Yesterday’s announcement that dairy processor Murray Goulburn will close three plants as data shows consumers are reverting back to $1-a-litre milk has highlighted the dire need for the KAP’s Fair Milk Price Logos Bill.
State Member for Dalrymple Shane Knuth said the Bill would help both farmers and processors strike a fair deal and increase returns.
“Putting voluntary, region-specific logos on milk bottles identifying milk that has returned a sustainable price to the farmer is a win for both the farmer and the processor,” he said.
“It gives consumers more control and power to make an informed choice to support farmers, and offers processors a marketing technique to promote their brand as giving farmers a fair go.”
The news of Murray Goulburn’s closures comes just days after the competition watchdog revealed it was taking the processor to court for giving farmers “false and misleading” information before slashing farmgate milk prices last year.
Mr Knuth said there was no doubt both farmers and processors were suffering and the Bill offered an opportunity to resurrect the industry.
“Market pressures, unsustainable returns, natural disasters and the $1-a-litre milk supermarket price wars have slashed the number of Queensland dairy farmers from about 1,500 to less than 430 in 15 years,” he said.
“More farmers will leave and completely dry up our fresh milk supply if we don’t act now.”
The Agriculture and Environment Committee’s recent recommendation to reject the Sustainable Queensland Dairy Production (Fair Milk Price Logos) Bill has been highly controversial, but Mr Knuth and the dairy industry have vowed to continue fighting.
“Battling for fairness is never easy, but the Fair Milk Price Logos Bill will throw the dairy industry an essential lifeline,” he said.