Potato producers need fair freight arrangements following McCain’s closure

A fair compromise on freight arrangements with McCain’s could make the difference if potato producers in South Australia’s South-East are to survive, Senator for South Australia Anne Ruston said today.

Senator Ruston called on McCain’s to continue to support local potato producers following the announced closure of the company’s facility at Penola.

“McCain’s and local producers have enjoyed a good working relationship for many years and I hope this continues,” she said.

“With the closure of McCain’s facility at Penola before the end of the year, all locally produced potatoes will have to be transported to Ballarat.

“The company has previously worked with local producers and borne some of the freight costs. Now that all potatoes have to go interstate, I hope McCain’s will consider how this could impact on local growers’ bottom lines.

“Local producers are already on very tight margins and with this year’s season underway, growers contracted to McCain’s could find themselves losing money unless the company bears some of the additional freight cost resulting from its closure of the facility at Penola.

“This would demonstrate the company’s goodwill – which it has had with local producers for many years – and go some way to mitigating the immediate impact on the South-East potato industry of McCain’s decision.”