Federal Rounds
06-February-2012
Written By: John Cobb MP
Grocery wars not faring well for farmers
Just when we thought the supermarket price wars couldn’t get any worse, Coles last week announced they would be slashing fruit and vegetable prices by up to 50 per cent. I am sceptical of the announcement, as it is normal for fruit and vegetable prices to fluctuate throughout the year. However I will be closely monitoring the situation to ensure we do not have a repeat of last year’s milk price wars. I suspect Coles is using normal price reductions at the height of the season as a marketing ploy to get consumers into their supermarkets.
Should these product markdowns continue over the long term, farmers’ viability will be jeopardised. Farmers are price takers and unsustainable farm gate prices, regardless of the product, does not sit well with our nation’s producers. Our local producers are concerned, particularly as they already face competition from imported fruit and vegetables, let alone further discounted prices. In the face of a growing world population our farmers will play a major role in feeding our nation and the world. They need to be kept in business and decent farm gate prices are required to guarantee this. It is also up to us as consumers to be mindful to purchase quality home grown goods over imported foodstuffs.
When asked about the Coles announcement, the Prime Minister said she believed farmers should be treated ‘fairly and appropriately’. These are very robust remarks coming from the Prime Minister, whose impulse ceasing of the live cattle exports and introduction of the disastrous carbon tax did consider farmers livelihoods. I certainly hope that Coles and the government have the farmers’ best interests at heart in regards to the supermarket fruit and vegetable prices.
Pollies back to Parliament
Federal Parliament for 2012 resumes this week. In preparation for this the Prime Minister hosted a weekend BBQ at The Lodge, which seemed as much as a desperate bid to revive her and Labor’s poll slump as it was a frantic brainstorm for new tactics. While there have been leadership speculations (yet again), I can safely say that at the end of the day this Labor government shouldn’t be worried about changing leaders – it needs to change policies. Regardless of whether Rudd or Gillard is at the helm, there is still the ever looming carbon tax, mining tax and the fact we have a government spending a ridiculous $100 million a day.
Labor continues to tear itself apart over leadership and tactics, while the Coalition is getting on with the job of providing a credible alternative government. Just last week, Leader of the Opposition Tony Abbott outlined the Coalition’s plan for a stronger economy, stronger communities, cleaner environment, more secure borders and infrastructure for the future.
In the 2011 Budget the Gillard Labor Government declared ‘this Budget delivers for regional Australia like no other Budget before it’. This is a far cry from what Labor delivered for our regions in 2011. Crippling decisions such as the milk price wars, live export debacle and carbon tax saw our region’s trust in the government completely diminish. I will continue ‘Caring for Calare’ in 2012 and push to secure our regions top priorities – water security and infrastructure, as well as delivering a fair go for all Regional Australians.