Code Secure

CODE SECURED

Government rules out changes to industry Code of Conduct, says further reviews unnecessary

CANEGROWERS has welcomed the Federal Government’s decision to maintain the sugar industry Code of Conduct as is, saying it provides a back-up for hard-won choice in marketing arrangements and future-proofs members from protracted disputes with millers.

Milling companies had been pushing the government to implement a number of changes identified by a previous review in 2018. However, a recent post-implementation review conducted by the Australian Government concluded that the Code provided a net benefit to the industry. As a result, the government has clarified its position and confirmed that no further reviews or amendments will be required.

In a letter to CANEGROWERS Chairman Paul Schembri outlining the government’s position, Minister for Agriculture and Northern Australia David Littleproud said the decision to rule out future reviews of the Sugar Code would allow the industry to move forward and focus on growth and innovation.

“The government is acting on your concerns that amendments were unnecessary,” Minister Littleproud said. “Removing the requirement for a further review will allow the code to remain in force unchanged. This will allow both cane growers and sugar millers to maintain their focus on growth, innovation and investment. I would also like to thank CANEGROWERS for its constructive engagement with the Post-Implementation Review of the Sugar Code and advise that this review will soon be finalised.”

Mr Schembri said the government’s strong support of the Sugar Code would give growers security and confidence in the industry’s future.

“The government’s decision not to amend the Code and to rule out any future reviews is a win for growers and will only increase confidence within the industry,” Mr Schembri said. “The federal Code was instituted in April 2017 to ensure that growers would be protected should state legislation guaranteeing choice in marketing ever be repealed.

“Thankfully that hasn’t happened, but there is no guarantee it won’t happen at some future date, so having this Code of Conduct in place provides a fall-back mechanism in situations where commercial agreements which respect growers’ freedom of choice can’t be reached.

“I’d like to thank the government, and Minister Littleproud in particular for his open and honest engagement on this issue. This is an important issue for sugarcane farmers and the communities they support. Those growers and communities have a little more security today because of the minister’s decision.”

Pictured: CANEGROWERS Chairman Paul Schembri with Federal Member for Dawson George Christensen. Mr Christensen was instrumental in gettingthe Code passed by parliament in 2017.