North East & Goulburn Murray Farmer

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PLEASANT HILLS HENTY CULCAIRN WALLA HOLBROOK WALLA GEROGERY COBRAM TABLE TOP COROWA MULWALA ALBURY

PICOLA ECHUCA

CHILTERN TALLANGATTA CORRYONG WANGARATTA

KYABRAM SHEPPARTON ROCHESTER MOOROOPNA ELMORE GOORNONG BENDIGO SEYMOUR

Phone (03) 5723 0100

Fax (03) 5721 9447

Email: nefarmer@nenews.com.au

cab

MYRTLEFORD BENALLA MOYHU

EUROA CHESHUNT AVENEL STRATHBOGIE MANSFIELD

CIRCULATIONS AUDIT BOARD

Part of the Farmer Group Rural Newspapers Covering Victoria Published since 1984

FEBRUARY, 2014

O PR FF I INOGRCIAL SI A DE M

37 Rowan Street, Wangaratta 3677

Beef sales

$1 at newsagents

Fire awareness & prevention PAGES 12-14

PAGE 18

PM cans SPC cash February 18 deadline for company move

By JAMIE KRONBORG

HIGH CALIBRE HEIFER: Young Riverina Holstein breeder Meg Campbell took out the

coveted International Dairy Week grand champion heifer with an outstanding Holstein female See page 4 for full story. at this year’s Tatura event.

ANXIETY in the Goulburn Valley – one of Australia’s oldest, most productive and vibrant horticultural communities – will be stretched yet again as fruitgrowers, manufacturing staff and their families wait for SPC Ardmona to decide its future in the fruit processing and canning business. The federal government at the end of January told the Shepparton-based firm to rely on its cash-rich parent, Coca-Cola Amatil, to fund its redevelopment. Cabinet rejected a request for a one-off $25 million Commonwealth investment in the company’s on-going restructuring – giving Australians ringside experience of the competition of ideas in which a rural community and its corporate partner seeking funds from the public purse to enhance the viability of Australia’s last deciduous fruit cannery came up against a new government that supports the force of the market. It was – Prime Minister Tony Abbott told a media conference on January 30 – an “important marker” that is to define his

approach to industry requests for economic assistance. “This is a government that will make sure that the restructuring that some Australian businesses need, some Australian sectors need, is led by business, as it should be,” Mr Abbott said. Coca-Cola Amatil was already supporting SPC Ardmonda in a comprehensive review and redesign of the business and had agreed to commit a fresh $90 million if the canner secured federal assistance of $25m. Agreement to make the federal contribution would have triggered another $25m in support from the Victorian government. Fruit Growers Victoria general manager and Canned Fruit Industry Council secretary John Wilson told North East Farmer as it was about to go to press that Federal Cabinet’s rejection of SPC Ardmonda’s submission was also a rejection of a positive recommendation from the government’s own industry panel that the company’s request be supported. “That’s the thing that sticks in our craw,” Mr Wilson said. “The rejection of that recom-

mendation has the potential to ‘beach’ an industry. “Federal Cabinet today has smashed the ball back into Coca-Cola Amatil’s court.” Mr Wilson said that the industry had proved that it remained viable despite a loss of orchardists caused by a combination of a sustained high exchange rate, international market recession that led to a supply surplus, and Coles’ and Woolworths’ price war. That corporate battle for consumer hearts had fuelled supermarket demand for cheaper processed food imports. “’Down, down, prices are down’ has done no service to the fruit industry,” Mr Wilson said, pointing to one of the slogans of the supermarket war. But SPC Ardmona’s call to the supermarket duopoly to change tack and buy Australian fruit first as a matter of principle had contributed to the company’s positive prospects. “The plan is working,” Mr Wilson said. “But the poor people at the end of the line now are the poor people who supply the fruit to SPC. Continued page 3

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