Potato growers in South Australia have reached a price deal with McCain Foods, in which the volatility of fuel and fertilizer costs is handled more satisfactory. McCain Negotiating Committee Chair for the South East Potato Growers Association Tim Heysen said they negotiated a reasonable base price rise as well as an additional levy arrangement.
The system means the processor will pay a price that reflects changing fuel and fertilizer prices. The price adjustment is based off any changes to those input costs from 2020 to now. Heysen said that meant if the price of fuel and fertilizer rose, the payment to growers would too. He said the payment would be in addition to the base price growers were paid.