Australian pork industry inquiry 18 Oct 2007

Australian Pork Limited's CEO, Andrew Spencer, commented in a press release today that record import levels from Denmark, Canada and the US are squeezing prices of local producers. This coupled with the rising grain costs, as a result of the drought, are making it difficult for the industry to operate.

Imported pigmeat
"Australian consumers would be horrified to learn that approximately 70% of their ham, bacon and smallgoods originate from imported pig meat," he said.

Emily Mackintosh, Communications Manager for Australian Pork, commented that "losses were amounting to AUD$4m (US$3.5m) per week. The cost of producing pigmeat has risen to AUD$3 (US$2.7) per kilo. However, farmers are only receiving AUD$2.30 (US$2) at the farm gate."

The Commission has been asked to report back within two months (by December 14) as to whether the situation is so grave to warrant tariff protection.

• Australian Pork Limited

• Australian Productivity Commission

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