[mcflux]

From my understanding,most of the larger Milk processors are either Farmer cooperatives,or were Farmer cooperatives. Thus its actually the Farmers who are the shareholders of the processors, and in reality it themselves who have elected individuals to offer them a lower milk price. If you look at the Board of Directors of Murray Goulburn, most of them have Dairy Farms.

The former chief Gary Helou is under ACCC investigation.

Off course, they are offering these lower prices, due to lower world prices. But its also the Farmers etc that wanted the world to be open up to allow them to chase other markets. I cant recall the farmers complaining when they were receiving too much money when things were going good.

Here's the thing. They were offered a $5.60/kg milk solids for 12 months LAST YEAR. The farmers subsequently (throughout last year/this year) adjusted their herd sizes and other cost factors (water licences, feed, veterinary and environmental costs, etc) only to be told recently that the price was being cut to $5.00/kg RETROSPECTIVELY.

Comparison to your job:
Last year you were offered say a $3000/week job for 12 months, the job is guaranteed to be ongoing but the $/week is up for review in 12 months' time. You subsequently upgraded your car, bought a new house and undertook renovations, ate out more, and upgraded your health insurance plan because you can budget that based on your expected income for the year. That, and next year looks to be rosy as well.

In the 10th month your employer tells you "oh, our bad, it was meant to be $2500/week since the beginning of the contract. Since the cuts are retrospective that means the first 10 months of being overpaid need to be squeezed in to the final 2 months, resulting in you actually having to pay US $1312.50 per week for the final 2 months and still perform at your job."

Hory shet. You now can't make your mortgage payments, your car loan payments, you're living on baked beans, you've gotten rid of your health insurance hoping you don't get sick...

The difference with that comparison is the dairy farmers were already doing it tough before this was dumped on them.

Again, the Price of milk (or the price of solids - which i think milk prices are based on), has fallen due to production out stripping demand. Is it not just the world saying, cut down on your production, and prices will stabalise. Is farming somehow different to any other business?

China's been stockpiling milk products and are now eating into their stockpile. Russia has sanctions against Western dairy. The EU has deregulated and there's now an epic glut in the EU. Water licences are being bought up by superannuation/investment companies so the allocations farmers get a hold of are at sky-high prices (supply and demand). All of this is impacting on Aussie farmers.

Last time i checked, Neither Coles or Woolworths had special machines that allowed them to make Milk. They are getting their Milk from Dairy Farmers. Its not Coles or Woolworths or even Customers that are damaging Dairy Farmers, is it not themselves.

Coles and Woolworths with their contractual buying power and their "milk war" starting in 2010 have most definitely damaged the livelihoods of dairy farmers!!!

Our politicians from the major camps are saying/doing bugger-all on this and it's driving farmers to suicide.

Here's a change.org petition aimed at our current Agriculture minister (also leader of the Nats and our Deputy PM) - link here - please sign it to get the attention of the government!!!

^^^ This is an apolotical stance, something needs to be done by WHOEVER is in charge.

What can we do to help in the meantime? Buy branded dairy products and avoid the no-name Coles/Woolies etc products!