Supermarket Coles begins hand-out of drought money levied on cheap milk
7 replies, posted
Supermarket giant Coles is going to start handing out the money it collected from a levy on milk it sold to customers.
The 30-cent levy on its own-brand 3-litre bottles of milk raised $3.97 million which, from Monday, would be shared among 639 farmers at an average of $6,219.55 per farmer.
Coles' senior communications manager, Martine Alpins, said farmers could use the funds in a number of ways.
"This money will provide critical financial support, feed and water, costs for their cattle, farm improvements, household expenses," she said.
Ms Alpins confirmed that funds collected from consumers, including interest, was audited by Price Waterhouse Coopers to make sure all money raised would end up with farmers.
Retailers could do more
United Dairyfarmers of Victoria president Paul Mumford is happy with some funds but said it would not do much for farmers.
"It only equates to only half a load of fodder at today's prices," he said.
He added that supermarkets could be doing a lot more to help farmers crippled by drought.
"It's good to highlight the plight of dairy farmers at the consumer level but if retailers are truly serious about helping farmers, they should stop using dollar-per-litre milk, stop discounting dairy, and pay a fair price to farmers," Mr Mumford said.
While $6,200 is not a lot of money for a dairy farming business, farmers like John Ryan from Denison in Victoria's Gippsland region, are happy to receive the funds.
"We milk 300 cows and I opened the email this morning and saw that we got this money," he said.
"Firstly, I'd like to say thank-you to those who contributed.
"It's not a great amount — our extra feed or water costs this year got to $200,000 — but we really appreciate if people consciously bought that product to support us."
Everyone here whinges that ‘the farmers are doing it hard and the government should support them’, but then those exact same people go out and consistently buy the cheapest brand of dairy milk available, often the supermarket generic brand at or even below $1/litre.
So both the major Australian supermarket chains launched the 10c/litre levy thing to make it look like they are helping farmers. But fuck off, that’s useless. I’m by no means a wealthy man, but I always go for the Devondale branded milk at $1.44/litre, and even that is a bit towards the cheap side of things.
Lol, I don't care if milk is too cheap and farmers aren't making enough. It's called supply and demand. Change agricultural product if you're not making enough. Stop oversupplying the market.
We have this shit in the US and our solution is to peddle misinformation about milk being an essential part of the diet (that most humans can't digest) and just covering all of our school lunches in
cheese and chocolate milk instead of more fruit and veg. "doom low income kids to obesity instead of letting the dairy industry face the consequences of its actions."
While it is sad that the dairy farms aren't generating enough profits for their liking, there is obviously something going on in the market where supermarkets can leverage the price due to enough supply. Expecting the average consumer who has less expendable income than ever before to opt for the higher priced milk so farmer's can live more comfortably is ridiculous.
You're forgetting that chain supermarkets basically control the price of farmer produce, no one can compete with them and offer farmes more for less because then they would be operating at a loss compared to the large chains. Its not that the farms are over supplying all their produce its that the supermarkets are forcing them to sell it to them at that price or go hungry.
That's not how it works.
Yeah that totally is how it works. Around here at the very least.
Also, no offense but "just stop making milk lmao" is a take about on par with "just get a job"
oversupply yes, selling off their farms to chinese investors no. Its not exactly farmer's fault that the market is oversupplied, its also a failing of the government to foresee an oversupply and try to direct the market into other avenues in order to balance the market. Banks and the institutions that loan to the farmers for example might have encouraged dairy as a safe investment and driven more farmers to move towards dairy instead.
dairy oversupply is seemingly a global problem hurting hardest in the countries that don't balance their AG markets right.
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