Senator Bridget McKenzie has been named the Minister of Agriculture. This is a new appointment for a sector that is being affected badly by drought on the Eastern Seaboard and at least a late start to the growing season in the West.
Dairy Connect from NSW has called for an urgent focus the dairy industry as it us in crisis.
“The crisis is due to the on-going impacts of drought; dairy herds being culled; skyrocketing energy prices; higher production costs; unconscionable milk supply agreements; and market failure.”
In Economic terms –
For every job lost on a farm, another job will be lost in the community. 1+1 = 2
Every job lost in the processing sector, there will be 5 jobs lost in the community. 1+5 = 6
Farms that close now are extremely unlikely to restart and it will take a long time for the Dairy herd to grow AND it won’t be until good growing conditions or water allocations return.
One measure used in the USA to activate their ”safety net system” is a A measure called ”Revenue over feed costs”
Australia would understand what us happening in its dairy production areas if it implemented such a system. This is because in drought times, feed is purchased from remote locations and almost all dairy farms in Australia supplementary feed their cows.
Thank-you Shaughan from Dairy Connect for this release.