Crippling costs hit farmers

COST of living has become one of the many catchphrases of 2022 from the Federal Budget and now into the election, but on the Cassowary Coast, it has a whole new meaning for the agriculture industry.

While there aren’t many Far Northern industries that are immune to rising costs of production, banana farmers on the Cassowary Coast are fearing the worst as their returns compare despicably to their outlay.

To put it simply, Boogan farm Pacific Coast Eco Bananas’ Dianne and Frank Sciacca in the past month have reported returns between $1 and $15 per carton, with the cost of producing each box sitting at about $23.

“You do the maths on that,” Ms Sciacca (above) said.

While all the smaller inputs that go into producing a carton of bananas have also risen in price, Ms Sciacca said the two biggest killers had been labour costs and fuel prices.

“When 50 per cent of your gross is wages, and I’m not taking anything away from our workers, you have a problem,” she said.

“We have among the highest labour wages in the world – how can we possibly compete with global markets like this?

“And then we’re slapped with export tariffs.”

The banana grower of 20 years said fertiliser costs had risen from an average of about $700$800 per tonne, to almost $2000. Again, she pointed towards rising labour costs as the reason.

“Our governments have really let Aussie manufacturing down.

“We’re not building any cars here, and we’re not manufacturing as much fertiliser, because China can do it cheaper.”

Adding to those woes, she said trucking companies which helped transport produce to the markets were forced to pass on rising costs of fuel and she feared companies would soon have to reject farmers if their transport orders were not financially sustainable.

Further, Ms Sciacca said if fruit was imperfect when it was presented to retailers, it could often be rejected altogether.

“And then that’s a zero per cent return on that whole pallet for the farmer.

“The government needs to subsidise the industry and the costs we’re facing otherwise we can’t survive. And we need consumers to understand that creased necks, and rust marks don’t actually degrade the fruit.”