Another of Tasmania’s iconic agriculture products is under threat.
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Poppy farmers are considering whether it is worth planting crop over winter as industrial negotiations break down between growers and processing companies SunPharma and Tasmanian Alkaloids.
Poppy Growers Tasmania announced on Friday that it did not support the 2018-19 contracts being offered to growers by either company.
The Tasmanian industry was described by PGT president Phillip Loane as being “at a crossroads.”
He said he expected some growers would exit the industry altogether rather than face the financial loss.
Tasmanian Alkaloids is offering growers prices between 2.5 and 5 per cent less than the 2017-18 price for codeine and thebaine respectively, and Sun Pharma cut its thebaine price by 12 per cent.
The details of SunPharma’s contracts offered to farmers is unknown but it is believed to be similar.
Agriculture is arguably the backbone of the Tasmanian economy and poppies have long been a staple crop.
However, market conditions have been tight for the industry, the bulk of which is in Tasmania, due to changes in federal pharmaceutical laws and a declining in demand for opiate products.
This year, due to a drop in world demand the state’s poppy growers planted only about 7500 hectares, down from 13,000ha last season.
On February 1, the federal government ushered in new laws that prohibited the sale of codeine-based medicines over the counter. Tasmanian poppy farmers aired concerns at the time it would lead to a decrease in demand for their product.
With the ability to supply the world’s medicinal poppy needs due to high productivity and ideal growing conditions, Tasmania produces high quality poppies.
Farmers are some of the most under-valued people in the world, not just in Tasmania, but they provide vital product that is the engine room of the economy.
It is hard work, and, in Tasmania, it is often in less-than favourable conditions. Sowing for poppies occurs in winter, with many growers preparing to put the seeds in the ground now.
They deserve to be paid for their hard work and for the contribution they make to the economy.