For more than four years, the Queensland Dairyfarmers' Organisation has been researching and developing the methodology, criteria and appetite for the Fair Go Dairy logo scheme.
The Fair Go Dairy logo, when used on packaging and marketing, will assist consumers to identify brands that are paying farmers a Sustainable and Fair Farmgate Price (SFFP).
As part of the ongoing process to launch the Fair Go Dairy logo scheme, QDO has undergone the lengthy and costly exercise of applying for authorisation under the ACCC.
The authorisation process allows the ACCC to review the Fair Go Dairy logo scheme, including its methodology, to ensure that it will not breach any of the competition provisions in the Competition and Consumer Act. The process also allows supporters and detractors of the scheme to voice their opinions.
While it is unusual for a simple registered logo to be subjected to such extensive scrutiny, a logo promoting a SFFP on an agricultural end-product will break new ground, so we appreciate that it requires significant and thorough investigation.
Independent processors Maleny Cheese and Woombye Cheese Company spearheaded submissions supporting the scheme and were backed by ADF, QDAF, QFF and other state-based dairy organisations.
Unsurprisingly, Coles and submissions from major processors including Norco, Lion Dairy & Drinks, the Australian Dairy Products Federation, Lactalis and collective bargaining group Dairy Farmers Milk Co-operative (DFMC) opposed the scheme or components of its methodology.
That the SFFP would become a fixed floor price and that the logo would see a return to regulated pricing were the principal concerns outlined in those submissions.
But since the Fair Go Dairy logo is a voluntary scheme, open to all dairy processors operating in Queensland and using Queensland milk that meets the SFFP, concerns relating to price-fixing are unfounded.
Indeed, the Fair Go Dairy logo is consumer-driven innovation at its finest.
When private-label was introduced, it commoditised products like white milk and tasty cheese and consumers' perceptions of quality vs price were challenged.
This didn't mean that consumers stopped wanting choice, but that they now could make up their own minds as to what brand attributes are important to them.
And consumers have decided. QDO's two years of shopper research showed that consumers want to be able to choose a brand that supports their farmers sustainably and fairly; and by support, they want to see it transparently in the price the farmers get paid.
The deadline and extension provided for submissions in response to QDO's application for authorisation to the ACCC has now well and truly passed.
While some processor submissions have called for further delays to the launch, likely in an effort to make the process financially unviable for a not-for-profit like QDO, we've been advised that we are still on track for the ACCC draft determination including consideration of interim authorisation in December.
We've been working for a long time to get a fair and sustainable price for our farmers and we're determined to give consumers what they want.
To review all submissions to our application visit: https://www.accc.gov.au/public-registers/authorisations-and-notifications-registers/authorisations-register/queensland-dairyfarmers%E2%80%99-organisation-limited