Australia’s peak farming body has accused chicken processors of “serious and deplorable” behaviour toward producers and called for a mandatory code of conduct, in a lengthy report on ways to increase market transparency and improve competition in the sector., released on Tuesday, said there was “significant market concentration” in the sector and identified a widespread misuse of market power by major chicken processors at the expense of producers.
“We look forward to receiving the government’s response to the report’s deeply concerning findings and strong recommendation.” The report found processors have favoured individual producer contracts to weaken state-based grower groups efforts to collectively negotiate prices. But Banham said growers get the “end of a raw deal,” pocketing less than 6% of the retail price for a roast chicken.Growers’ Council supports the call for a mandatory code. Acting chief executive, Joanne Sillince, said market conditions for poultry farmers have been in decline for decades.
the association said it does not support a mandatory code of conduct. It said no leg of the supply chain controls the production and distribution of chicken meat at the loss of others.
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