WANGARATTA VFF will use Wednesday’s Senate hearing into the effect of red meat processing consolidation to push for a change in levy spending to better help producers.
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Wangaratta VFF is among 10 groups or individuals scheduled to address the inquiry panel when it sits at the Albury Entertainment Centre from 9am.
The hearing is open to the public, but only those who have made submissions to the inquiry will have the opportunity to speak, the committee will not take questions from the floor.
The transaction levy funds Meat and Livestock Australia’s research and development and marketing as well as other programs, such as Animal Health Australia and National Residue Survey testing.
“Demand is out-stripping supply, and will do so for years, so why spend money promoting beef in New York that helps producers but doesn’t help the producers?” Wangaratta VFF branch president Greg Mirabella said this week.
“So of the $40m or more of producers money the MLA spends in advertising in Tokyo or New York and elsewhere, how about we spend some locally and update and review systems here?”
The inquiry is investigating issues such as potential for misuse of market power through buyer collusion and impacts on producer returns and the existing processes at saleyards, particularly pre- and post-sale weighing.
“Not for one moment are we saying abolish the MLA, but something has got to change,” Mr Mirabella said.
MLA managing director Richard Norton is scheduled to address the hearing this afternoon, along with the general manager of innovation, Alex Ball.
The inquiry was triggered by the “Barnawartha Boycott” on February 17 when a major Northern Victoria Livestock Exchange buyer told NVLX management they would not attend unless the yard switched from a pre-sale to post-sale weighing.
Up to 10 major buyers did boycott, NVLX management responded by introducing a post-sale weigh system.
Producers believed it highlighted buyer collusion, and led to a crisis meeting in Barnawartha on March 2.