Bega seeks up to 30% more milk from Queensland dairy farmers
Bega Group wants Atherton Tablelands dairy deliveries to increase from 30 million to 35 or 40 million litres.
One of Australia's largest dairy processors wants Far North Queensland farmers to make more milk. Bega wants to increase deliveries to its Malanda factory by 20 to 30 per cent.
The company currently gets about 30 million litres a year from Atherton Tablelands farms. Bega hopes to reach 35 to 40 million litres.
Chief executive Pete Findlay said the company brings in 1 to 2 million litres a year from Victoria. This happens when seasonal issues hit the local supply.
Over four years, Bega has raised payments to farmers and added production incentives. A dairy group welcomed the request.
But they said prices need to rise by at least 10 cents a litre for bigger production. Bega is also building a new cold storage site in Cairns next year.
It will hold about 50 per cent more milk than the current Malanda facility.
- 30 million litres yearly
- Current supply
- 35 to 40 million litres
- Target supply
- 20 to 30 per cent
- Requested increase
- 10 cents per litre
- Minimum price increase sought
Why it mattersExpanding local milk production strengthens the regional dairy industry. It supports new farmers. It also reduces transport costs from interstate suppliers.
AustraliaQueensland dairy farmers now have clear demand signals from a major processor, which could encourage investment and new entrants to the industry in a region struggling against cheaper interstate competition.
✓ Claims checked against the source. checked 2 h ago
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