largest dairy processor Saputo throws support behind mandatory code of conduct

canada goose coats Australia’s largest dairy processor, Saputo, has come out in support of a mandatory code of conduct for the industry and called for milk price step downs to be illegal. canada goose coats

Canada Goose Outlet Earlier this year canada goose black friday sale the Australian Competition and Consumer Commission canada goose coats on sale (ACCC) https://www.winterdownparkas.com recommended a mandatory code to address a large imbalance in bargaining power between farmers and processors. Canada Goose Outlet

It found that farmers’ ability to secure an appropriate share of profits depended on their bargaining power, and that most had uk canada goose little power and limited scope to reposition their businesses.

Dairy processors canada goose outlet have previously said a voluntary code with an independent mediator was all that was required to safeguard farmers’ interests.

canadian goose jacket That has been disputed by the New South Wales and South Australian dairy lobby groups. canadian goose jacket

canada goose clearance sale Just last week Saputo said it did not support a mandatory code, but chief executive and chairman Lino Saputo Junior, talking to farmers across Victoria over the past week, has changed his mind. canada goose clearance sale

canada goose clearance “I’d like to see it implemented by the industry players, whether that’s suppliers or processors, through ADIC or other associations,” Mr Saputo Jnr said. canada goose clearance

canada goose black friday sale “Our suppliers are telling us this is something they want to have in place.” canada goose black friday sale

canada goose Saputo is the first dairy processor to back the ACCC’s recommendation for a mandatory code, but Mr Saputo Jnr said it would depend on cost. canada goose

“The only thing I’m concerned about is the implementation; how canada goose uk shop onerous will it be in terms of the cost structure,” he Canada Goose sale said.

canada goose store “One of the elements here definitely has to be that it is regulated without cost canada goose because ultimately if the cost goes up, Canada Goose Online it’s going to create pressure in terms of pricing to suppliers. canada goose store

Canada Goose sale “As long as it’s a system that doesn’t cost too much to organise and implement, we’re 100 per cent in agreement with this code being mandatory.” Canada Goose sale

Dairy lobby groups split over code NSW lobby group Dairy Connect has called canada goose uk black friday on other processors to also back a mandatory code of conduct immediately.

canada goose deals Its Canada Goose Coats On Sale farmers’ group president Graham Forbes said with Saputo throwing its support behind a mandatory code, other processors had little choice now canada goose clearance but to do the same. canada goose deals

“It’s just great that we’ve got the largest processor in the country supporting the mandatory code,” he said.

buy canada goose jacket “It’s just tremendous news. I’m just a bit shell shocked at the moment because last week we weren’t getting that sort of message. buy canada goose jacket

cheap Canada Goose “The recommendations by the ACCC aren’t onerous and I don’t think they’re going to put a huge cost burden at all on the industry. cheap Canada Goose

Canada Goose online “We’re just after a level playing field, things like we’re going to have collective bargaining, the ability to negotiate our supply agreements, and be able to have arbitration within those supply agreements and not be locked canada goose uk outlet in indefinitely out of the marketplace.” Canada Goose online

The majority of state based dairy farm lobby groups support a mandatory code, except for United Dairyfarmers of Victoria (UDV).

UDV president Adam Jenkins said the group was running a cost benefit analysis Canada Goose Outlet on a mandatory code.

Canada Goose Jackets External Link: Canada Goose Jackets Dairy Connect welcomes Saputo supporting mandatory code Canada Goose Jackets

“We want to have a full investigation and a cost benefit analysis on what a mandatory code looks like uk canada goose outlet for our industry,” he said.

Canada Goose Parka “It’s remiss of us to go down and say we support a code when we really don’t understand the costs or benefits.” Canada Goose Parka

canada goose coats on sale The UDV is concerned about a mandatory code of conduct passing costs on to buy canada goose jacket farmers. canada goose coats on sale

National dairy lobby group Australian canada goose coats Dairy Farmers, which is yet to support the mandatory code, said it buy canada goose jacket cheap was seeking clarification on whether Mr Saputo had “expressed support for a legislated mandatory code of practice enforced by the ACCC, or a code of practice which would be enforced cheap canada goose uk solely canada goose clearance sale by industry”.

Step downs ‘should be illegal’Mr Saputo Jnr said he would take the mandatory code a step forward and make milk price step downs illegal.

buy canada goose jacket cheap “I think that that would make all dairy players responsible with their opening price and give a great indication to suppliers to be able to build their budgets around our opening price,” he said. buy canada goose jacket cheap

“It’s incumbent on us, the folks who Canada Goose online are leading the industry, to make sure we are responsible and we are ethical and we are giving the right information to suppliers.”

However, Saputo’s supplier handbook includes a provision for step downs stating: “The opening price may also be varied during the season as a result of price increases or decreases.”.

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