ADF Rejects ADIC Reform and Funding Proposal

The Australian Dairy Products Federation (ADPF) has urged Australian Dairy Farmers (ADF) to meet its commitments to the Australian Dairy Plan and not reject the proposal to reform the Australian Dairy Industry Council (ADIC).

ADPF President Grant Crothers said he hopes common sense prevails and that ADF reviews its decision and commits to a stronger ADIC and a pathway to co-invest with Dairy Australia (DA).

“In October 2021 a proposal for a strengthened ADIC to co-invest with DA in ‘whole of supply chain activities’ with processor funds was put to the ADF board and only a few weeks ago we were advised the proposal was rejected. The call to have a stronger advocacy body is unanimous throughout the industry so it is disillusioning to not be able to implement this reform initiative.

“It is baffling why ADF would knock back our proposal that would have allowed processors to fund a stronger advocacy body and co-invest with DA in whole-of-industry initiatives, from which farmers and broader industry would greatly benefit,” Mr Crothers said

Mr Crothers said it was perplexing why ADF continued to seemingly work against the interests of all Dairy Farmers.

“Now, ADF – incredulously – is urging its members to vote against increased funding for the farmer-led DA despite a farmer led levy review committee recommending an increase.

“Quoting that processors do not contribute to DA as a reason for no increase is void of logic and ignores the core purpose of DA being, improving the profitability and sustainability of dairy farming.

“Despite our proposal being rejected we are now working with our members to establish a policy that will equitably provide a sustainable model that includes co-invest with DA in whole of chain activities.

“We recognise that ADF membership is a low proportion of dairy farmers and don’t see that they are working for the benefit of all dairy farmers and the future sustainability of the industry.

“The purpose of the Australian Dairy Plan – from which the commitment to reform ADIC was borne – was to deliver increased profitability, confidence and unity across the Australian dairy industry,” Mr Crothers said.

“I cannot understate how weakened industry would be without ADIC or the disservice we are doing to our members with a watered-down version.”