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August 25, 2016

Federal Member for Gippsland Darren Chester says an inquiry into the national dairy industry will aim to improve transparency for farmers.

The Deputy Prime Minister and Minister for Agriculture and Water Resources Barnaby Joyce today announced the Australian Competition and Consumer Commission (ACCC) will undertake an inquiry under Part VIIA of the Competition and Consumer Act 2010, providing the Commission with powers to obtain information from companies.

The purpose of the inquiry is to uncover inefficiencies and inequities facing farmers.

Mr Chester said the recent milk price shock for Murray Goulburn and Fonterra suppliers had prompted wider discussion around fairer returns at the farm gate for dairy producers.

“The dairy industry has been a foundation of the Gippsland economy for decades and will continue to be for many years to come,” Mr Chester said.

“But what we need to ensure is that our farmers are getting a fair deal.

“Many local producers have called for this greater transparency around supply agreements and contracts, competition and trading practices, and that is what the ACCC inquiry will investigate.”

Mr Chester has encouraged Gippsland dairy producers to participate in the inquiry.
The ACCC inquiry will start in November. Further information including its terms of reference will be made available at shortly.


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