Horticulture code review could affect Burdekin growers

A Federal Government review of the Horticulture Code of Conduct could have implications for growers across the Burdekin, one of Queensland’s most productive horticultural regions.

The Albanese Labor Government announced this week that Mr Chris Leptos AO will lead an independent review of the Code, which regulates trade between growers and traders of wholesale unprocessed fruit, vegetables, nuts and herbs, with the aim of ensuring transparency and clarity in transactions.

The Burdekin is home to a thriving horticulture industry, with around 3,400 hectares dedicated to horticultural production. A wide range of crops are grown locally, including avocados, capsicums, chillies, cucumbers, eggplant, lychees, mangoes, melons, pumpkins, squash and zucchini. Supported by extensive water resources, large areas of irrigable land and high levels of sunshine, the region has long been recognised for its ability to support diverse and intensive cropping.

Nationally, horticulture is Australia’s third largest agricultural industry, with production value forecast to reach a record $18.9 billion this financial year. Exports are also expected to hit a new high of $4.4 billion.

The Code of Conduct plays a key role in governing relationships between growers and traders, particularly those supplying central wholesale markets. Around 10,000 growers supply produce to these markets, which are serviced by more than 400 fruit and vegetable wholesalers. Each year, about 4 million tonnes of horticultural produce, valued at more than $8 billion, is traded through central wholesale markets across Australia.

The review will examine whether the Code remains fit for purpose, given changes in the horticulture sector since it was last reviewed in 2015, and will consider potential improvements to competition and regulatory settings.

Mr Leptos will consult with stakeholders across the horticulture supply chain over the coming months. Growers, traders, industry bodies and government agencies are being encouraged to review the consultation paper and provide feedback on how the Code operates and how it could be improved.

Minister for Agriculture, Fisheries and Forestry Julie Collins said the review was an opportunity to ensure the Code continued to protect growers and traders.

“The horticulture sector has changed since the Code was last reviewed in 2015, and we want to understand if the Code is still fit-for-purpose,” she said.

Assistant Minister for Productivity, Competition, Charities and Treasury Andrew Leigh said fair competition was essential to a strong horticulture industry.

“The Horticulture Code exists to stop unfair dealing and keep the playing field level,” he said.
A final report from the review is expected to be provided to the Federal Government by the end of April. Stakeholders can find more information and make submissions via the Department of Agriculture’s ‘Have Your Say’ website.

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