
Australian vegetable suppliers are issued a stark ultimatum to the nation’s major retailers, demanding an urgent spike in farmgate prices to offset a crippling fuel and resource crisis.
Industry body Ausveg warned this week that the escalating conflict in the Middle East has sent overheads skyrocketing, with producers facing unprecedented costs for fuel, freight, and essential fertilisers.
Michael Coote, CEO of Ausveg, cautioned that the viability of the local industry is at a breaking point.
Speaking as families gathered for Easter, Coote noted that extreme uncertainty and surging production costs have already forced many growers to alter planting schedules.
He stressed that without "genuine, evidence-based price increases" from supermarkets and prioritised support from the government for critical inputs, the availability of fresh, Australian-grown produce will inevitably decline.
The consequences of inaction, Coote warned, could trigger a "silent epidemic", forcing a national reliance on cheap, imported frozen alternatives.
The plea comes as retail giants Coles (ASX:COL) and Woolworths (ASX:WOW) confirm they are currently negotiating price adjustment requests.
While a Woolworths spokesperson acknowledged the need to balance supplier viability with customer affordability, Ritchies IGA CEO Fred Harrison told Sunrise that adjustments, such as fuel levies, are becoming unavoidable in the current market.
As the ripple effect of global instability takes its toll on the domestic supply chain, the industry remains adamant: unless supermarkets pay more to the people growing the food, the "Great Australian Salad" may soon become a luxury of the past.