Senate debates

Monday, 2 December 2019

Questions without Notice

Dairy Industry

2:48 pm

Photo of Bridget McKenzieBridget McKenzie (Victoria, National Party, Minister for Agriculture) Share this | Hansard source

Yes; I was just going to say we'll walk you through the supply chain. When it comes to getting a bottle of milk on the shelves of supermarkets in this country, the farmer produces the milk, the processor comes and picks it up, pays a price for that, processes it and then has a relationship with the retailer. It is that particular relationship, between the processor and the retailer, that is governed by the Food and Grocery Code of Conduct. What we are seeking to do is actually implement a code—a mandatory code, not a voluntary one—that will govern the relationship between the producer and the processor, because it is a relationship that is mired in a lack of transparency, that sees farmers paid different prices around the country and played off against each other. We're seeking to have a code that will deliver a fair price from the processors to producer. We also want supermarkets to step up and pay the processor a fair price for their milk.

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