Kim Carr (Victoria, Australian Labor Party, Minister for Innovation, Industry, Science and Research) Share this | Hansard source

I thank Senator Wortley for her question. I am aware of some misleading reports circulating about our food-processing sector. Some reports have suggested that Australia will be a net importer of food. Today’s report stems from the Australian Food and Grocery Council’s 2010 State of the Industry report, a document that says Australia is a net importer by value of food and grocery products. Some people might think that ‘grocery products’ just means ‘food’. It does not; it includes soap, toothpaste, nappies and other household items. The report actually says that the grocery sector saw real growth of 3.2 per cent in 2006-07 and 2007-08, of which medical and pharmaceutical products made up 48.6 per cent of total turnover.

The Food and Grocery Council report does not take into account food commodities not purchased directly by consumers—such as wheat. The report shows that in the food and beverage category we are in fact a net exporter of food to the tune of some $6 billion. The picture gets clearer when you look at other commodities. In the period of 2009-10 Australia exported $24 billion worth of food products. Food imports in the same year were worth $10 billion. We should be proud of the fact that this is a country that produces 1.1 per cent of the world’s total food. But when you look at the amount traded, we produce three per cent of the total of food traded in the world. No-one is denying that there are serious challenges facing the food industry, but there are enormous opportunities— (Time expired)