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Energy costs first priority for new agri manufacturing alliance

by Jon Condon, 07 March 2018

SPIRALLING energy costs will be the first priority for the newly formed Australian Agricultural Manufacturers Alliance (AAMA), which held its inaugural meeting recently.

The alliance was created to represent the shared interests of agri-sector manufacturers and contribute to recognition, growth and sustainability of the sector.

The first meeting was convened by the Australian Meat Industry Council and included representatives of the Australian Renderers Association, the Australian Sugar Milling Council, the Australian Poultry Industries Association, the Australian Dairy Products Federation, the Stock Feed Manufacturers’ Council, the Australian Cotton Ginners Group and the Australian Oilseeds Federation.

AMIC CEO Patrick Hutchinson

AMIC CEO Patrick Hutchinson said the alliance would help members work together on shared issues and allow them to share ideas, data and learnings.

“While agri manufacturers have been represented within their own subsectors, until now there has been no overarching agri manufacturing group to advance the interests of the broader sector,” he said.

“Agricultural manufacturers directly support 100,000 jobs in Australia, and if you also consider the multiplier effect across the supply chain, it’s more like 300,000 jobs. Our sector is a huge contributor to the national economy and our members are an essential part of the supply chain.  Manufacturing plays a pivotal role as the conduit between raw material and market.”

AAMA has created a list of five key priorities, with energy to be the first focus. Mr Hutchinson introduced the new alliance and discussed its priorities at a meeting last week with Federal Environment and Energy Minister Josh Frydenberg.

“Our members are working with different raw materials, but a lot of our challenges are the same, and energy is absolutely at the head of the list. We look forward to working with industry and government to help find solutions around security in costs, policy certainty, and helping businesses make the most of new generation power sources,” Mr Hutchinson said.

Other prioritised challenges include road infrastructure; regulatory burden; water issues; and terms of trade.

“The alliance structure is still being formalised and ratified but all the groups are enthusiastic about the value the new organisation will deliver and are keen to get to work.”

 

Source: AAMA



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