Over the Fence – 19th August 2009
August 17th, 2009
The thing that has really worried most of us, in the primary production game, is the difference in price at “Farm Gate” and price at Supermarket level.
Even though we have had enquiries by the ACCC, into such staples as meat, fruit and vegetables, it seems that prices are still running at 3 times the inflation rate.
Within this investigation, there did not appear to be anything that was forcing these prices up. The huge disparity from gate to supermarket certainly has not been explained to us.
Maybe the argument that Australia has only the eleventh highest inflation rate for the year should make us feel better, or make sure we don’t move to those other ten countries.
The other stories, especially those in the fresh fruit game, who have been outspoken with major suppliers, and suffered huge downgrading of their product or lengthy settlement of their accounts, are fairly well known throughout the industry.
Without sounding too idealistic I don’t think any farmer expects more than a reasonable percentage of the profit all the way along the food chain. He is the one that has outlaid the money for the land, grown the produce and paid the wage and diesel bill. Maybe some of these enquiries could show a little bit more intestinal fortitude.

Licensed Real Estate, Stock and Station Agents and Auctioneers. Specialist Rural Consultants, Rural Property Management and NLIS Scanning Services.