Potato grower Stuart Applebee of Gawler said Tasmanian growers had been discussing with Simplot the possibility of a clause that would help them financially. He said Simplot was currently considering the clause, according to a report by Simon McGuire for Tasmanian Country.
“Some of the guys that are carting from the North East to the factory in the North West are having to pay an extra $50 per tonne,” he said. “The growers are getting slugged too hard at the moment.”
But Mr Applebee was concerned that even if a fuel clause was agreed it would still be very tough for potato growers.
“Cartage contractors have no choice but to forward rising fuel costs on to growers.
“The rising cost of everything is being forced on to growers and we have to absorb it. We really need some help.”
TasFarmers vegetable council chair Nathan Richardson said farmers were nervous ahead of next year’s crop being planted in the next three to four months.
“We could see a 30 to 40 per cent increase in the per-hectare cost of growing,” he said. “That puts a lot of growers out of business straight away and puts pressure on our processors.
“Once you start getting a breakeven point of 60-odd tonnes per hectare, it’s not a sensible idea to plant potatoes.”
Source: Tasmanian Country. Original report here
Image: Credit Tasmanian Country
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