Coles management face angry farmers

29 Jul, 2011 11:30 AM

COLES merchandise director John Durkan faced the fury of dairy farmers at the WAFarmers annual dairy conference in Busselton yesterday.

Despite assurances Coles wanted the industry to remain sustainable and had cut its profit margins on milk, farmers generally remained cynical.

Federal Member for Forrest, Nola Marino said Coles' decision to reduce home-brand milk to $1 a litre had devalued milk and agriculture in the eyes of the consumer.

Coles was also accused of reducing the incentive to continue farming when returns, excluding capital depreciation, could be as low as 1.4 per cent in a good year and probably lower in the next 12 months.

Coles' assertion the consumer had seen greater value in milk as there had been an increase in milk consumption, was met with disbelief and laughter.

Farmers said if processors were pushed to lower their tender prices to win the supermarket contracts, they had no recourse but to lower the price paid to suppliers who in turn had no recourse but to accept it.

  • More from the WAFarmers dairy conference in next week's Farm Weekly.
  • Date: Newest first | Oldest first


    richie rich
    30/07/2011 8:41:55 AM, on Farm Weekly

    i think the time has come for all farmers to unite, & boycott coles, wesfarmers & all affiliated companies. no i'm not a dairy farmer, i farm sheep. wesfarmers seem oblivious to their origins, their attempts at manipulating the dairy, pork, poultry, beef & sheep industries is ruthless, especially when it was the agricultural sector that created this monster, wesfarmers. prospering from this industry is one thing, bleeding us dry is another. are they likely to stun us before they cut our throats?
    Bushie Bill
    2/08/2011 2:07:13 PM, on Farm Weekly

    Ah there, richie rich, don't cry, it will all be better soon. After those dreadful supermarket chains totally destroy the Australian agricultural industry, people will be sorry, and they will decide to punish the miscreant chains severely. Then your turn will come. You just wait and see, richie, I promise you; it will all be right in the end. Just keep doing what you have always done. Don't ever change. However, I cannot promise you a painless ending. Perhaps you should buy your own stun gun, just in case? Best to be on the pessimistic and passive side, eh, rather than do something pro-active?


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