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NO TO REGULATION: Federal Agriculture Minister David Littleproud has again rejected regulation of the dairy industry, saying it sends the wrong signal to Australia's trading partners.
Dairy regulation, price setting sends wrong signal to trading partners.
The federal government has strengthened its opposition to regulation, or price setting, for Australia's dairy industry.
Federal Agriculture Minister David Littleproud said it sent the wrong signal to the country's trading partners.
Mr Littleproud was speaking at a Rural Press Club of Victoria webinar.
"You only have to look at barley," Mr Littleproud said.
"If governments regulate, or are seen to regulate a price of any commodity, our trading partners will do exactly what they have done on barley.
"They will say that there is something wrong with the trade agreements we have put in place and we are not living up to the terms and conditions of these trade agreements."
He told the webinar, those agreements were predicated on the fact Australia did not subsidise its farmers, or regulate prices.
"If you are grain producer, a beef producer, a cotton producer, you are then opening up the whole Australian agricultural sector up to trading partners testing how we treat Australian agriculture," Mr Littleproud said.
"When you regulate a price you are saying to the market, you are interfering in that market and when you want to trade with a market that's external to Australia they have every right to say that is not fair and we will we will subsequently live within our rights and impose a tariff on it."
Mr Littleproud doubled down on his criticism of the supermarket sector, while acknowledging there had been a slight lift in milk prices this week.
"There are still some international pressures, but the supermarkets do have a role to play in this," he said.
"They are the perpetrators of much of the misery in the industry, because they are the ones who bought in $1 a litre milk."
Supermarkets had the responsibility to work with the government, as they did 12 months ago when they added the 10cents to a litre of milk.
"The supermarkets have tried to put tokenistic gimmicks out there, to try and fool metropolitan Australians they are all caring and all-loving of dairy farmers," he said.
"They have devalued the industry, and they don't want to be part of the solution."
He said he believed there had to be a link, from the supermarket back through the processor, to the farm gate.
"At the moment, the Dairy Code of Conduct is really just from the farm gate to the processor.
"That link we've got with the supermarkets is the grocery code."
Mr Littleproud said he had questions about the code being voluntary.
"When it's voluntary there's no stick, if they step out of line, what does the stick look like if they step out of line?
"And it's not just dairy, this is the problem I also have around supermarkets.
"Dairy is not isolated in its treatment, there has been other industries where I would say supermarkets have not behaved in a way you would think Australians would behave."
Mr Littleproud said he wanted to avoid unintended consequences of industry reform, which would have an uneven impact on dairy markets.
"And that's where I think that the challenge is the complexity because of the eight regions that there is, there's so much complexity in the industry on how do we get to that."
And he flagged a "roundtable" discussion to understand those concerns.
Mr Littleproud also raised a query about whether the Dairy Code of Conduct.
He said he intended to have discussions with his department, about strengthening, or complimenting, the code.
"I was never of the view this was a silver bullet, this was one of the pieces of the puzzle," he said.
"It was never a silver bullet, because of the complexity of the market."
"You are going to see processors will push those barriers, and boundaries, so do we need to strengthen some of those guide rails, to protect dairy farmers?.
'What are the complementary measures to ensure the value of production, expressed in the market place, flows through to farmers?"
Mr Littleproud said he wanted to engage with the Australian Competition and Consumer Commission to make sure the supermarkets were part of the code, as well.
"Even Coles have come out in their direct prices with their producers as being higher than many, (so) that shows that there is some competitive forces being bought back in," Mr Littleproud said.
'But I don't know whether that's necessarily got us to the level playing field that we're looking for yet.
"That's why I'll be engaging with the ACCC and looking at some complementary measures, and making sure the supermarkets are part of that as well, because they have a role to play in this as well.
Coles, Woolworths and Aldi have been contacted for comment.This week Spain reported what should have been cause for huge celebrations: according to the official coronavirus statistics, there were no new deaths in the 48 hours to midday on Tuesday.
Yet on the same day, at least two regions — Madrid and Castile-La Mancha — reported 17 deaths from the virus between them. The health ministry insisted it had not been informed of any death that had taken place in the previous 24 hours.
The confusion, in one of the countries worst hit by the pandemic, underlines what experts say is a big challenge as Spain relaxes its lockdown: a misleading impression that the coronavirus threat is past, which could encourage people to behave recklessly.
“The figures are driving us crazy,” said Jeffrey Lazarus, head of the Health Systems Research Group at the Barcelona Institute for Global Health.
Speaking in parliament on Wednesday, Pedro Sánchez, Spain’s prime minister, hailed the zero deaths figure as “an achievement of everyone”. His government says it is a vindication of Spain’s harsh lockdown and its success in bringing down the daily death toll from a peak of 950 two months ago.
But some researchers say the government figures are deeply compromised because of revisions in ways the ministry of health counts the data.
“In real time, changes in detection or reporting can make it harder to work out the actual shape of the current epidemic,” said Adam Kucharski, an epidemiologist at the London School of Hygiene and Tropical Medicine.
The Spanish government has stopped explicitly listing how many deaths have been reported in the last 24 hours, switching to a contentious measure of how many people have died in the past seven days. Nor is it updating the overall tally of deaths as frequently or completely as before.
After the changes were introduced in May, the death rates recorded by the health ministry plummeted. Its cumulative tally of deaths since the beginning of the outbreak also fell by almost 2,000.
“There is 100 per cent for sure a data problem,” said Mr Lazarus.
In the latest confusion, on Wednesday the ministry of health figures increased the tally of people who had died over the past seven days from 34 to 63. But at the same time the cumulative total they gave for all those who had died since the outbreak only went up by just one, to 27,128.
The problems with the figures are all the more serious since they come as the country is phasing out its lockdown measures.
“To come out and say there are zero deaths when deaths are taking place can create a lot of misunderstanding,” said Rafael Bengoa, a former Basque region minister for health and director at the World Health Organization.
He said that Spain was bringing the pandemic under more control than other hard hit European countries and discounted any suggestion of political manipulation of the figures. Despite the problems with the Spanish data, the country’s death counts are an order of magnitude smaller than those in Italy and UK, which have averaged 85 and 247 a day respectively over the last seven days.
One problem is that the country’s regions — which run autonomous health systems under Spain’s decentralised government — have on several occasions provided late or inaccurate death numbers.
Lags are all the more important as the the government has pledged to focus on up-to-speed information. Late data falls outside the ministry of health’s