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ACCC flags focus on Horticulture Code enforcement
Australian wholesalers are urging their growers to become better acquainted with the Horticulture Code of Conduct (the Code) in the wake of the competition watchdog, the Australian Competition and Consumer Commission (ACCC), flagging an increase in compliance and enforcement audits in relation to the Code. Following their Perishable Agricultural Goods Inquiry, the ACCC conducted audits and found that most wholesalers are complying with the requirement to trade under a Horticulture Produce Agreement, but identified that some have incorrect reporting practises in place. The ACCC said it believed that the horticultural industry would benefit from further guidance and will release updated industry guidance in the coming months. Following this, the ACCC intends to conduct further audits and will strongly consider enforcement action if it identifies non-compliance. Brisbane Markets Limited (BML) Managing Director and CEO, Andrew Young, said the ACCC’s announcement is a timely reminder for growers and wholesalers that they must have a written agreement in place before trading together and to comply with the terms agreed to by both parties, no matter how long and positive their relationships have been. At the time of the Code’s introduction, Australia’s Central Markets worked closely with the ACCC to produce standard documents for the Code, which are easy to read and to tailor as required. Wholesaler representative body, Fresh Markets Australia (FMA), distributed the Code-compliant Terms of Trade and Horticulture Produce Agreements through its members’ 400 Central Markets wholesalers to reach an estimated 15,000 growers. In Queensland, Brisbane Markets wholesalers rolled out the documentation to more than 7,000 growers. Mr Young said that Brisbane Markets wholesalers were among the first in Australia to receive Code training before its introduction, organised by FMA, and the wholesaler member organisation Brismark will be conducting refresher training in the near future. “As an industry, we must all stand by the law and work together toward the Code delivering greater clarity and transparency in our trading arrangements,” Mr Young said. “Growers have a big role to play by ensuring they also do their part in understanding what is required of them and ensuring they, and their wholesalers, are following the Code.” Mr Young said growers and wholesalers needed to: • understand that traders and growers are required to have a
Horticulture Produce Agreement (HPA) in place; • review, negotiate and agree to the terms of HPAs; and • comply with the HPAs they have in place with parties they are doing business with. “Brisbane Markets will continue to do its part to promote an understanding of and compliance with the Code, while also representing this sector of the industry and standing up against unfair, ill-informed and inaccurate claims,” Mr Young said.
Growers and wholesalers are being reminded to ensure they understand their responsibilities under the Horticulture Code of Conduct.
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