President's Message - June 2015

Jun 15, 2015

 

Whether at the farm gate or in the board room, stopping to take stock, acknowledge success and identify areas for improvement is essential to ensuring any good business remains on track to deliver desired outcomes.

Now at the half way mark for 2015, Australian Dairy Farmers (ADF) is reflecting on the progress made thus far and the challenges yet to overcome, with the interests of dairy farmers and their profitability top of mind.

Volatility is a constant theme for dairy farmers and the past six months has been no different with all regions affected in some way by floods, drought and an ever fluctuating global milk price. But while there have been challenges there has also been important progress.

In March, we welcomed the Australian Government’s announcement to introduce legislation capping water buybacks in the Murray-Darling Basin Plan (MDBP) at 1500 gigalitres (GL). The 1500GL cap provides dairy farmers in the Murray-Darling Basin with much-needed certainty about future water availability to sustain their business.

ADF has also welcomed the relaxation of audit requirements for farmers in the southern-connected region of the Basin who participate the On-Farm Irrigation Efficiency Programme. This policy win will be explored later on the newsletter.

ADF’s lobbying on competition policy was instrumental in securing a positive step toward reforming Australia’s flawed legislation - the introduction of a Prescribed Code of Conduct. The Prescribed Code is not perfect, but it does address several key imbalances with regard to retailers’ power over suppliers. We welcome the commitment already made by retailer Woolworths by signing onto the Prescribed Code, and expect that in the days to come all the major retailers will follow suit.

ADF will continue to monitor the Codes’ effectiveness over the next three years with a view to seek the strengthening of regulations if necessary. We will also continue to advocate for an Ombudsman to help balance the market power of major retailers.

The above ‘short list’ skims the surface of the progress made so far this year, with many challenges, and triumphs, still ahead. At the forefront of our agenda is ensuring our industry retains the confidence and trust of consumers, customers and the broader public by addressing issues of concern such as unconventional gas mining and highlighting dairy farmers’ commitment to the health and wellbeing of their cattle.

The team at ADF remains committed to ensuring Australian dairy’s voice is heard through government policies that support our industry, and working with our industry bodies to ensure dairy’s good practices are known and understood across the broader community.

Noel Campbell
ADF President

World Milk Day - Celebrating our farmers

Jun 01, 2015

Monday 1 June, is World Milk Day.

The Food and Agriculture Organisation of the United Nations started the day of recognition in 2001, and we’re using the occasion to celebrate the Aussie farmers who work hard to produce this delicious, nutritious beverage.

For Australian dairy farmers, producing and delivering premium milk is a matter of pride. This is why Australian dairy has a reputation for consistently high quality and safe products worldwide.

They work hard 7 days a week, 365 days a year to create fresh, great tasting and wholesome fresh milk that Aussies consumed almost 2.5 billion litres of in 2014 alone.

Each daily on-farm activity involved in producing the milk, whether ensuring the cows are healthy or efficiently cleaning milking equipment, contributes to the quality assurance of dairy products. From the twice daily health herd checks during milking to stringent testing for milk headed for the processor, safety is ingrained in what we do.

Our industry is known for being a ‘dairy deli’ in that we place great importance on the quality rather than quantity of supply and this is what sets us apart. It’s our point of difference to focus on our high quality standards and it’s something our industry must maintain (even with our aspirations of growth) as we will never compete on quantity or price with our major competitors.

Dairy farmers work rain, hail or shine to produce our milk and want to be known for being prosperous, trusted and world renowned for the nutrition of our dairy products. Like any Australian, dairy farmers hope to see the effort put into our work reflected in our returns.

Australian Dairy Farmers (ADF), as part of the Australian Dairy Industry Council (ADIC), is committed to ensuring our dairying sector has a sustainable future. That’s why we’re working with our farmers, processors and industry partners, including Dairy Australia, to ensure that dairy continues to enhance livelihoods, improve wellbeing and minimise its environmental footprint well into the future.

This commitment is recognised and promoted through the Dairy Industry’s Sustainability Framework. The second Progress Report has just been released and shows that while we still have hurdles to overcome, progress is being made. This Framework highlights to the rest of the world that Australian dairy is acting on its social, economic and environmental responsibility.

To produce, refrigerate, transport, process, distribute and deliver fresh milk requires a considerable amount of daily planning, work, risk and investment on the part of dairy farmers and processors.

So why be a dairy farmer? Is all the milk worth it? Dairy farmers would say yes ten times over – because they’re passionate about it.

This World Milk Day, we ask that everyone remember that milk is made from hard yakka, pure passion and a commitment to sustainable practices. It is made by an Aussie dairy farmer. 

 

Our post-2020 greenhouse gas emissions target

May 07, 2015

In advance of the United National Framework Convention on Climate Change, to be held in Paris between 30 November and 11 December 2015, Australian dairy has made its voice heard in Australia’s contribution to the new global climate agreement which will set the emissions reduction target beyond 2020.

Through an Australian Dairy Industry Council (ADIC) submission made to Government in April, we are advocating for emissions reduction policies which will support the industry - not hinder it. In particular, we are seeking policies that are:

  • Aligned with our major international competitors;
  • Recognised as an emissions intensity approach that allows dairy to continue to grow while reducing its carbon footprint; and
  • Underpinned by Government policy and actions to promote and support the dairy industry’s contribution towards greenhouse gas emissions reduction goals.

Our submission advocated for two key areas of Government support: investment in research, development and extension for on-farm emissions reduction; and support for energy productivity and efficiency. These policy settings are essential to ensuring Australian dairy remains competitive in the international market, our emissions intensity is reduced and we are well aligned for growth.

The ADIC attended a roundtable meeting with the Minister in early May and will continue to seek Government support through Australia’s international commitment to help drive innovation and reduce emissions, while also increasing productivity and profitability.

To read the ADIC’s submission on Australia’s Post-2020 Emissions Target Reduction, click here.

 

Select Tags