The boss of an Australian supermarket chain has warned that food prices will rise if farmers are forced to shoulder the $2.3 billion cost of carbon reporting.
Drakes Supermarkets boss John-Paul Drake called the burden of mandatory carbon reporting on farmers, due to start in 2025, “beyond unconscionable”.
He highlighted Australia’s comparatively low carbon footprint on a global scale when discussing why carbon reporting would be unfair to farmers, who are “the absolute backbone of our great country”.
Instead, Drake proposed that the federal government focus on reducing electricity and water costs rather than creating more costly bureaucratic procedures.
Mandatory reporting on carbon emissions will cost farmers a staggering $2.3 billion in its first year, which will likely trickle down to customers in the form of higher grocery prices.
Mr. Drake’s supermarket chain buys produce from farmers at market prices, which fluctuate.
‘If our farmers are forced to take on the burden of additional mandatory reporting, it will inevitably result in higher prices in stores. “We cannot expect our primary producers to simply absorb this cost when we know our farmers are already working on tight margins and in difficult conditions,” he said. The advertiser.
‘It is a huge problem when one sector of the government tells farmers how to run their businesses; maybe our public servants should be out there trying to find ways to reduce the cost of water and electricity, instead of reporting on carbon emissions.
Drakes Supermarkets director John-Paul Drake (centre) warned that mandatory carbon reporting imposed on farmers will cause grocery prices to rise
Mandatory reporting on carbon emissions will cost farmers a staggering $2.3 billion in its first year, which will likely be passed on to customers in the form of higher grocery prices.
“Australia’s global carbon footprint is so small compared to the rest of the world, imposing this responsibility on our farmers is beyond unacceptable.”
Federal Nationals leader David Littleproud and the National Farmers’ Federation also criticized the report, which will affect at least 1,800 businesses from next year.
Livestock South Australia president Joe Keynes has urged the federal government to clarify the carbon emissions reporting regime.
He asked the authorities to “define a map of the entire situation.”
“You can’t just go to one point in the supply chain and say, ‘They’ll fix everything,’ because it’ll be all of us,” Keynes said.
Keynes added that the lack of clarification also left it unclear how much, if any, of the cost would be passed on to customers through price increases.
Daily Mail Australia has contacted Woolworths and Coles for comment.
Federal Nationals leader David Littleproud and the National Farmers’ Federation also criticized the report, which will affect at least 1,800 businesses from next year.
Drake’s latest comments come after he recently criticized the Labor government’s rushed push to go green.
“Suddenly everyone wants to be so green and in such a hurry that they’ve forgotten who the people are paying those bills,” he told Sky News last month.
“It’s them who are affected the most.”