AUSTRALIA’S top management is under pressure as some of its key members struggle to understand the challenges ahead.
Key players in the logistics industry are under pressure to take swift action as the Federal Government struggles to find a solution to a crisis in the food supply chain.
“We’re going to have to have some serious, immediate action on the food sector, and the Government’s going to need to do a lot of business with us,” said Andrew Mitchell, chief executive of the National Farmers Federation (NFF).
“There is a real problem in the supply chain, and we’re going the wrong way.”
Key players including Andrew Mitchell (right) of the NFF, who is trying to bring more farm workers onto Australia’s roads, and Andrew Tulloch (left) of NFU, who has taken a more positive approach to working with the Government, are under intense pressure as they face a growing supply chain crisis.
Key points:Andrew Mitchell of the NFU is pushing the Government to consider new rules to tackle the food chain supply chainThe Australian Wheat Board is also looking to boost its supply chainManagement groups have been working closely with the Department of Industry to address the challenges and the importance of the food industry, but it is not clear if there is a plan to put more pressure on them.
“If we’re not getting the right people and we aren’t getting the people we need to have access to the right supplies, then we’re just going to see the system collapse,” said Mr Mitchell.
“It’s just going be too much.
We’ve had enough of the system collapsing in the past two weeks.
We need to make sure that we get some of the resources we need and we need them now.”
What you need now:Why are some farmworkers on the move?
A major shakeup is expected as the Government tries to overhaul its farm workforce and get the supply chains up and running again.
The Federal Government is trying a number of things, including giving the Federal Agriculture Minister the power to appoint a deputy minister for agriculture and trade to help manage the supply of commodities and services.
But the move comes with the potential to bring a major shake-up to the industry and potentially force the farmers who employ them to move.
“When the Deputy Minister comes in, he has the responsibility of managing the supply systems and managing supply chains and that’s very difficult,” said Paul MacGregor, executive director of the Australian Rural Trade Union (ARU).
“That’s why the Minister’s Deputy Minister is responsible for managing the food system.
It’s going in that direction.
There’s no one in that role who’s going out there and saying, ‘We’re doing this’.”
What we need now is to understand what the impact of that change is going to be on the industry.
“What is the Australian Wheat board doing to address issues around supply chain management?
The Federal Wheat Board (FWH) is looking to raise up to $300 million through a range of initiatives, including:A new CEO to lead the company from an outside managerThe appointment of a senior executive to oversee the business.
The creation of a new company and a new chief executive.
It has also said it will seek a number to be paid through the end of 2019.
However, it remains to be seen whether the board will be able to attract enough cash to fund its efforts.
What are the challenges facing the supply sector?
Farm workers are being asked to leave the land and their jobs to go to work in the big cities and the suburbs.”
A lot of these people are moving into the suburbs to look for work and for a decent wage,” Mr Mitchell said.”
The majority of them are moving from the countryside, and that has the effect of displacing many of the local people.
“There are also people who have been unemployed for a long time who are not getting paid, and they are also leaving their family in rural communities.”
There are a lot more people moving into these rural communities than they were before.
“How can the industry tackle the problem?
Some supply chain executives are concerned that the Government is not making enough of an effort to address their concerns.
The National Farmers’ Federation (NFU) says it is “extremely concerned” about the lack of support for the supply industry from the Government.”
Some of our members are struggling to understand why we’re dealing with this,” said NFU president Andrew Tully.”
They think that the government’s making no effort to solve the problem, but they’re not.