4 December 2014
QSL Media Release
Queensland Sugar Limited (QSL) has welcomed the announcement that the FederalGovernment will establish a special taskforce to investigate a potential marketing Code of Conduct to address competition concerns in the Australian sugar industry.
QSL Chief Executive Officer Greg Beashel said it was heartening that the Federal
Government had responded to the concerns of thousands of Queensland cane farmers opposed to plans by sugar millers Wilmar, Mitr Phol’s MSF and COFCO’s Tully Sugar to market grower economic interest sugar from July 2017.
Mr Beashel said it was clear that the market was in failure as a result of the proposed marketing changes, with growers already paying more for funding and many unable to forward price for the 2017 season.
“The fact is that the vast majority of cane growers in Queensland supply a monopoly miller and although many may oppose that miller marketing grower economic interest sugar and impacting grower returns, they have no say in the matter and no real alternative market for their crop. So we are hopeful that a Code of Conduct can help address these inherent monopolies within our industry and produce a competitive market dynamic,” he said.
“QSL firmly believes that a Grower Choice model – where farming families have a say in how their grower economic interest sugar is marketed – is the best way forward for our industry and will provide true competition, encourage innovation and deliver the fairest outcome for both growers and millers.”
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