Fresh State of Affairs Issue 7

september

07 2011

ISSN: 1838-7829

relocation confirmed: epping. reboot your life with juice

market history 1880-1899

around the markets pictorial

issue 07

september 2011

what’s on: 4

8

12

Relocation: Government confirms Wholesale markets move to Epping.

Market history: Melbourne’s Market history detailed from 1880 – 1899.

Reboot your life with juice: Joe Cross consumed nothing but fruit and veg for 60 days.

25

26

Q & A with Alby Chin Just how passionate is Alby Chin about the industry?

Levies – a compulsory tax: Find out about how industry levies affect you.

2 | What’s on

14 | Around the markets

19 | Sam Kekovich

3 | President’s message

16 | MMCS

22 | Young Executive Programs

10 | Hours

18 | Fresh State Updates

24 | FSL staff

20 Random audits: For merchants and agents.

HCC compliancy audits.

CONTENTS

Published by:

www.freshstate.com.au tel: 03 9689 3233

Fresh State CEO: John Roach john.roach@freshstate.com.au Editor / Advertising: Sonja van Eijk sonjav@freshstate.com.au Contributors: Sally Piper sallyp@freshstate.com.au

Design: Flying Dog Designs www.fddesigns.com.au Photography: Wuttke Photography www.wuttke.com.au Casamento Photography www.casamento.com.au

Print: King Print www.kingprint.com.au Distribution: Fresh State of Affairs is produced by Fresh State Ltd and is a free publication.

03

president’s message:

Shane Schnitzler From the President Well now we finally know – we are officially moving! On 20 July 2011, the Government confirmed what everyone could see with their own eyes and it came as no surprise particularly given the silence emulating from Spring Street.

So what does it mean and where does this leave the community many of whom can reflect on the last forced relocation some forty years ago as if it was yesterday?

nesses at Footscray Road over the next four years? This is a difficult question as most businesses normally have a five year horizon and where investment in fixtures, fittings and facilities are concerned, a ten year plan is the norm. The last thing industry want is to be held in business limbo for another four years.

The Minister has since sat with the Fresh State board and agreed to work through a process to provide some certainty to

problem, our view is that the operator is leaving itself exposed and they have to deal with growing anger and frustration from many in the market community. A level playing field is needed.

The issue of ‘market operating hours’ is to be discussed at a joint Advisory Committee meeting in late August.

Unfortunately, (and I don’t want to be a wet blanket), but some of the same people that don’t respect the present operating hours will be sitting in the room offering advice to the operator on changing operating times.

It is your responsibility to operate the market including enforcement and operating times.

Firstly, it puts to rest on ‘staying or going’ and this is a relief in many forms.

Members have some certainty given all the talk that has taken place over the last seven years. But what does a single announcement mean if there are no details on recognised equity, what you get at Epping and what is the cost?

members. The devil will be in the detail but I acknowledge it is a first step. Hopefully he will still be there when we get to the hard questions on viability and costs, space and allocation and the all important point of competitiveness!

Secondly, did the Government actually assess the current site? They probably did, but on what basis? Only the government knows. An important question is ‘did industry have an input into that decision making process’? The answer is no!

Market hours and enforcement by the operator continues to be the talk of the community. To this end, the operator has finally acknowledged they have a problem and that their shortcomings on enforcement are real.

The third point is what can businesses do to improve or reposition their busi-

This is not a difficult problem to solve but until steps are taken to fix the

Shane Schnitzler President, Fresh State Ltd.

formation published in Fresh State of Affairs. Fresh State Ltd specifically disclaims all and any liability for loss or damage of any nature whatsoever and however arising, whether due to accuracy, error or omission or any other cause.

This work is copyright. Apart from any use as permitted under the Copyright Act 1968, no part may be reproduced by any process without prior permission from Fresh State Ltd. Requests and inquiries concerning reproduction and rights should be addressed to:

My point to the operator is that “it is your responsibility to operate the market including enforcement and operating times – stop pandering to a few individuals when you already have overwhelming support for change”!

This issue of Fresh State of Affairs includes the second in our series on Market History; a feature on Joe Cross, relocation – where is Epping at; what the new Credit Service system looks like; a surprising Q & A and a ‘look around the market’!

Disclaimer: Fresh State Ltd makes this magazine available on the understanding the users exercise their own skill and care with respect to its use. Before relying on, or altering any business practices, users should carefully evaluate the accuracy, completeness and relevance of the information for their purpose and should obtain appropriate professional advice relevant to their particular circumstances. This magazine contains views and recommendations that do not necessarily reflect the views of Fresh State Ltd. Fresh State does not in any circumstances accept responsibility for the accuracy or suitability or otherwise of any in-

In addition, by using the information in this magazine, each user waives and releases Fresh State, its staff and agents from any and all claims relating to the use of this document. In no event shall Fresh State Ltd be liable for any consequential damages resulting from using the information in Fresh State of Affairs. © Fresh State Ltd 2011

The Editor Fresh State of Affairs Magazine Market Box 113, 542 Footscray Road West Melbourne VIC 3003

04

issue 07

september 2011

relocation:

OF AFFAIRS

The State Government finally announced on 20 July 2011 that the relocation of the Melbourne Wholesale Markets to Epping would proceed.

The announcement brings to an end seven years of indecision, mismanagement and frustration for Fresh State members and the market community.

But it does not bring certainty!

It’s Official.

It is Government’s choice to build Epping.

But Government must by now realise that this industry is highly cost competitive. How else can you describe a situation where 150 wholesalers are competing side by side for the same clientele?

And it is important to make sure that this Government doesn’t try to pass on the much touted ‘mismanagement and cost blow-outs’ by the previous government to our members.

05

We’re Going!

Certainty for members can only be achieved when full details on what space they get, what facilities they get, what the rents the government want them to pay and what their options will be are all available to make properly informed decisions about their future!

relocation:

06

Key points and Process:

20 July – Government confirms that the Melbourne Wholesale Markets will be relocated to Epping.

Relocation to take place in early to mid 2014-15 financial year.

Government said it was forced to address cost blow outs!

27 July – Fresh State members meeting held to discuss the way forward.

3 August – Fresh State forward discussion agenda and previous Government’s proposal paper to Minister in preparation of meeting.

4 August – Fresh State board and management conducted on a tour of the Epping site.

5 August – Fresh State board and management meet with Minister Napthine and DBI. The meeting works through discussion agenda with the proposal paper now termed the Working Paper.

Key components of process to include timelines and commitment as well as engagement and transparency.

8 August – Fresh State board and management review Working Paper.

17 August – Fresh State members meeting held to update members on Minister’s meeting and any changes to Working Paper.

19 August – Working Paper forwarded to Minister in preparation for next meeting with Minister and DBI.

OF AFFAIRS

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market history:

08

OF AFFAIRS

99 8 1 – 0 188

issue 07

september 2011

Melbourne’s

In the last edition we looked at the history of the Melbourne Market from 1841 to 1879.

This covered the beginnings of the wholesale markets in Melbourne and the eventual merger and relocation of the Eastern and Western Markets to the Queen Victoria Market.

The Queen Victoria Market was officially opened on 20 March 1878 and was successful in its early years being the centre of life and activity surrounded by dealers and buyers.

The Market was situated less than a kilometre from the Town Hall and covered two city blocks. The larger block was about 15 acres and bordered by Victoria, Queen, Franklin and Peel Streets. This block was used for wholesale trade six mornings a week. Part of this block was also used for retail trade on five days of the week. The smaller block bordered by Victoria, Queen, Therry and Elizabeth Streets (approx 2.5 acres) was at times used for wholesaling but mainly utilized for retail.

In the Council’s by laws, only the larger block is named as the Queen Victoria Market, the smaller block was called the Meat Market. However they were more commonly referred to as the Upper and Lower Markets (because the land slopes

down from Peel Street to Elizabeth Street) or as the Wholesale and Retail Markets.

The Lower Market Three market sheds, designated G, H and I were built in 1878 for both wholesale and retail use by fruit and vegetable growers and other traders.

Prior to this use, the area had been used by the Meat Market. A narrow triangular strip was added to the Elizabeth Street frontage in 1880 when some of the Melbourne streets were being re-aligned. This enabled the present façade of the Meat Market to be built in 1884 with its centerpiece of farm animals beneath an arch, which is the entry of the market from Elizabeth Street and is now classified by the National Trust along with the adjoining shops.

Although there was some wholesale activity in the sheds from time to time, the Lower Market eventually became a purely retail complex.

The Upper Market Ten of the 15 acres of the Upper Market was originally a cemetery and the rest of the site was made up of land intended for a State School plus other buildings. To facilitate market gardeners who moved across from the Eastern Market, a number of temporary sheds were built in the Upper Market. Five open sided sheds were built initially (A to E) and the sixth (F) included a line of brick stores which formed the southern wall of the market and cut off the view to the remaining cemetery site.

These first ‘temporary’ sheds, with later additions at both ends, are still there more than a hundred years later and have also been classified by the National Trust.

The next edition of Fresh State of Affairs (Edition 8) will cover the Melbourne Market’s History based at the Queen Victoria Market from 1900 to 1919.

09

Market History LO W

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Buttom left: Present facade of meat market built in 1884 entry via Elizabeth Street.

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Top right: Current Queen Victoria market site looking North East.

B.

N. O.

Built in 1891-92, they (Banana Alley Vaults) were originally known as the Viaduct Buildings.

Did you know….

The Banana Alley Vaults were originally used by produce agents and fruiterers to store their produce before market.

The name “Banana Alley” comes from bananas being stored and ripened there (using ethylene gas) before being sold. The vaults were divided up into 33 separate spaces, with first tenants being recorded in 1893.

The Banana Alley Vaults are located near the Flinders Street Station in Melbourne and extend onto the North Bank of the Yarra River.

Built in 1891-92, they were originally known as the Viaduct Buildings, and were built in conjunction with the tracks of the Flinders Street Viaduct that run overhead.

The television series Canal Road was set at the Banana Alley Vaults.

With the construction of the Spencer Street Bridge in 1930 Queens Wharf was rendered inaccessible to cargo ships, and the vaults fell into disuse. A cafe was opened in one of the vaults in 1936, being joined by the ‘Pieteria’ cafe selling pies 24 hours a day from the 1950s. Hernes Hobbies also occupied a vault from 1946 until they moved into the basement of Flinders Street Station.

Other vaults were used by newsagents as a distribution point, and the Victorian Railways refreshment branch as a storage area.

The vaults were neglected and disused for many years and subsequently developed a sinister reputation in the 1970s and 80’s. The vaults were used by homeless persons as shelter from Melbourne’s cold nights, and numerous attacks and murders occurred here.

In 1987 the State Government carried out a $4.5 million refurbishment of the vaults in a project aimed at promoting Victorian tourism. The drawcard was ‘Wine Victoria’, which closed after only two years of operation, with other vaults becoming vacant as well.

The area is again considered one of the sites ripe for development in the central business district, with the redevelopment of the rest of the north bank of the Yarra.

If you have any photos, interesting stories or in formation fr om your fam members re ily ga at the Quee rding their experience s n Vic toria M arket please contac t Sall ya sallyp@fresh t Fresh State at st 03 9689 32 ate.com.au or on 33.

Enforcement and Market Hours

10

issue 07

september 2011

a Time Once Upon A true story.

me to a e retailer ca m ti g e n lo a rs ago l his life. Th bout ten yea ad been buying from al ad h d eh is life an wholesaler h n in the profession all h eir mid ee b th ere bo in th m his w ey retailer had h T . et tl retail ou the shop fro a first class er took over il ta he wholere e h T of his life. T e time. st o th m at er s il ie ta rt rs and fo a re for many yea iler. ad also been er h th o fa h w ’s er er il th ta fa d reta served the re holesaler an w er n th io fa at s er r’ le en sa nd g n by became seco e conversatio th so the sons ed en p o iler it of a r day the reta e wholesaler was at a b la cu ti ar p is h T im why, On th e wholesaler. and asked h th g to in g is g in lo is o g ap uct he apolo ut the prod e retailer was o th ab y h g w in h to et loss as een som may have b (thinking it ). re e day befo rs previous. purchased th m three yea o fr as w y g lo market opsaid the apo change the to sh u p r o The retailer aj iler told the ere was a m 0s). The reta 9 9 1 id (m t Back then, th change to to a later star ot to have a fact the erating hours at the time he fought n start time. If at ta wholesaler th eep them at the 2.30 am ld ke his dk that he wou ed en at re th the hours an . The hours id the retailer ere changed wholesaler sa eone else if the hours w m business to so ed. g to sell his an ch t were no had decided er il ta re e th fident of e years later and was con s re er th y e u b m so ve t ti ec Bu rice for it had six prosp obtaining a premium p e H s. es n si bu but ing the shop . not just sell d ve er e shop ght it des able with th rt that he thou fo m co e er holeed to the w ve buyers w in ti la ec p sp ex ro p er il x reta ed up The si but, as the s and he end s es es n n si si u u b b e e th and th hased ted. f the six purc saler, none o ce far less than he expec pri why, he reselling for a tailer as to re e th ed n o ti holesale ques When the w ”! k in ologise. ot th there - to ap as plied “I did n w e h y h w as ve buylained that w e six cases the prospecti p ex er il ta re th et operThe se the mark at in each of th au t ec u b o e ed as h rn r parturc It tu pursue the p anage or thei m to to ed n lt li cu ec fi d ers too dif were either ating hours

A

Where are we at?

Following the Fresh State President’s letter to the Melbourne Market Authority (MMA) Chairman, we have received a letter saying that a joint meeting of the MMA Advisory Committees has been called for 30 August. The agenda is to discuss two items - market hours and enforcement of operating times.

their so much on g n ti ac p im usiness t want the b ners did no because family lives. he apologised t at the at th r le sa le h ho some foresig would said to the w ler and had The retailer s sa es le n o h si u w b e to th ours his h r te la to if he listened ve port the mo buyers! time to sup prospective g in et p m ut still co x si e industry b th have had ft le er il at the reta yed to me th erations the ve n en g co o r le tw sa er years hole Aft it has added saler. The w ry le st o u h d w in e e th th in p on all sees by not being ill catching u ours s st k e in ar th y il er m il reta his fa rly h d that he and out on because of the ea days a to his life an x d si se r is fo op at they m nning the sh ru en the years th th d an arkets start at the m to ten years week! he had eight at th e good m to rmised rs would be u su o r h le e th sa g le o in h ang end of The w ry and that ch orld’ as he can see the st u d in e th left in of the w ‘not the end for him but life. invigorate his working e hours to re e. th e g an ch to am that we have unger people into the g But he said o y w ra d ustry is and to here the ind w the industry e se to d ar make etimes it is h Freddy’ that we have to m so at th id d comlin He sa range of the obvious to ‘b er is it ad ro at b th a t u to , howat, b ore attractive e single change to hours m ry st u d in on e least this making this als, it was th y u b id at iv d th ; in y e it mun r som it may be fo ever difficult a to leave he could do y rather lasting legac e to accept than continu om people apologies fr dustry for leaving the in rs!! yea the next ten ithheld by (Name was w the Editor).

It is also getting difficult for the operator to explain its actions (or inactions) now that so many wholesalers and retailers have pointed out the people coming into the market early especially on Monday, Thursday and Friday.

Those are the same early entry people being observed leaving the site prior

market hours:

The enforcement of operating times agenda item is interesting to say the least. It is the operator’s responsibility to ensure operating hours are adhered to. It is unclear what is to be achieved by the joint Advisory Committees meeting.

11

Whatever decisions the MMA make in regard to enforcement and market hours they will be held accountable!! to opening times or just after opening times fully loaded. And I see the “Footscray Road car park” is still doing a booming trade and they don’t pay any parking fees!

As previously published, it is the operator’s decision to set market hours – that is ‘the opening and closing times for buyers to purchase produce’. The actual decision is made by the MMA Board.

Given that there have been a number

of recent changes to the MMA Board, no doubt some interesting discussions would have taken place prior to the MMA letter being sent.

You can be sure of one thing - whatever decisions the MMA make in regard to enforcement and market hours they will be held accountable!! MMA, from the many, many frustrated wholesalers and retailers out there, they are awaiting your decision!

health issues:

12

OF AFFAIRS

issue 07

september 2011

t o … h o t i b R e r life w you

e to g a s s a me - and the s a h ss ell o t r o C t e y eat r Jo : o t e l s p a d im yell an e is pretty s tables! e g a g s e s v e d m ts an i u r f more

Joe produced a documentary of his journey across America where he consumed nothing but home made vegetable and fruit juices for 60 days in order to improve his own health. It also captures the stories of other individuals who changed their lives by lifting their plant food intake.

It all combines to make a compelling and motivating film, and one the fresh produce industry is hoping will resonate with local audiences in order to boost fresh produce sales.

The former trader turned film maker and health motivator, addressed growers, wholesalers, retailers, researchers and other fresh produce industry delegates at the Fresh Connections 2011 event at the Brisbane Entertainment and Convention Centre in June.

His true blue humour shines through in a line from the film that accompanies footage of him shirtless and obese: “I look like I’ve swallowed a sheep”.

“I’d never made a film before, in fact I’d never been in front of a camera before; I fancied myself for telling a story but it was like, how do you make a movie about basically eating fresh fruit and vegetables, and nuts and beans and seeds?”

Joe told the Fresh Connections audience.

He went on to tell how he contacted people who assisted documentary makers such as Michael Moore (Bowling for Columbine, Sicko) and Morgan Spurlock (Super Size Me) to help his quest.

“Their first reaction was, let’s go after the fast food guys, let’s go after the govern-

ment, let’s go after the drug companies,” Joe said. “And I said, no, no, no, we’re not doing that.” Joe chose to point to a solution rather than drag out the problem.

The resulting film, entitled Fat, Sick and Nearly Dead, shows him, equipped with a battery-powered juicer in the back of his car, travel across the United States, talking to Americans about their eating habits, all the while sipping, sculling and slurping freshly made juice.

The weight fell away and his health improved to the point that he has not taken any medication for the past four years.

Joe’s charismatic delivery demonstrated his belief in the cause. Following his speech, he shook hands with delegates and handed out juice samples within the trade display. “I don’t see fat people any more- I just see people walking around with all this extra energy, and I’m wondering, when are you going to use it up?” he said.

Joe founded the Reboot Your Life movement. His film is supported by the Reboot Your Life website, so named for a juice fast’s ability to “reboot” one’s system. The site holds a self-assessment function, along with juicing programs of various lengths and testimonials.

Already the campaign has gathered some strong allies in Australia. The Produce Marketing Association (PMA) Australia – New Zealand has aligned itself with Reboot Your Life to push higher consumptions of vegetables, fruits, nuts, seeds and other plant food matter through a Fruit and Vegetables Week (14 to 20 November).

The alliance has gone beyond just PR work as well. Fresh State’s Business Manager Sonja van Eijk completed a seven day reboot while Fresh State President, Shane Schnitzler did a seven day reboot which saw him lose 7.1 kg.

13

J U I C E “I lost 7.1 kg and felt fantastic” said Shane. “After five days my energy levels started to increase and I had an extra bounce in my step.” Shane said he experimented with different juice recipes as well. “I mixed up my juices to keep the variety in my diet and enjoyed trying a range of fruit and vegetable combinations. My favourite juice combination is apple, celery and carrot”.

Sonja van Eijk also found she had extra energy and didn’t find it hard to replace solid food with juice. Sonja enjoyed the experience so much that the Fresh State office now has a juicer as a permanent fixture in the office kitchen so all staff can ‘juice’ regularly and enjoy the benefits that juicing has to offer.

Sick, Fat and Nearly Dead slots into a growing catalogue of feature documentaries in recent years including Fresh, Food Inc, and Forks Over Knives, which focus on food production and the benefits of fresh produce.

Fresh State REBOOT CHALLENGE Step 1 Visit www.jointhereboot.com Step 2 Sign up for a Reboot Challenge Step 3 Choose a program that works for you:

• Reboot Express Program

• Reboot Entry Program

• Reboot Standard Program Step 4 Get yourself a juicer Step 5 Start juicing and feeling fantastic Step 6 Let us know your progress!

“I will tell you now, nearly all of you will be inspired to juice after you watch my movie. You will be, you can’t help it,” Joe said.

“I’m going to inspire the whole country.”

Email

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20 23/06/ dated

nd all, ions a orning onnect C oss h r s C Good M e oe f Fr from J sult o n e o better r i s d a s As T an g se O n O i B r E i R p ns to f such that i tting ions o t it fi t h a g c u i o l h p within im I t ing it nd the t a o t m s o ions I r r e p und onnect fore c e b h s m e a r fore r fr a prog arm be . Afte f y r r t u s o u d to our in north ed up g l l . e e v n a mornin tr h Ju turday ng 17t a as i S h n r n t u o i t re ram, EBOOT g R o r y p m y gs ted a 7 da t thin I star hardes et for s e s. h y h t a t d 8 f few ne o the 1 o t s n r e fi e he ly b ally t ly 5kg possib especi t near s e o n l o Visit: www. d d ha , the I’ve le flat 20th I t t y i a l most d fatsickandnearn a I’m al On Mo felt d y n l a n i y ier rta lydead.com to ast da ot eas but ce n my l days g O r w . e e w t get a copy of the f o h lig ce n next t 7kg my jui s o g m n l documentary and i a y . enjo myself errific I find feel t become inspired d n anyone a today o t ram o ek ag g e o w r p a today. Then take up is than end th ou. recomm the Fresh State Chald BOOT y l E u R o s e I w o d lenge to boost your tainly it cer juice and let us know s, Regard how you go! zler, Schnit Shane Group piris Source: CEO Ka Ashley Walmsley, Good Fruit & Vegetables Magazine

around the markets:

14

OF AFFAIRS

Enzo C to the amuglia fr om th M e of ma elbourne Mark Preston M king m et for a oney.”

23 yea rket has be en rs and “enjoy coming s the challe nge

Joe Palunbo, prin cipal at Young S ang & Co - a 50 year old com pany originating from the Queen Vic Marke t.

issue 07

september 2011

David Chan from Bayswater Fresh is a 16 year Melbourne Market veteran and likes the fresh and healthy atmosphere.

r

‘rippe ppy after a a h is s r e d a oduce Tr from All Pr rawberries were sold! y h e n n e D Kevin his st et’ where all k r a m y a id r F

ing years do ders. r u o f r it fo g or Starfru ing, and takin r o f g k in c , pa work as been forklifts Jafar h from driving ing Linh from Forever Green Fresh sells Asian veges plus mangos everyth and ginger out on the growers floor.

15

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Tony Nigro and Ross Ferrinda discuss the quality of beans.

melbourne markets credit service:

OF AFFAIRS

NEW Online Credit Service to streamline business The Melbourne Markets Credit Service (MMCS) has taken the next step in providing a great service to its members and the Melbourne Market community by providing an online credit system.

The new online system has recently been launched which will increase benefits to buyers, wholesalers and the environment.

The service allows users to reconcile payments and lodge Discrepancy Advices, notify the Credit Service of their payment method and even pay their account online.

Fresh State Ltd President Shane Schnitzler encourages all Fresh State members to jump on board and use the system. “This new program will allow users to make payments and check accounts online from anywhere in the world” he said. “We can be on a beach in Fiji and making transactions at the same time – it is fantastic”.

issue 05

september 2011

Frequently asked Questions: Q Do I need a computer to use the new program?

A Yes you do however if you do not have access to a computer you are able to use the MMCS Internet Café.

Q Is there training provided if I become a new member of the Credit Service?

A Yes training is provided at the new training facility located in the old Credit Services Building located above the Melbourne Market Authority Customer Service building.

Q Is this system secure?

Fast Facts

• Online capability • Web based software • Training provided • Full user support • Safe and secure • Reduces cash transactions • Reduces paperwork • Proven and successful system • Created by Brismark

Shane added that the new system will save a huge amount of paperwork and time and was the way forward in doing business.

mark’s Credit Service invoices handled electronically and accessible via the internet.” said Margaret Bachelor, Information Systems Manager at Brismark, part of the software development team.

Brismark have been successfully using the system for over three years and their Credit Service can boast an annual turnover in excess of $600 million.

“Brismark Credit Service members use the online system, with 97% of Bris-

The MMCS will be the second central market to adopt this new technology after a lengthy investigation of similar models Australia wide. The Adelaide central market will also be installing the software in the next six months.

A The system uses a similar interface to online banking programs used by the major banks and other online facilities.

Q How will this service make things easier for me?

A The new MMCS program will streamline your procedures so that you: • don’t have to handle paperwork • reduce double handling • limit human error • have quicker reporting to allow you to manage your account more efficiently • use a web based program which allows you to access 24/7 to your account.

17

The service allows users to reconcile payments and lodge Discrepancy Advices, notify the Credit Service of their payment method and even pay their account online.

Peter Cowan and Sara MMCS training.

Training will be made available to all MMCS users and those interested in taking advantage of the many benefits of the system. A new training facility has been created in the old Credit Services offices located above the Melbourne Market Authority Customer Service building. Training will be overseen by the new MMCS Customer Liaison Officer Sara Wiseman. Sara will also be available for ongoing questions and issues if they arise.

We use the Brismark Credit Service online system and find it user friendly and extremely well managed.

It has a simple flowing process.

As the system is interfaced with our software, it has allowed us to become fully automated. We welcome the introduction of this proven system here at the Melbourne Markets Credit Service. – Mark Robinson, Holman Fresh.

A resource centre is also being developed to assist members with the use of the program and to make the new MMCS online system available to everyone.

Want to Know More?

For more information on the new system or to kick-start your training please contact Sara on: T: 9687 7333 M: 0419 372 980 E: customerservice@melbmcs.com.au www.melbmcs.com.au

Holman Fresh Sales team - Mark, Michael, Vince, Vinnie and Marie.

fresh state updates:

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OF AFFAIRS

Platinum Sponsor

issue 07

september 2011

Gold Sponsor

Silver Sponsor

Back by popular demand, Fresh State will once again be hosting the Fresh State Gala Ball on Friday 9 September 2011.

Earmarked as the Wholesalers Night of Nights, the Ball will celebrate innovation, excellence, character and the enthusiasm that makes up the fresh produce wholesale community.

Set at the Carousel on the banks of Albert Park Lake in Melbourne, guests will enjoy a scrumptious meal and be entertained by the Big City Beat Band.

The highlight of the night will be the presentation of industry awards voted by peers in the industry.

Limited tickets are available from the Fresh State office.

2011 AwardS INCLUDE: Wholesale Company of the Year Wholesale Personality of the Year Young Marketeer of the Year

Dates for your diary:

Event:

Date (2011):

Location:

Fresh State Gala Ball

9 September

Carousel, Albert Park

Launch of Fresh Start Foundation

9 September

Carousel, Albert Park

Fresh State AGM

5 October

Laureate Room, Etihad Stadium

http://www.freshsummit.com/

14-17 October

Atlanta, Georgia, USA

Cherry Auction

November

Melbourne Markets

Fruit and Vegetable Week

14-20 November

To be confirmed

PMA Fresh Summit

19

36th Annual General Meeting (AGM) of Fresh State Ltd Wednesday 5 October 2011 at 9.00 am All Fresh State members are invited to attend the Fresh State Ltd Annual General Meeting which will take place in the Laureate Room at Etihad Stadium.

The meeting will commence at 9.00 am with special guest speaker ‘Slammin’ Sam Kekovich to kick things off and will include breakfast.

The AGM will provide members with an update on Fresh State’s progress over the last year including a financial

update, key industry issues addressed

by Fresh State and projections for the future.

All Fresh State members will shortly be issued with login access codes and will be able to download the AGM package from the Fresh State website at www. freshstate.com.au. Hard copies will only be provided by request.

Members are asked to RSVP their attendance to Sonja at the Fresh State Office by 23 September 2011 on 03 9689 3233, 0421 632 521 or: sonjav@freshstate.com.au It’d be un-Australian if you didn’t attend!

Sam Kekovich

He has carried on his flamboyant style into the media sector, being most notable for his ‘rants’ on the ABC show The Fat, a breakfast show on Melbourne radio station 3AK, as a radio presenter on Melbourne Sports Radio Station SEN 1116, in pre-match AFL coverage on Triple M, and on PTI Australia on ESPN. Kekovich is a columnist for sports website.

“Slammin’ “ Sam Kekovich is an Australian media personality, sports commentator and former Australian rules football player.

He is well known for his controversial behaviour, both on and off the field, and most recently for his series of satirical advertisements as the spokesman for Meat and Livestock Australia (MLA) to promote the lamb industry.

Kekovich started his senior football career with VFL club North Melbourne in 1968. The following year he won the club’s best and fairest award and was the top goalkicker with 56 goals.

He played a key role in the club’s first premiership win in 1975 by assisting ruckman Mick Nolan by contesting boundary throw-ins, in which he won most of the hit outs against Hawthorn’s top ruckman Don Scott.

After playing 124 VFL games for the Kangaroos, between 1968 and 1976, he moved to Collingwood in 1977, but only played four games, retiring from the VFL that season. His football career did not end, as he switched to play in

Australia Day 2011 ‘Lambassador’ Sam Kekovich

In the lead-up to Australia Day 2005, Kekovich headed an advertising campaign encouraging people to eat more Australian lamb. In this particular ad campaign, he labeled vegetarians as being “un-Australian”, provoking outrage from groups such as animal rights activists.

Kekovich headed an advertising campaign encouraging people to eat more Australian lamb. the Victorian Football Association for the Prahran Football Club and played in the 1978 VFA Premiership side against Preston at the Junction Oval.

He was included in the North Melbourne Team of the Century, on the interchange bench.

Kekovich did a similar ad in 2006, and although he did not target vegetarians, he did claim that many of the tragedies befalling Australians in 2005, such as the 2005 Cronulla riots and a scandal at the 2005 Ashes series, may have panned out differently if Australians had more lamb.

mandatory code:

20

OF AFFAIRS

issue 07

september 2011

r o f s t i d Random Au and Agents s t n a h c r Me

The ACCC, under their expanded powers, are currently undertaking random audits of wholesalers across Australia to ensure that they are compliant with the Horticulture Code of Conduct (HCC) under the revamped Competition and Consumer Act 2010.

This is big news for anyone who is affected by the HCC as a random audit could have a huge impact on your business.

This is a real concern to wholesalers and is a wake up call for everyone to make sure they are compliant under the HCC.

Wholesale businesses have to produce thousands of pieces of paper to satisfy the ACCC audit requirements. These audits affect business operations due to the enormity of time and resourcing involved to produce the required material.

Earlier this year the ACCC accepted court enforceable undertakings from a NSW produce trader who contravened the HCC. Galdan Investments Pty Ltd, trading as Tropic Banana Company, acknowledged it traded with growers without horticulture produce agreements (HPA)

has been in effect for more than three years. The ACCC will not hesitate to act if it has concerns that a trader is not meeting all of its obligations,” he said.

“It is important to note that despite the new laws the ACCC’s general approach to enforcing the Act hasn’t changed and that we are still guided by our three pronged approach of:

Wholesale businesses have to produce thousands of pieces of paper to satisfy the ACCC audit requirements. and without publicly available terms of trade. It also failed to report to growers as required by the code.

As part of the undertaking accepted by the ACCC, Galdan must: • O nly trade in horticulture produce with growers where a HPA is in place; • P repare, publish and make publicly available the terms and conditions under which it will trade with growers of horticulture produce; • P rovide statements to each of its growers for the reporting periods; • A rrange trade practices compliance training for its relevant staff; • A rrange for production of a DVD containing a presentation outlining the effect and operation of the Code and to provide a copy of that DVD to all growers with whom it has traded since 14 May 2007, without charge; and • P ublish an information notice in the Queensland Country Life newspaper.

Former ACCC chairman Graeme Samuel reminded the industry that horticulture produce traders should make all efforts necessary to ensure they comply with the code. “The code

• E ducation and awareness raising to achieve compliance; • Obtaining out of court settlements wherever possible; and • Pursuing litigation and penalties if necessary.”

The purpose of the HCC is to improve the clarity and transparency of transactions between growers and wholesalers of fresh produce. It also provides a fair and equitable dispute resolution procedure.

The ACCC can institute legal proceedings if the Horticulture Code and/or the Act is breached including: • I njunctions to stop the conduct • Compensation and damages • Setting aside or varying relevant contracts • Orders for corrective advertising The Horticulture Code has three key aspects: 1. Terms of trade The HCC requires that all traders, whether trading as agents or merchants, prepare, publish and make publicly available a document that sets out the general terms and conditions

21

under which they will trade with growers of horticultural produce. The Code also specifies what must be included in a terms of trade document.

3. Dispute resolution

2. Horticulture Produce agreements (HPA)

The Office of the Horticulture Mediation Adviser: • Provides mediators for resolving disputes using the dispute resolution procedure set out in the Code.

The HCC provides that growers and traders may agree to use any dispute resolution procedure they choose.

horticulture produce agreement (eg a report on quality of produce).

A list of horticulture produce assessors are available online at http://www. hortcodema.com.au/assessorlist.html

The ACCC aims to conduct five to ten audits each month nationally. BusiThe HCC requires that a trader and nesses targeted for audits will include grower enter into a written HPA those with a history of past complaints signed by both parties before they and other such intelligence to indicate trade in horticultural propotential breaches of the duce with each other. The Code and/or Act however The key elements of the HCC are: code sets out the minimum the ACCC have the authority requirements for what must • Wholesalers publish their preferred ‘terms of trade’ to audit at random and will be included in a HPA. How• G

rowers and wholesalers use written agreements do so without warning. ever, a HPA can also contain • W

holesalers are clearly identified as either agents or terms that are unique to the So the message is clear, merchants parties’ situation. ensure your records are up • W

holesalers provide written transaction information to date and HPA’s are The ACCC do not provide or to growers in place. endorse template HPA’s and • Independent assessment is available on transactions you should seek professional Want to Know More? advice from your industry as• Low cost mediation is available if disputes arise. sociation and or legal adviser Fresh State will be running if you need help preparing refresher courses shortly.

• Maintains a list of horticulture produce a HPA. For more information please contact assessors who may be called upon by the office on 9689 3233.

HPA Checklist are available online at the parties or a mediator to provide a www.accc.gov.au report on any matter arising under a

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22

issue 07

september 2011

young executive committee:

OF AFFAIRS

Current Young Executive Members: (left to right) Daniel Millis – Mumford Wholesalers Mark Grillo – L atorre’s Fruit & Vegetable Wholesalers Vince Natoli (Chair) – AMV Fresh Lukasz Gorajek – Avanti Fresh Produce Adrian Antonello – Antonello Produce Callum Cormack – Moraitis

New Members:

Young Executive Members are looking for new members who are interested in taking an active role in the market community.

The Young Executives welcome new members onto the committee that are aged 36 years and under.

All Young Executives take an active role on the committee and follow the motto ‘many hands make light work’.

Being a Young Executive is a great opportunity to:

“We welcome potential members to come along, observe and/or participate in our meeting” said Lukasz. “We meet once a month in the Fresh State Board Room and it is a great opportunity to get to know one another and work on great programs and initiatives at the same time”.

1. Engage with other like minded young people.

2. Become more educated on industry activities, attend subsidised courses and workshops (such as leadership programs) and obtain board experience – it is a great platform for Senior Board promotion in years to come!

If you would like to know more about being on the Young Executive Committee have a chat with the current members or contact Lukasz Gorajeck on: 0402 167 749 or: l.gorajek@gmail.com

Marketing Program for Retailers The Young Executive Committee have been finalising their research for their proposed Marketing Program for Retailers in the last couple of months.

They have nearly completed the first draft of their Business Plan and hope to have this program up and running by early 2012.

consumers to their local greengrocer to purchase fresh produce through a comprehensive and specific media campaign.

The aim of this program is to engage the whole supply chain in directing

“There will be continual active management of the program combined with an ongoing campaign plan for seasonal produce” says Lukasz Gorajek from Avanti Fresh Produce who is on the Young Executive Committee and closely involved with the program.

The aim of this program is to engage the whole supply chain in directing consumers to their local greengrocer.

23

young executive programs:

Growing Leaders Growing Leaders 2011 are now halfway through the six-month leadership program that culminates in October 2011 in Canberra.

The vegetable industry participants gathered in July in Melbourne for the second three-day residential and spent time building their skills around conflict management, understanding power and working with media. During the second residential an industry networking dinner was held at the Holiday Inn. Fresh State provided sponsorship for the dinner which was attended by senior government officials, industry leaders and stakeholders and Fresh State.

Growing Leaders have spent three months since the first residential held in Brisbane in April working individually on their businesses and within their industry to further develop and enhance their personal leadership capacity.

“One of the strengths of the Growing Leaders program is the breadth of the industry that is represented by the participants in the group – there is such knowledge growth among the participants as they work on the mission – they learn about the variety and skills across the supply chain simply by being in a group that reflects the diversity of the industry” said Jill Briggs of Rural Training Initiatives – Managers of Growing Leaders, a Horticulture Australia funded and Ausveg supported program.

The 2011 team have also committed to enhancing the vegetable industry through the delivery of a team mission which will be presented to the industry in Canberra in October.

Fresh State is formally connected to the program through generous sponsorship but also through the participation of two participants during the 2010 and 2011 programs – Lukasz Gorajek (2010 Graduate) and Mark Lorenzetto (2011 Participant) have experienced the program first hand and have both individually excelled.

Stuart Grigg and John Roach at the Growing Leaders 2011 Melbourne dinner.

Leadership Program: Mark Lorenzetto from Avanti Fresh Produce is currently participating in the Growing Leaders 2011 – National Vegetable Industry Leadership Program coordinated by Rural Training Initiatives (http://www.ruraltraininginitiatives.com.au/home/).

Fresh State is a proud supporter of this program due to its focus on developing skills that participants can apply at three levels – personal, business and national industry.

The content of the program ensures that participants are exposed to handling conflict, effective communication, efficient meetings, high performance team building, managing change and media.

“This program is specifically targeted towards the vegetable industry which is very insightful from a wholesale perspective” says Mark.

“We get to see a large cross section of people that are involved in the seedling, growing, transport and logistic side of our industry.”

During this course we are involved in a group project that requires us to develop our leadership skills in a range of situations from organising our group activities to public speaking to our peers of the industry and government.

The part that has helped me the most would be the personal leadership training, which involves understanding people’s needs, handling conflict and conflict resolution to name a few. This has helped my business from the prospective that I am able to understand the people in the company and how to achieve more with them.”

Mark is the owner of Avanti Fresh.

24

Two new faces at FSL

fsl staff:

OF AFFAIRS

issue 07

september 2011

The last couple of months has seen two new team members join the Fresh State ranks.

Sally Piper

Communications Officer (Fresh State)

You may well have seen Sally roaming around the market place with her camera by now. Sally is primed with writing articles for the Fresh State of Affairs magazine and contributing to the communications channel of Fresh State.

Sara Wiseman

Customer Liaison Officer of the Melbourne Markets Credit Service (MMCS)

Bringing a wealth of experience to her role, Sara is the new Customer Liaison Officer at the MMCS. Having worked at the National Australia Bank for seven years in corporate banking and the Westpac Bank specialising in small to medium enterprises, Sara has a sound knowledge base of the business structures within the market.

Sara is the first point of call for the Credit Service. “I am currently implementing and will then maintain the new online credit service, provide training and will be the interface between the office and the MMCS users.” said Sara. In addition to this, Sara will manage debt collection and the credit processes of new accounts. “The new online system is a great opportunity for market users to streamline their processes, so I am looking forward to assisting them with this transition”.

Sara will also draw on her business banking skills to assist with cash flow, business strategies and general inquiries for MMCS members.

Riding horses is Sara’s passion when she is not at the market together with spending quality time with her daughter Sienna.

Based in the leafy suburb of Endeavour Hills, Sara is currently undertaking a tree change to Ballarat later this year.

You will see Sara walking around the market so feel free to have a chat or contact her on 03 9687 7333, 0419 372 980 or email at: customerservice@melbmcs.com.au.

“The market is such a vibrant community with heaps of photo opportunities and lots of history” said Sally. “I am really excited about meeting everyone and finding out who’s who in the zoo and all the personalities that make up the market”.

Before joining Fresh State, Sally was the project coordinator for AFFCO (Australian Fresh Fruit Company) coordinating events such as leadership retreats, workshops and tours for the fruit industry and many other communication and project initiatives.

Sally lives in Gisborne with her family and is a keen trail runner and cyclist and loves to keep fit and train in the mountains around Mt Macedon.

It is with this enthusiasm that Sally joins Fresh State. You will no doubt meet her out and about on the market floor looking for photos or stories or just to catch up. And of course if you have any article ideas/suggestions for the magazine please drop her a line at: sallyp@freshstate.com.au or 03 9689 3233.

25

“It is second nature to be passionate about this profession as a half effort just will not suffice.”

Works: S. H. Chin Bros. Pty Ltd - Manager of doing whatever needs to be done to finish the job.

and Richards ill health saw us at the Markets full time.

We were proud to work alongside Richard for as long as we could, learning small, but important details like, “Do just a few lines and do them well” and “Women growers are better than men”.

We find that it is second nature to be passionate about this profession as a half effort just will not suffice.

We continually look for young, enthusiastic growers looking to take up the challenges of the fruit and vegetable industry but we are finding it harder to find these people willing to commit to such unattractive hours.

We are often asked what time we start and end. We say, “We start around 1 and finish at 5”. People almost always reply, “You finish at 5am?. and the answer is always, “No, 5pm”.

amounts of produce that we sell for kindof-a set price to not sure who, at times whenever its most convenient for them.

Then rinse and repeat …

The aspect of my job I like the most is: Every relationship is very raw and very real … And there aren’t inane office arguments like, “Who broke the stapler?”

The qualities I most enjoy about Melbourne Market are:

The thing I dislike the most is:

I am passionate about:

Scratching my head wondering who the hell eats all of these Sweet Potatoes.

That background, nationality or age is irrelevant … We’re all just here for a nice bit of fruit & veg … And that the laughter and raw emotions here are genuine.. You can’t hide your true happiness/frustration when you’re as tired as hell …

The football team I barrack for is:

The pets I have are:

My business associates would say I:

Collingwood with an eye on Collegians in the Amateurs and Heyfield in the Gippsland League.

CC, the female Border Collie who thinks she’s Paris Hilton, two fat cats and three orphaned stowaway green tree frogs that were found in the bananas … (Known as Mister Green 1, 2, and 3).

Am a ****! and a ****! (in an endearing way of course).

Lives: 542 Footscray Road... And then if I’m lucky I get to sleep for 4-5 hours under a tree in Templestowe … That’s how I roll.

Most of my day is spent:

My favourite Melbourne Market moment is: Seeing the pride on my Dad’s face when he saw my brother and I getting the job done and seeing him finally truly relaxing.

In my spare time I enjoy:

The quality I respect most in an employee is:

My first job was:

A “Can-Do” Attitude.

As I have grown older I have learnt: That the only beauty that matters is kindness.

If I described my business to a stranger I would say: My brother and I broker commercial levels of fruit for Australian Farmers who send us inordinate, unconfirmed

Sitting down and taking in some fresh air and knowing I’ve done a good days work .

An unquantifiable amount of time sorting out rotten fruit for Dad who one day said. “Have I ever actually paid you?” But external to fruit it was in a restaurant waiting tables … I do remember thinking... “Wow! I didn’t realise people pay you to work …”

My fondest memory is: Making a Christmas decoration out of foil, string and a ping pong ball with my brother Circa 1981.

The early hours … There isn’t enough paper in this book to print all that is idiotic about this topic …

This industry. So much potential.

So few willing to listen …

When I was a child I wanted to be: A koala in a sturdy looking gum tree.

(Yet to be achieved).

The place in the world I would most like to go is: 542 Footscray Road, opening the doors for the day … at 6am.

The thing a lot of people don’t know about me is: Quite a lot!

My favourite fruit or vegetable is: Pineapples … They taste amazing and for fruit, they have extremely funky hair.

Q & A:

Alby Chin

Our Fruit and Vegetable origins date back to our grandfather A.M Chin who was involved in Fruit and Vegetables dating back to just after World War I with the Company F.A.Chinn Pty Ltd. In 1945, A.M Chin had 3 sons returning from active service and as employment was scarce, began Quong Hoong Wah Pty Ltd. An off-shoot of this was formed when additional sons became involved buying a business named Reagan and Kinney which was renamed S. H. Chin Bros Pty Ltd in 1961.

My dad Richard, worked in the family businesses on a part time basis before becoming full time in the early 1970’s.

He encouraged Nick and I to pursue academic careers where we both attended Monash University.

As fate would have it, the work involved and early hours left little motivation for my older cousins to take up the reins

26

levies:

OF AFFAIRS

issue 07

september 2011

How do industry Industry levies are a compulsory “tax” voted into place by producers of the commodity that they produce and deemed to pay the levy on. There are currently over 30 horticulture commodities with a levy and/or an export charge. The most common include: Almonds

Apples and Pears

Avocado

Bananas

Cherry

Chestnut

Citrus

Custard Apple

Dried Fruits – House Packaging

Dried Vine Fruit

Ginger

Honey

Lychee

Macadamia

Mangoes

Mushrooms, Agaricus

Nashi

Nursery Products Onion

Papaya

Passionfruit

Persimmons

Pineapple

Potato

Rubus

Stone Fruit

Strawberry

Table Grapes

Turf

Producers pay the levies and charges to fund research and development (R&D), marketing and promotion, plant health programs and emergency response activities that benefit industry. In many cases the Australian Government matches the R&D component of levies on a dollar for dollar basis within certain prescribed limits (excluding marketing and promotion).

The producer is usually liable to pay the levy. Where a producer sells their produce via an intermediary such as a first purchaser, wholesaler, buying agent, selling agent or processor then the intermediary is liable to pay the levy on behalf of the producer.

Overall benefits of the compulsory levy system for producers:

Vegetables

(no compulsory levy/charge is payable on asparagus, garlic, herbs (other than fresh culinary shallots and parsley), melons, seed sprouts or tomatoes)

The Australian Chamber is supportive of wholesalers receiving a fee for the education, accounting and remittance of compulsory levies.

Similarly, for most commodities a producer who sells produce by retail sale, ie direct to the public such as at roadside stalls, shed sales, farm gate etc, must submit a levy.

The Australian Chamber is supportive of wholesalers receiving a fee for the education, accounting and remittance of compulsory levies.

Each commodity has a different levy structure and levies payable.

“The Levy is an agreed tax by the production sector and I am sure there have been many benefits from the levies over a long period of time” says John Roach, Executive Director of The Australian Chamber.

In most cases, the levy is collected by the wholesalers and forwarded to the Levies Revenue Service. But it is the responsibility of the producers to ensure that the levy is paid at the first point of sale, regardless of the type of sale – direct or wholesale.

“However, wholesalers are not paid to provide for the collection and forwarding of that money. Given the vast

• G reater resources to invest in R&D and matching Federal Government funding.

• R &D that directly benefits to industry such as Biosecurity programs.

• A bility to attract greater research funding for the industry.

• I ndustry cooperation and resource sharing.

• G reater promotion and marketing spend (no matched funding).

In most cases, the levy is collected wholesalers and forwarded to the Revenue Service.

27

levies

affect you?

Current levy updates: The National Summer Fruits Association has recently campaigned stonefruit growers to vote for a higher levy so the Association can fund more marketing programs for apricots, peaches and plums. The

amount of suppliers and the depth of paperwork required, this is putting a large burden on the wholesalers cost structure in a very cost competitive environment with little or no direct benefit,” John explained.

The collected levies are managed on behalf of levy payers by Horticultural Australia Ltd through a Statutory funding agreement with the Federal Government.

by the Levies

outcome of this vote is expected to be known in late September/October.

of a levy; and the mango industry is also considering changing their levy.

The onion industry has voted to change increase its existing levy; the olive industry has conducted a vote for the introduction

Australia’s watermelon growers are to vote on a national levy to fund essential marketing and some R&D activities.

The Australian Melon Association: The Australian Melon Association is proposing a statutory levy of 1 cent per kilo on all Watermelons sold. Full details about the levy proposal will be mailed to all growers who are registered for the formal ballot. Information is also available on the AMA’s web site, www.melonsaustralia.org. au. The formal ballot is open to every Watermelon grower with results available from 27 September 2011.

Mark Daunt, Chairman of the Association, says the proposed levy would make a big difference to the opportunities available to the marketing of watermelons. “Marketing and promotion are seen as a high priority for watermelons if growth and profits are to be maintained” he said. There has been some confusion about the melon levy and who will be affected, but Mark confirms the levy is only on watermelons and will directly benefit watermelon growers and those along

the supply chain. “More funding for marketing will have direct benefits for the watermelon industry. It will allow greater promotion at consumer level which equates to healthy sales and sustainability”.

All members of AMA are automatically registered for the ballot.

Any grower wanting to register can download a ballot registration form from the Association’s web site at: www.melonsaustralia.org.au or fax: 02 8088 6694.

Want to Know More?

For more information on the levy, contact the ballot process manager, Richard de Vos by email at: devos.avalon@gmail.com or fax: 02 8088 6694.