NO.075

JOINT MEDIA RELEASE

PRODUCTIVITY COMMISSION TO INQUIRE INTO PIGMEAT INDUSTRY

The Treasurer, Peter Costello, and Minister for Agriculture, Fisheries

and Forestry, Warren Truss, have announced that the Productivity Commission

will conduct an inquiry into Australia’s pig meat industry.

“The Government understands the pork industry’s concerns about

the current economic difficulties being experienced by producers as a result

of a combination of factors, including the drought, increasing import volumes,

a higher Australian dollar and lower domestic prices,” Mr Truss said.

“The Government is, of course, concerned about the current economic

situation facing the industry – particularly as it relates to regional employment

and the need to ensure a sustainable and vibrant Australian pork industry.”

“The Government and industry have consulted extensively on these

issues over the last several months, and one result of these meetings is

the introduction of the Productivity Commission inquiry.” Mr Truss

stated. “The Government has also announced, in May of this year, a

$2 million initiative to capture global market opportunities for Australian

pork by increasing its competitiveness across the Australian pork industry

supply chain. This followed work by the joint industry-government working

group established in February to consider the industry situation and to

examine strategies for the profitable development of the industry into the

future.”

Mr Costello said “The inquiry, to be completed within 5 months,

will look at issues such as competitiveness and profitability, as well as

the pig meat industry’s future prospects.”

“The inquiry will investigate the pigmeat industry’s current

situation and outlook, and whether there is a need for any additional government

and industry measures to enhance the industry’s competitiveness.”

The Productivity Commission will shortly invite expressions of interest

from anyone wanting to participate in the review. The Ministers encourage

all interested parties to make submissions to the Commission.

People who want to register their interest in the inquiry will find details

on the Productivity Commission website at: www.pc.gov.au.

The terms of reference for the inquiry are available from the Productivity

Commission website.

CANBERRA

31 August 2004

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