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Australian Food and Grocery Council CEO Tanya Barden says with the food manufacturing moving offshore in recent decades the industry faces “real challenges” which require confrontation to see stronger growth.
“The challenges for all manufacturing is quite different from the food and grocery sector,” she said.
“Over the last decade you can see that input and output prices really track alongside each other and, over time, you expect that rising costs will be passed through into final product prices.
“The challenge with food and grocery manufacturing is that over the last decade we’ve seen a 50 per cent
increase in input prices but output, or wholesale selling prices, have only risen by about 25 per cent.
“That’s really quite unique for food and grocery manufacturing.”
Ms Barden said those increases came from energy to commodity and freight prices.
Sky News Business Editor Ross Greenwood pointed out that imported products come at “very cheap prices” – cre
The Australian economy grew 1.8 per cent in the first quarter of 2021 making total growth 1.1 per cent for the entire year.
Sky News Business Editor Ross Greenwood said this growth in GDP meant the economy was stronger now than it was before the pandemic and forecasts for this rise were weaker than revealed statistics.
“This quarter it’s grown by 1.8 per cent but the forecast was just 1.5 per cent, for the year on year at the end of December it was backwards over the course of the year by 1.1 per cent, now it’s up by 1.1 per cent from March to March,” he told Sky News.
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