Press Release

Rob_gillam_hay

PGA TO COMBAT - WE’RE PRICE TAKERS, NOT MAKERS

2012-07-03

Western Australian pastoralists and farmers are in shock over Federal Climate Change Minister Greg Combet’s claims that farmers are entitled to pass on cost increases caused by carbon pricing, because that’s the way the economy is supposed to work.

 

“Minister Combet’s comments clearly show one thing, the Labor – Greens - Independent Government has no idea about farming, let alone on how to control the weather through a tax,” Pastoralists & Graziers Association of WA (PGA) President Rob Gillam said today.

 

“One would expect that a Minister of the Crown  involved in selling the benefits of the clean green economy would be aware that throughout the history of civilisation there has never been an instance where a farmer has been able to set the price for his goods let alone pass down costs to the consumer.”

 

“Farmers are and have always been price takers.”

 

“We do not deal direct with the consumer; we deal through buyers, wholesalers, exporters, processors and merchants.”

 

“We are the faceless men and women who produce a base product that undergoes numerous changes before it ends up in a shopping bag.”

 

“Any increase in our cost of production cannot be passed on and as such farmers now have to bear the full brunt of the ‘modest impact’ imposed on their livelihoods by the Gillard Government’s latest tax grab.”

 

“Every aspect of production has now increased - from fertiliser, to seed, to fuel, to feed - and there is no assistance for primary producers to offset these costs.”

 

“As secondary recipients of this tax we are now facing the further erosion of our net farm gate prices as our buyers’ costs are passed down on us with no transparency or recourse.”

 

“For centuries farmers have dealt with the effects of a changing climate, however now they are faced with an even greater moral challenge – the Labor – Greens – Independents Government’s Carbon Tax.”

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