Doorstop Interview

110 Wright Street

East Devonport, Tasmania

Wednesday, 29 June 2005

4.30 pm

SUBJECTS: Potato Growers

JOURNALIST:

How uncompetitive are Australian farmers compared to the rest of the world?

TREASURER:

Well I don’t think they are uncompetitive at all. I think Australian

farmers are very competitive. I think they have got state of the art investment,

I think they are highly skilled, I think they produce clean and fresh product

and I think they produce it at very good prices.

JOURNALIST:

Well what would you say to McDonalds then, it has obviously dumped them for

New Zealand?

TREASURER:

Well I don’t know what McDonalds side of the story is and I would be

very interested to find out. I have heard the side of the story from the potato

growers here and I was very interested to hear it and I think the next thing

would be to ask McDonalds what its side of the story is.

JOURNALIST:

Did you issue a challenge to McDonalds this morning on radio saying that they

would be best to source 100 per cent of their produce from Australia?

TREASURER:

Well I would say to McDonalds that when Australians buy from McDonalds they

would be much more reassured if they knew they were buying Australian produce

and I think McDonalds could make that a good selling point. And years ago it

used to. Years ago it used to boast that its French fries were coming out of

Tasmania and I think Australians like that and I think they feel much more comfortable

buying that produce if they know that it is a competitively sourced good product

coming out of the clean growers of Tasmania. So, I would say to McDonalds if

it can give Australian consumers that kind of reassurance I think it would be

very much in McDonalds interests.

JOURNALIST:

What would you say to these farmers, I mean this is their livelihood that

is in threat?

TREASURER:

Well, what I would say to the farmers is that obviously they have good products,

they have good businesses, they need to be given a fair go, they need good labelling

laws, I have taken on board the matters they have put to me, we are going to

have another discussion, it was a very useful and very fruitful discussion and

I enjoyed the opportunity to hear it very much.

JOURNALIST:

Can the Federal Government tell or encourage McDonalds to store local produce?

TREASURER:

No we don’t tell businesses how they have to run, it is a free market

economy…

JOURNALIST:

Are you moving into dangerous waters here then?

TREASURER:

…the Government doesn’t run these businesses but I can make the

observation that I think for the Australian consumer, the Australian consumer

knows that Australian product is good, clean product and I think the Australian

consumer would feel very reassured if it knew that the product was coming from

Australia.

JOURNALIST:

How is the Government, I mean early days yet, but how is the Government going

to change the mindset of these corporate heavyweights?

TREASURER:

Well look, I think these issues have got a fair way to run, I have had a very

useful discussion with the growers today as I said, now it is an opportunity

for the other side to put its case, we’ll listen to what it is and if

the Government can assist the growers of Australia to be profitable, successful

enterprises we will do that. Thanks.