Farmers call for increased dairy code transparency

We’re stepping up calls for increased transparency as the ACCC’s Dairy Code of Conduct review continues.

VFF UDV President Bernie Free said despite a fairly positive overall view of the Code, the VFF UDV was seeking a number of changes as outlined in a recent submission to the review.

“The Dairy Industry Code review has had an overwhelming positive impact for the Victorian dairy farmers, but strengthening the Code in relation to dispute resolution and increasing transparency in milk supply agreements will assist farmers in ensuring long term profitability.”

“We’re calling for the most current version of a Milk Supply Agreement to be published with a separate document recording changes since previous versions to simplify the documentation.”

“If we could get the costs of dispute resolution to be based on pro-rata turnover and that producers be permitted to engage in multi-party dispute resolution, but not processors, it would be a fantastic outcome for producers,” Mr Free said.

Mr Free added that overall the Code has been a great success since its inception, and the tweaks suggested aim to further strengthen it.

“The Code of Conduct has worked well to correct some market failures and to promote improved competition for milk at the farmgate. There’s no doubt it’s had a very positive impact for dairy farmers throughout Victoria,” Mr Free said.