Ausveg, the industry body representing Australia's vegetable growers, has raised concerns about the increasing regulatory and compliance demands on vegetable producers. According to the organisation, these requirements have become a significant factor in growers considering exiting the industry.
To better understand the scope and impact of these challenges, Ausveg has commissioned Corporate Value Associates (CVA) to produce an independent White Paper titled Horticulture Compliance and Regulation: Reducing the Burden by 2030. The report will examine current regulatory frameworks and propose both short- and long-term strategies to reduce duplication, improve process efficiency, prioritise risk-based compliance, and streamline requirements across jurisdictions.
The latest Industry Sentiment Survey conducted by Ausveg in January 2025 found that more than 30 per cent of respondents were seriously considering leaving the industry within the next 12 months. Increasing compliance obligations, combined with rising input costs and weak price returns, were identified as the leading causes.
The scope of compliance in the sector extends beyond legislation from local, state, and federal governments. It also includes requirements imposed by supply chain partners, service providers, industry codes of conduct, and local authorities.
The White Paper aims to provide a clearer picture of the actual cost of compliance, investigating a range of associated expenses. These include training, human resource management, system implementation, audits, and license and certification fees.
With the vegetable industry supplying 98 per cent of the fresh vegetables consumed in Australia annually, the sector is considered vital to food security and regional economic stability. Ausveg has encouraged policymakers and other stakeholders to engage with the forthcoming findings of the White Paper, which is expected to be released in the second half of 2025.
Ausveg Chief Executive Michael Coote said the project aims to move beyond anecdotal evidence by using data and research to assess the extent of the compliance burden. He noted that while regulations are recognised as necessary for consumer and worker safety, the current volume, cost, and complexity of compliance are becoming increasingly difficult for growers to manage.
One recurring concern is the lack of standardisation and consistency across regulatory bodies, often resulting in multiple overlapping compliance audits and reporting systems.
Coote warned that unless reform is introduced, more vegetable growers may leave the sector. "The need for reform is urgent if we want to slow the rate of growers exiting the industry," he said. "It is time for smarter, not more, regulation."
For more information:
Campbell Cooney
AUSVEG
Tel: +61 (0) 3 9882 0277
Email: [email protected]
www.ausveg.com.au
