Farmers can’t be expected to erode their capital just to produce a product. Processor margins aren’t particularly high either, and all of this reflects the high cost of producing in Australia. We need governments that do everything they can to reduce additional costs at both the agricultural and manufacturing levels.
Another major issue looming on the horizon — and I think most of us don’t even want to think about it because it’s virtually impossible to achieve — is net zero, which is something I’ve raised. Most people are so busy dealing with day-to-day challenges, but the reality is that the concept of net zero has been developed by people in cities.
There’s a strong argument to be made about whether this is even something Australia should be concerning itself with. But if I take a macro view, there’s no real solution in place to achieve net zero — and if it’s imposed on our industries, it becomes impossible. Beyond the cost, where do you even get an electric harvester? How do you charge it? These are things for which there are no practical solutions, no planning, and no strategies in place.
One key issue is the need for reliable power. Already, in a short time, power prices have surged — largely due to the push toward renewables. Our electricity costs have doubled. Just a few years ago — though it feels like only months — we were paying around $22,000 a month for electricity. Last week, I looked at our latest bill — it’s now $40,000 a month. We can’t just double the price of our milk to keep up.
— Sue Daubney, Bannister Downs Dairy