New commissioner set to help Queensland farmers negotiate supermarket prices

In short:

The Queensland Government will appoint a Food Farmers Commissioner after an inquiry into rising supermarket prices.

Growers welcome the idea of a commissioner but are worried the role won’t protect them from retribution.

What’s next?

The position is expected to be legislated next week and filled in the coming weeks. 

A Food Farmers Commissioner will be appointed in Queensland to mediate between growers and major supermarkets, but farmers are worried the new role won’t have enough powers.

The establishment of a commissioner was among eight recommendations from a Queensland parliamentary inquiry into supermarket pricing, which were tabled to state parliament in May.

The inquiry was one of several across Australia investigating the rising cost of groceries and how supermarkets deal with their suppliers and customers, amid widespread claims of price gouging.

All recommendations accepted

Queensland Premier Steven Miles said the government had accepted all eight recommendations and would introduce legislation next week to create a dedicated commissioner’s role.

“This will ensure that we have a key point of contact in the government for our farmers, for supporting them and educating them, and helping them to negotiate with the grocery stores,” Mr Miles said.

“Also, for providing information to the public [and] price transparency about the connection between the price farmers are being paid for their produce and what our Queenslanders are paying.”

The new commissioner will not have the authority to take action against major supermarkets but will instead have mediation powers.

Committee chair and member for Bundaberg, Tom Smith, said farmers were scared to speak out against the major retailers.

“In some cases, these big retailers tell the farmers to get bigger, produce more,” he said.

“And then they get to a point where they can only actually supply into those major retailers, which then makes them susceptible to those price gouges that we’ve seen.”

Fear of reprisal

Carl Walker is a vegetable farmer from Bowen and the president of the Bowen Gumlu Growers Association in north Queensland.

Mr Walker said many producers still feared retribution.

“No one will put their hand up and complain and push the point because if they do, they get punished by the supermarkets and lose orders,” he said.

“[Supermarkets] control such a huge volume of buying capacity that if you upset them, they just shun you and go somewhere else.”

Mr Walker believed growers would be reluctant to complain to the new commissioner without protections in place like anonymity.

“The commissioner needs to have the powers to actually say what’s happening,” he said.

“But growers have got to make sure that they’re not going to get dragged down and their name put forward, because then their business will suffer [as] they’ll get punished.”

Mr Walker said that growers wanted to know that supermarkets would be held accountable for any wrongdoing.

“There needs to be something in place where the commissioner can recommend A, B and C happens, so that if a grower can prove he or she has been punished, there are consequences for the business,” he said.

“All farmers want is a fair price for a fair day’s work.”

Queensland Fruit and Vegetable Growers welcomed the announcement, particularly the news that the commissioner would be independent.

“We potentially see a real value in helping growers navigate their way through the very complex mazes that exist,” CEO Rachel Chambers said.

“[In] helping educate government as to farming issues and food supply issues, and also helping educate consumers as to where their food comes from.”

Ms Chambers said concern about retribution was at the front of mind for many growers.

“If a grower wants to protect their identity, how is their identity protected? How is their fear of retribution taken into consideration?” she asked.

“If a Queensland commissioner role was totally independent, it actually could address that.

“I think there is ample opportunity for this role to be a very useful one in that mediation grower protection capacity.”

In a statement, Coles said it welcomed the opportunity to attend the inquiry earlier this year and was aware that cost of living was “front of mind for many Queenslanders”. 

“We are reviewing the recommendations formally accepted by the Miles Government yesterday,” a spokesperson said. 

Woolworths said it noted the Queensland Government’s announcement.

In a statement, the company said it “remained focused on building and maintaining strong relationships with our suppliers”. 

An interim commissioner will be appointed for 12 months.