Pineapple prices fall with contract changes
Australia
Monday 27 April 2009
North Queensland pineapple growers are reporting changes to supply contracts with Golden Circle since Heinz Australia took over in December.
South Mackay grower John Zelanka says changes to supply agreements have already influenced fruit prices. "Since the cannery has restructured and has been sold out to Heinz, the cannery itself has actually cut back on their quota," he says.
"The result is that a lot of extra fruit has hit the fresh fruit market, so the price has dropped quite considerably to the point where the fresh fruit price at the moment would not cover your expenses."
Heinz Australia say it is committed to sourcing Golden Circle pineapples from Australian growers. Corporate affairs manager Jessica Ramsden explains that changes to supply contracts are part of a plan to make Australian growers more competitive.
"Golden Circle is absolutely committed to sourcing pineapples from Queensland growers," she says.
"And that's why we are working with the industry, to make them more efficient and more robust, in order to compete with international imports."