products are something we take for granted everyday, but Australia’s dairy industry continues to be significantly commercially disadvantaged by tariffs which don’t apply to our New Zealand (NZ) neighbours.

ADF President, Noel Campbell said a China-Australia FTA that places Australian dairy on a level footing with NZ dairy will provide benefits for everyone, including the 43,000 Australians directly employed in the dairy supply chain.

“A positive China FTA will help to bolster economic growth, provide jobs, encourage industry investment, and provide Chinese consumers with the clean, green and fresh dairy produce they deserve,” Mr Campbell said.

Along with 6,400 Australian dairy farmers, Gippsland dairy farmer, Chris Griffin was up at 4.00am this morning before most of us were awake, milking 350 of Australia’s 1.6 million dairy cows, hoping for a fair China-Australian FTA dairy deal.

“Out in the paddock today, I will be on my smart phone to show my support online for a positive China FTA that will secure a more competitve and prosperous future for Aussie dairy,” Mr Griffin said.

“Everyone needs to get involved, it’s so easy – I’ve already taken a #FTA4dairy selfie this morning!” Mr Griffin said.

Together, we can secure a positive China-Australia FTA dairy deal our industry and Chinese consumers deserve.

For more information and to find out how to get involved in this campaign, please visit: www.FTA4dairy.com.au.

Media Contact:

Stephanie Karangis, Acting Media Officer

T: (03) 8621 4200

E: media@australiandairyfarmers.com.au

Australian Dairy Farmers (ADF) has welcomed a total of $625,000 funding from the Victorian and Commonwealth Governments for the world-renowned National Centre for Farmer Health (NCFH).

Plans by DairyTas for an employment register and pre-employment training courses linking the unemployed with jobs in the industry are worthy of support and consideration at a national level, Australian Dairy Farmers (ADF) said today.

ADF President, Noel Campbell, said the initiatives would help meet anticipated demand for jobs as 50 new farms come online and the industry expands by an estimated $340 million.

“As the local service delivery arm for Dairy Australia (DA), DairyTas deserves credit for their positive approach to addressing labour shortages in the industry,” Mr Campbell said.

“Plans for an employment register and pre-employment training courses will help fill the more than 200 jobs anticipated to be created as the Tasmanian dairy industry expands over the next 12 months.

“In particular, the ‘Getting Into Dairy’ and ‘Getting Into Dairy – Introductory Training’ courses will assist interested people, including those with no previous industry background, to gain experience and practical insight into working in dairy.

“These are very worthwhile and practical steps to assist people into the industry, and consistent with our policy aims, ADF strongly supports and commends this approach.”

Mr Campbell said DairyTas is working closely with the Federal Government to secure funding for the pre-employment training courses.

“Given the potential employment and economic benefits involved, it is our hope the Federal Government will recognise and support what is a worthy local industry initiative,” he said.

“Building on the efforts of DairyTas’ and the success of GippsDairy’s ‘Employment Made Easy’ online recruitment and people management tool, ADF would welcome discussing with the Federal Government the potential to expand this initiative nationally.”

For further information or to register your interest in the introductory dairy training, please call DairyTas on (03) 6432 2233.

Media Contact:

Karl Liebich, Media Officer

T: (03) 8621 4200

E: media@australiandairyfarmers.com.au

Dairy Australia’s (DA) 2014 Situation and Outlook Update Report highlights mixed industry fortunes across the country, Australian Dairy Farmers (ADF) said today.

ADF President, Noel Campbell, said while the report painted a positive picture overall it was important to remember that dairy farmers in Queensland, northern New South Wales and Western Australia still faced considerable challenges.

“ADF welcomes the news that farmer confidence has increased in six out of eight dairying regions, according to the 2014 Situation and Outlook Update Report, Mr Campbell said.

“While a positive for the industry, it is tempered by the fact that farmers in Queensland, northern NSW and WA continue to be adversely affected by factors including drought and the ongoing impact of $1 per litre milk.

“However, we can say that an improvement in the farm-gate milk price in some areas, strong overseas demand, a fall in the value of the Australian dollar and better seasonal conditions have contributed to an overall increase in confidence.”

Mr Campbell said key to building on farmers’ confidence levels was government action on key policy priorities for the dairy industry, including an Australia – China Free Trade Agreement (FTA) and the introduction of a Mandatory Code of Conduct to balance the extreme market power of the major retailers.

“The realisation of a ‘New Zealand plus’ China FTA and introduction of a Mandatory Code among other priorities would do wonders for the confidence of Australian dairy,” he said.

With these goals in mind, they will remain front and centre of ADF’s advocacy on behalf of the industry.”

Media Contact:

Karl Liebich, Media Officer

T: (03) 8621 4200

E: media@australiandairyfarmers.com.au