Orange industry in Australia shrinking to the point of collapse as short-term contracts, lower prices hit growers

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There are fears that short-term contracts and low prices for Valencia oranges could force some growers out of the industry.

abc.net.au/news/citrus-growers-concerned-about-juicing-orange-prices/102755864Australian citrus growers say short-term contracts for Valencia oranges, which are used to make juice, are unsustainable given the increasing cost of production.

"I've been urging growers to really look at their budgets and work out if they can supply for the price that they're signing up for," he said. Mr Mancini said the price had improved in the past month, but many contracts were only short-term supply arrangements that offered growers little security."Sell a bit of water off to keep themselves farming and they find themselves … in a position where it's death by 1,000 cuts, bleeding out all your assets until you've got nothing left," Mr Mancini said.Nathan Hancock says the cost of production is on the rise.

 

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