GEOFF CHAMBERS
FEDERAL POLITICAL CORRESPONDENT
JANUARY 14, 2020
The Australian
The nation’s peak food and grocery lobby group has signalled the bushfire disaster could impact the price of raw materials for manufacturers, as economists warn of a spike in meat prices.
Australian Food and Grocery Council acting chief executive Geoffrey Annison said raw agriculture, horticulture and viticulture products would be affected.
“This is likely to have implications for supply availability and the price of raw materials for manufacturers,” Dr Annison told The Australian. “Due to the unpredictable nature of the fires, the supply chain continues to face logistical issues in terms of food, beverage and grocery transportation.
“In some areas, these effects may be felt longer.”
Citi economist Josh Williamson also warned of a temporary spike in inflation for farming products following the bushfires.
“However, risks are tilted to the upside because the loss of livestock could be higher and add to overall meat prices,” Mr Williamson said.
READ MORE:Greenies surfing over fire facts|Koala deaths a catastrophe but extinction a long way off|Rain brings respite to weary warriors|Fireys welcome ‘hotshot cavalry’|Down to business to help recovery
Dr Annison said the AFGC was working with its members, other key industry stakeholders and government to “ensure supply in fire-affected communities is met and supply chain disruption is mitigated”.
Dairy Australia has also announced Bega Cheese and Saputo Dairy Australia have agreed to facilitate “cow parking” arrangements between farms in fire-affected areas.
“Dairy farms impacted by bushfires may need to temporarily relocate milking cows to an alternative farm where they can continue to be milked,” Dairy Australia said in a statement.
“This can be a short-term emergency arrangement or a longer-term business agreement.
“Farmers with milking cows requiring relocation or farms able to offer cow parking for milking cows should contact these processing companies directly.”
The Australian understands that retailers will ultimately decide whether to pass on costs to customers on various impacted products.
Wine Australia last week confirmed that individual vineyards and wineries in South Australia, NSW, Victoria and Queensland had suffered “devastating damage”, that could take years to recover from.
They are working with federal and state governments, Australian Grape and Wine, the Australian Wine Research Institute and viticultural experts in co-ordinating an industry response offering short-term and longer-term action plans.
The National Bushfire Recovery Agency, which will support impacted farmers recover from the fires, has also launched a recruitment drive across the Australian Public Service.
Public servants across all departments were last week asked to express interest in joining the agency on a temporary basis to provide support in relation to operation of disaster recovery arrangements, service delivery and payments, infrastructure, defence logistics, health and communications.
The Department of Prime Minister and Cabinet on Monday confirmed that agency staff, led by Andrew Colvin, would initially be drawn from existing resources from within the department and across the APS.
“Commonwealth agencies are making a significant effort to support the agency in its establishment — and there has been strong interest from across the APS,” a DPMC statement said.
“We will soon open a temporary employment register and advertise further opportunities on APS Jobs, once structure and governance frameworks are in place.
“The agency will be modelled on successful recent taskforces such as the North Queensland Livestock Industry Recovery Agency and Joint Agency Drought taskforce.
“We have and will continue to engage with the Drought and Flood Response Agency.”
Subscribe to our free mailing list and always be the first to receive the latest news and updates.