The secure supply of critical farming inputs such as fuel, fertilisers and chemicals are vital to ensuring long-term food security and requires urgent government action to prevent future disruption, according to the industry representative body GrainGrowers.
In its submission to the House Standing Committee on Agriculture’s Inquiry into Food Security in Australia, GrainGrowers said recent climate-related disasters and COVID-19 had demonstrated the vulnerability of agricultural production supply chains.
GrainGrowers Chair Rhys Turton said while the previous focus on transportation issues is important, the disruption to supply chains for critical farming inputs exposes the potential damage to longer-term food security in Australia.
“With Australia exporting approximately 70 percent of its agricultural production, we have historically been considered one of the most food-secure countries in the world. Even during extended periods of drought, domestic grain production has exceeded domestic demand.”
“Our ability to maintain agricultural production is however increasingly impacted by a range of factors that require government attention.”
Mr Turton said the GrainGrowers submission detailed several risk factors, including fuel security, access to chemicals and fertiliser, biosecurity, climate change and road and rail infrastructure.
“While consumers may take fuel for granted, Australia has just two refineries, imports nearly 91 percent of our supplies and has just 54 days of fuel available. If supply is impacted during harvest - as in 2012 with the breakdown of the Geelong Shell Refinery – growers will struggle to secure fuel as agricultural is not guaranteed access as an essential user under the Liquid Fuel Emergency Act.”
“If we are serious about food security, Australia needs reliable fuel reserves, and agriculture needs to be recognised as an essential user.”
He said the highly concentrated supply chain for chemicals and fertiliser was also of concern.
“Chemicals and fertilisers impact crop yield and quality, and our preference would be to explore domestic production to ensure access and supply. The government has recently shown its willingness to act on behalf of the transport industry by promoting the domestic manufacture of a diesel exhaust additive (AdBlue). We believe there is merit in acting similarly for chemicals and fertilisers.”
“Domestic production will provide local employment opportunities, shorten the supply chain and reduce risks associated with supply chain disruptions. The application of green technologies in the manufacturing process, combined with a reduction in transportation, would also provide additional benefits through the reduction of emissions,” he said.
The full submission is available from the GrainGrowers website.