Australian Dairy Products Federation’s role in Dairy Australia is set to come to a vote this month. Here’s why it’s controversial.
A farmer lobby group push to boot the Australian Dairy Products Federation from Dairy Australia will go to a vote later this month.
Instigated by the United Dairyfarmers of Victoria, the resolution to remove ADPF as a group B member of Dairy Australia will be voted on at DA’s annual general meeting on November 27.
The decision follows five years of farmer criticism that while they chipped in about $30 million a year to DA in levies, matched by about $20m from the federal government, processors paid virtually nothing to DA.
The resolution requires at least 75 per cent of votes cast by members to pass. DA’s board has recommended against the motion.
Southwest Victorian dairy farmer Ian Morris said while group A members — farmer levy payers — contributed millions to Dairy Australia — group B member ADPF got a free ride.
The former World Bank official said when the John Brumby-led Australian Dairy Plan was released in late 2019, the ADPF had acknowledged it should contribute financially to DA.
“It’s been five years since the dairy plan was released and the ADPF keep dragging their feet,” Mr Morris said.
“The processors themselves acknowledged they should pay back then. So what has changed?
“There’s been five years of negotiation and they’re not acting in good faith.”
The ADPF was contacted by The Weekly Times about the DA resolution and a spokeswoman deferred questions to the ADPF’s statement in the DA AGM notice.
It pointed to work with DA programs such as the Australian Milk Pool Trajectory Research to 2030, water security and plant-based labelling.
“We also contribute invaluable in-kind technical resources and data across a range of areas, in addition to the significant investment dairy processors make directly on farm in areas such as milk quality, sustainability and animal care,” ADPF said.
United Dairyfarmers of Victoria president Bernie Free said the processors had previously acknowledged they should make a financial contribution but had backed away from their earlier pledge.
“Farmers are sick of the processors dodging their responsibility to the industry. If farmers have to pay millions, why shouldn’t the processors? They’re doing very well for themselves this season,” Mr Free said.
In May 2021, the ADPF – representing Fonterra, Bega, Saputo, Norco and a dozen other companies – stated they were thrashing out a deal to pay DA for the first time, but subsequent statements walked back from a potential deal.
Dairy Australia’s annual general meeting will be held at Deakin University’s Warrnambool campus on November 27.
You can now read the most important #news on #eDairyNews #Whatsapp channels!!!
🇺🇸 eDairy News INGLÊS: https://whatsapp.com/channel/0029VaKsjzGDTkJyIN6hcP1K
