Kim Chance

Kim Chance

Minister for Agriculture and Food; Forestry; the Mid West and Wheatbelt; Great Southern

    Gallop Government continues support for milk negotiation agency

    24/01/2005 5:05 PM

    The Gallop Government is continuing to support Western Australian dairy farmers in their bid to establish a single milk price negotiation agency.

    A $24,000 grant will assist the Dairy Industry Working Group and WAFarmers in seeking authorisation from the Australian Competition Consumer Commission (ACCC) for a single body to negotiate on behalf of all WA dairy farmers.

    Mr Chance said existing collective bargaining arrangements had generally not served the best interests of WA dairy farmers and he supported initiatives to increase their collective bargaining power.

    “The proposed negotiating body would be a voluntary arrangement entered into by individual dairy farmer enterprises,” he said.

    “But in order to negotiate with WA milk processors it will have to go beyond the normal provisions of the Trade Practices Act and requires the authorisation of the ACCC.”

    Mr Chance has provided a letter of support from the State Government to accompany the authorisation request.

    The funds will be used to finalise development of the application and cover the cost of lodging the application with the ACCC.

    WAFarmers’ spokesman Mike Norton said the proposal had received widespread support from dairy farmers.

    Mr Norton said 70 per cent of dairy farmers provided feedback on the proposal with 86 per cent signalling their support for the establishment of a milk negotiation agency.

    Minister's office: 9213 6700