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Dairy farmers welcome draft mandatory dairy code of conduct released this week

Farmers are embracing plans for a mandatory code of conduct for the dairy industry, while also highlighting fundamental problems facing the sector they say are being ignored.


Federal Agriculture Minister David Littleproud announced a draft code this week, saying it would give farmers more power.


"A mandatory code will be an industry-defining moment so I want all dairy farmers, processors, and stakeholders to stay involved in shaping it," he said in a statement.


"Milk levies come and go but the mandatory code would help balance the market power between dairy farmers and processors and improve farmers' bargaining power."


Mr Littleproud's announcement comes after a series of roadshows around the country with farmers, processors, and others in the industry.


The draft code will ban retrospective price cuts and exclusive supply deals, and introduce a dispute resolution process.



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ABC Rural News  16 January 2019