The food and grocery manufacturing sector pays wages and salaries of $13.56 billion.
The industry’s workforce accounts for about 3 per cent of the population.
The food and grocery manufacturing industry consists of 30,104 businesses.
The industry provides around 24 million nutritious, affordable meals to Australians every day.
312,000 Australians are employed in the food, beverage and manufacturing industries, including half in rural and regional areas.
Australia’s $108 billion food and grocery manufacturing industry is the nation’s largest manufacturing sector.
Industry spends on average 0.5 per cent of turn-over on R&D – about $368 million a year.
AFGC is the leading national organisation representing Australia’s $108 billion food, drink and grocery manufacturing industry.Join AFGCThe industry employs more than 312000 people across Australia including half in rural and regional areas.
Welcome to the latest edition of One Voice e-newsletter for AFGC members. If you have any news items or events you would like published, please contact
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> Save the date - AFGC Highlands 2011- 25-27 May - Sebel Heritage Yarra Valley hotel in Victoria. More details available soon. > Annual Industry Leaders Conference and Dinner - October 19 in Canberra. See the highlights and watch a YouTube video from the 2010 event in Canberra, Click here >>
Food and grocery strategy thrust into national spotlight AFGC’s push for a National Food and Grocery Agenda received a major boost after the issue was discussed by both Houses of Federal Parliament following the launch of the State of the Industry 2010 report on October 27 at the Annual AFGC Industry Leaders Conference. In a major win and profile-boost for industry, the challenges facing Australia’s $102 billion food and grocery manufacturing sector were acknowledged in detail by Industry Minister Kim Carr, Water Minister Tony Burke, Independent Bob Katter and a range of senior political leaders. Senator Carr said in the Chamber: "No one is denying that there are serious challenges facing the food industry, but there are enormous opportunities" Extensive media coverage – including nearly 2000 radio mentions in 48 hours – about Australia having a net trade deficit in food and grocery ignited the debate which thrust AFGC into the national spotlight. Read full story and more details about the Annual Leaders Conference section below >>.
FSANZ releases BPA study showing no health risks A new FSANZ study - released on November 10 - of Bisphenol A (BPA) levels in food and beverages in Australia confirms previous conclusions that there are no health risks to consumers from consuming packaged food and beverages. Only a limited number of products were found with detected levels of BPA and no detectable levels of BPA were found in infant formula, the study found. These results provide additional assurance that BPA concentrations in Australian food do not pose a health risk to consumers. Read the FSANZ report here >>
Blewett labelling review almost complete Following an extensive public consultation, the comprehensive Review of Food Labelling Law and Policy is now in the final stages of completion. The review's panel, chaired by Dr Neal Blewett AC, has undergone a thorough evaluation of information gathered during the review process, including the views and ideas submitted by stakeholders such as AFGC. The Review panel will make a presentation to the Food Ministerial Council at its meeting on December 3. COAG will decide on the public release of the report after it receives the final Report in first half of 2011. AFGC made a submission to the review, which you can Read here >>
Major AFGC partnership to overcome skills shortage AFGC urges members to support a landmark new partnership between The University of Queensland (UQ) and AFGC to address the growing need for more food science and technology graduates in Australia. Under the industry-first, three-year agreement worth several hundred thousands dollars, UQ will partner with AFGC to help overcome a national skills shortage in food science and technology roles following the appointment of the AFGC Chair in Food Science and Technology early next year. Read more >>
Healthy Weight Commitment executive visits Australia Executive Director of the Healthy Weight Commitment Foundation Lisa Gable visited Australia last week to share the success and outcomes of the US preventative health initiative with AFGC members and briefed key political staff. During her visit hosted by AFGC, Ms Gable met with Federal Minister for Health’s Chief of Staff Angela Pratt and Preventative Health Adviser Angela Koutoulas to brief them on the Healthy Weight Commitment. Ms Gable also attended an AFGC members meeting at Kellogg's in Sydney as well as a teleconference with the Healthier Australia Commitment working group, AFGC Board members and nominees.
New AFGC Committee chairs Two new AFGC Committee chairs have been appointed. The Sustainable Practices Committee will be chaired by Sebastian Lazell from Unilever while the HNSA Committee will be chaired by Andrew Reeves from Lion Nathan National Foods (LNNF). The Supply Chain Committee chair remains Paul Thompson from SCA Hygiene Australasia and Tim Hart from Sugar Australia continues as Corporate Affairs chair.
HFFS food tax ruled out by Government The Federal Government ruled out a tax on high fat, sugar and salt (HFSS) food on October 26 as part of its preventative health strategy. Prime Minister Julia Gillard gave the assurance - which is a major win for industry - after outlining the new National Preventative Health Agency, which will be established in early 2011 if Government legislation is passed in Parliament. Read more >> AFGC Chief Executive Kate Carnell labels tax on HFFS foods as regressive, Click here>>
AFGC appoints industry leader as new Chairman The Board of the Australian Food and Grocery Council (AFGC) has welcomed the election of John Doumani as the new chair of AFGC, the leading and united voice of Australia’s $102 billion food and grocery manufacturing sector. John Doumani, Managing Director of consumer dairy company, Fonterra Australia/New Zealand, takes up the position of Chair following the retirement of former Chairman Geoff Starr at the AGM on October 26. Geoff served on AFGC’s Board for nearly five years, with three as Chair. Read more >> To read AFGC's Annual Report 2009-10, which highlights AFGC's successes and achievements Click here >>
Experienced new face joins AFGC AFGC has appointed David Hall to a new position as Director of Business Development. David has significant executive level food and grocery industry experience gained in Australia and overseas with companies including Kellogg's, Goodman Fielder, Boots Healthcare, Dairy Farmers and National Foods. David will be working with existing and potential members to ensure the full benefits of AFGC membership are realised and also working with sponsors to maximise sponsorship value. David can be contacted on
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or (02) 6273 1466.
AFGC attends QSR menu labelling launch On behalf of AFGC's Quick Service Restaurant (QSR) Forum, AFGC Chief Executive Kate Carnell attended the launch of the NSW Government's new regulations for major fast food retailers to display kilojoule information under new labelling laws coming into effect on February 1. The new regulations mean QSRs with more than 20 stores in NSW will be required to clearly and legibly highlight the kilojoule content on their menu board as well as prominently featuring the average adult daily energy intake of 8700kj. Ms Carnell said: “Industry supports any initiative that ensures consumers and their families have the information they need to make informed choices.” Read more>>
FSANZ survey finds furans in Coffee On Wednesday 10 November FSANZ will also release their latest survey on Coffee, which specifically identifies the presence of furans. FSANZ advised that furan levels tend to be highest roasted, freshly ground coffee espresso coffee and lowest in instant coffee, consistent with findings reported by EFSA in August. Furans are of concern because they have been identified as a carcinogen, but insufficient work has been undertaken to identify to what degree it represents a risk to humans and what would be an acceptable daily intake.
FSANZ advised that mitigation options should be investigated, but to date research on furans has NOT identified any consistently effective solutions for decreasing furans in foods. The report will be available from the FSANZ website http://www.foodstandards.gov.au/ after 10 November 2010 Chinese Pine nuts leave bitter taste AFGC has been advised of a newly-emerging issue regarding pine nuts called ‘Pine Mouth Syndrome’. This is characterised by a persistent bitter and metallic taste after consumption of pine nuts that can last from 1-3 days up to 2 weeks for some sufferers. Two species of nuts originating from Asia that have been associated with Pine Mouth being Chinese white pine (Pinus armandii) and Chinese red pine (Pinus tabuliforms). As a result of recent consumer complaints, members are advised to undertake organoleptic testing of imported pine nuts, specifically in relation to these species.
Canadian labelling cooperation Food manufacturers have joined forces with the Canadian government on a campaign aimed at helping consumers understand nutrition labels on food products. Read more >>
ECRA launches new website ECRA is the only industry body that brings together suppliers, retailers and wholesalers to promote industry-wide initiatives in the value chain that deliver benefits to the industry and the shopper. Membership to ECRA is complimentary with AFGC membership. The new user friendly website provides detail on the key focus areas between retailers and suppliers of on-shelf availability, loss prevention (shrink), operational standards and a broad range of industry standards and guides. Visit: www.ecraustralasia.org.au
Brisbane International Airport "flying high" with new recycling program Through a partnership between Brisbane Airport Corporation, the Australian Food and Grocery Council's Packaging Stewardship Forum (PSF) and the Queensland Department of Environment and Resource Management, new recycling systems have been introduced to the public areas of the Brisbane International Airport Terminal. Each bin carries PSF's "Do the Right Thing, Use the Right Bin" message, a call to action now being used nationally to encourage people to deposit their plastic and glass bottles and aluminum cans in the right bin for recycling. Learn more about the work of AFGC's Packaging Stewardship Forum here >> Caption(L to R): Kate Jones MP, Minister for Climate Change and Sustainability, and Julieanne Alroe, Brisbane Airport Corporation CEO.
ANNUAL INDUSTRY LEADERS' FORUM
Successful Annual AFGC Industry Leaders' Conference and Foodbank Awards Media, government, the public and industry leaders were actively engaged with the AFGC Industry Leaders' Forum on 27 October at The Realm Hotel in Canberra. Drawing the most attention was the launch of AFGC's second annual State of the Industry 2010 report, which found Australia's $102 billion food and grocery manufacturing sector was now a net importer of food and groceries. Read more details below:
AFGC Industry Leaders' Conference Dinner and Foodbank Awards The gala dinner for the AFGC Industry Leaders' Conference, held at the National Museum of Australia, was a beautiful event and important occasion for industry leaders to network and also learn about the vital work of Foodbank Australia. The annual Foodbank Awards recognise the food and grocery industry's commitment to addressing the hidden issue of hunger in Australia. Foodbank acknowledged some of the most well known companies in Australia, including Rinoldi, Kraft and Smith's, for their exceptional contribution to hunger relief efforts. Read more >>
ECRA CONFERENCE
Promoting Efficiently and Effectively to the Shopper 140 delegates attended the second annual Efficient Consumer Response Australasia (ECRA) Conference held at the Hilton on the Park Hotel in Melbourne from 21-22 October. The conference themed, “Promoting Efficiently and Effectively to the Shopper”, encapsulated a range of topics including an investigation of the promotional landscape in Australasia and covered a variety of topics from both global and local, retailer and supplier perspectives. The ECRA Board thanks all speakers and organisers, and particularly to the delegates for making this year’s conference a success. ECRA looks forward to continuing to fulfil its role as the only industry body that brings together suppliers, retailers and wholesalers to promote industry-wide initiatives in the value chain that deliver benefits to the industry and the shopper.
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MEMBER ACTION & SUBMISSIONS
Winning in January – Retailers commit to measure 2011 performance Retailers Coles, Metcash and Woolworths have again committed to tracking their service levels in stores this Summer as part of the Winning in January campaign. Retailers will report weeks 51 and 52 of 2010 and weeks 1 to 4 in 2011. ECRA will report the outcomes in early in 2011. In 2009/2010, industry improved the level that stores could receive the stock ordered during the period encompassing Christmas, New Year and January by about 4-5 per cent. Click here>> for Winning in January documentation.
New sustainability partnership with Victorian Government A landmark new partnership to improve the sustainability of Australia’s $102 billion food and grocery manufacturing industry in Victoria has been signed between the Victorian Government and AFGC. Under the innovative Sustainability Covenant, Environment Protection Authority (EPA) Victoria, Sustainability Victoria and AFGC will commit up to $500,000 over three years to support food and grocery manufacturers in Victoria to produce food and grocery products more sustainably by reducing water use, energy use and waste production. Read more >>
EVENTS AND SPONSORSHIPS
Food and Grocery Manufacturing - GST Update 29 November, Sydney and 1 December, Melbourne PriceWaterHouse Coopers (PwC) and AFGC invite members to a GST briefing with updates on Australian and New Zealand GST Developments relevant to the food and grocery manufacturing industry. Attendees will learn about a number of key changes including crucial updates on the evolving GST-free food classifications. For more information visit AFGC website / Members Centre / Member Events. Communicating Carbon to Customers: Introducing Australia's New Carbon Reduction Label 5 November, Melbourne Join the Carbon Innovators Network to learn how your business can communicate its carbon reduction commitment to customers, through Planet Ark and the Carbon Trust UK's new Australian Carbon Reduction Label. Hear from representatives from Aldi, the New Zealand Wine Company and Dyson about their experiences, motivations and challenges as the first businesses taking part in Australia. For more information about this free event, contact Kate McCready at EPA on 03 9695 2597. Reminder - Free GRI Food Sector training for AFGC Members 10 - 11 November, Melbourne Members are invited to attend a free two day training program co-hosted by the AFGC and Dairy Australia, presented by Net Balance. The program is tailored to focus on the food sector and growing reporting requirements. Participants will receive an accreditation certificate from GRI after completing the course. For course details and content Click here>>
Demand & Supply Planning Networking Group (DSPNG) and Transport and Distribution Networking Group (TDNG) 11 November, Melbourne The DSPNG and TDNG meet five times each year and provide a great opportunity to AFGC members to network and discuss matters of interest in Supply Chain with peers. All AFGC full-members are invited to attend these meetings. To register your interest, contact
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.
Dupont Innovation Awards - Call for Entries DuPont is again recognising and rewarding innovation in industry, science, the environment and agriculture with its Australia New Zealand Innovation Awards. Since their launch in 2004, the awards have showcased cutting-edge innovations from a range of industries, many of which have gone on to achieve global commercial success. Please enter before 16 December: www.dupontinnovationawards.com
Baker IDI Pespectives 14 December 2010 AFGC's Chief Executive Kate Carnell will join Jacqi Deighan and Prof. Boyd Swinburn on the speakers' panel moderated by Prof Peter Clifton for the Baker IDI Perspectives event, "Who Cares What We Eat?". RSVP is essential for this free event. Learn more >> Australian Logistics Council (ALC) Annual Forum 21 - 22 February 2011, Melbourne Freight Networks for the Future is the focus of the 2011 ALC forum targeting senior leaders of the transport and logistics industry. Read more >>
INDUSTRY NEWS
Heinz - A double winner! Heinz Wagga Wagga was officially congratulated by WorkCover NSW for their impressive safety record after reaching one year without a single recordable injury, putting the plant's safety record in the top 5 per cent of all Heinz facilities across the world. In addition to their safety record, Heinz was congratulated in another venue for excellence in packaging. Their Golden Circle brand was awarded Best in Show at the annual Australian Packaging Awards. Judges commented that the Golden Circle entry demonstrated excellence in functionality, aesthetics and innovation. Congratulations Heinz! Read more >>
GS1 Global releases data Quality Framework (DQF) The Data Quality Framework (DQF) provides an industry-developed best practices guide for the improvement of data quality and allows companies to better leverage their data quality programmes and to ensure a continuously-improving cycle for the generation of master data. It details the crucial processes and capabilities that help organisations improve their data quality and maintain a sustainable good quality data output. Read more >>
SA food production worth $3.5 Billion (SA) The South Australian food industry has achieved new records for gross revenue and the total value of production. Agriculture and Food Minister said new figures show the sector was worth $3.5 billion in 2009-10, up seven percent to a new record high. Read more >>
UK reveals consumers' use of nutrition information on labelling A study has been published on consumers’ use of nutrition information on food products for decision-making in the UK. The authors undertook a comparison on the use of nutrition information and understanding of three schemes – GDA (similar to % DI), Traffic lights, and a hybrid approach. While only 27% of shoppers used nutrition information, the GDA labelling rated slightly higher than traffic lights for identifying healthful products and understanding of health information. Further details are below and in this research paper click here >>
Manufacturers' Monthly - 2011 Endeavour Awards The Endeavour Awards celebrate and recognise the achievements of industry leaders in their drive to achieve best practice in manufacturing. Entries close 31 January, 2011. Read more >>
Wal-Mart price cutting strategy, cuts too deep Wal-Mart has rolled back its rollbacks. Earlier this year, the retailer tried to spark sluggish US sales by lowering its prices - already bargains - even further. Instead, cutting prices depressed sales, as shoppers took the bargains and ran. Read more >>