Katy Gallagher (ACT, Australian Labor Party) Share this | Hansard source

Senator Hanson's motion is factually incorrect. The Senate committee recommended that a sugar code be developed with appropriate stakeholder consultations, and this did not occur. The exact wording of the committee recommendation is:

The committee recommends the development and implementation of a mandatory sugar industry Code of Conduct, acknowledging that, provided appropriate stakeholder consultation is undertaken, the work of the Sugar Marketing Code of Conduct Taskforce may provide a foundation upon which a Code of Conduct may be established.

There can be no doubt that the current code was a political fix and was imposed without proper thought or consultation or any assessment of the potential adverse effect on investment or jobs. Labor believes there is a case for a properly and responsibly developed code of conduct that addresses any market power imbalance between growers and millers. The current code is one that intervenes in commercial contracts and risks driving investment away, which will be bad news for millers and growers alike.