Spud grower rally will see tractors converge on Deloraine

Potato growers from around the state will convoy in tractors, trucks and other machinery to Deloraine tomorrow to protest the reduction in price offered by processor Simplot and turn the spotlight on multinational food giants importing foreign produce.

The rally, to be held at 1.30pm at the Deloraine Community Complex at 6 Alveston Drive, is expected to see more than 35 machines on site and more than 100 growers who are frustrated, disappointed and angry, according to Simplot Potato Growers Committee chair Leigh Elphinstone.

He said Simplot has revised its offer from $30 per tonne to $20 per tonne and added bruise-free incentives to help boost the quality recovered from spud stores.

However, the offer has “not gone down well”.

“It doesn’t account for the rise in costs growers have to deal with so it’s still a $40-$50 a tonne reduction from last year. For a $3000 contract you’re talking a $120,000 reduced income - it’s quite significant,” he said.

“The frustration comes back to the loss of the gross margin model we had in place that we all had a strong commitment to and this allowed growers to have faith to invest in new machinery in the industry - the same machinery that will be a part of the rally.

“These cuts will put some growers at breaking point.”

TasFarmers CEO Nathan Calman said the mood of farmers has shifted from concern to outright anger.

“Simplot is indifferent at a global level. They don’t seem to care. They want to drive down the price they pay for Tasmanian potatoes to match what they can source from India or China,” Mr Calman said.

“They are seeking to decrease the per-tonne payment to farmers at the very moment production costs in Australia are skyrocketing.”

“The more produce that comes from overseas, the more pressure is placed on local producers. That ultimately decreases the volume and price for Tasmanian growers, and creates a threat to the nation’s food security.

“In 2024, more than 218,000 tonnes of frozen cooked potatoes were imported into Australia, a 25 percent increase on 2023 levels, but with only a 3 percent increase in total value. The result is a flood of cheap, overseas products of unknown quality entering the market, with no apparent reduction in shelf prices for consumers.”

Mr Calman said that the frustration among farmers and consumers alike is growing as more imported potatoes arrive by stealth. 

“While the retail price of fries continues to climb, with a large serve at McDonald’s now $5, Tasmanian farmers receive just 11 cents for the potatoes that go into them. Farmers are pressured to grow less and sell for less, while consumers pay more.”

“We cannot allow the viability of our agriculture to be threatened by cheap imports brought in simply to boost corporate profits.”

“I would urge consumers to choose local when purchasing frozen potato products, and show their support for our farmers.”

For farmers, the rally is both symbolic and practical. Driving their tractors into Deloraine is a way of showing the public the financial pressures they face; from the cost of equipment, to employing workers, to contributing to rural communities.

Mr Elphinstone said that farmers are pretty smart, and they’re already trying to do everything as efficiently as possible.

“We don’t want to increase our margin, just maintain a minimum so we can do what we do best.”

Early potatoes are already going into the ground and the planting season will ramp up over the next few weeks.

Farmers are yet to be offered a contract from Simplot and will have to make the tough decision whether to sign or not based on how negotiations pan out.