FED:High dollar squeezing orange market

AAP General News (Australia)
08-10-2011
FED:High dollar squeezing orange market

BRISBANE, Aug 10 AAP - An oversupply of oranges and a high Australian dollar has soured
the national citrus market, shaving some orange grower's profits in half.

Citrus Australia said record rain this year produced a bumper crop, with 240,000 tonnes
grown, more than 60,000 tonnes than 2010.

Chief executive Judith Damiani said citrus growers were really struggling as export
returns were extremely low and the subsequent oversupply was forcing domestic returns
down.

"Our citrus growers have survived the drought, frost and pest infestation, but unfortunately
the exchange rate may be the final straw for many growers," she said in a statement.

Victorian farmer Tania Chapman said she'd normally export up to 80 per cent of her
12,000 bins of oranges, but that has reduced to 50 per cent this year.

"It is probably the worst season that we've faced," she told AAP.

"Compared to 2009, returns back to growers are down between 50 and 60 per cent."

She said in some cases people were lucky to be covering their picking costs let alone
the cost of growing the produce.

Citrus Australia will launch a week of action starting Friday to get Australians behind farmers.

Free oranges will be handed out at the MCG on Friday when Hawthorn plays Port Power.

The same stunt will get underway at Parliament House in Sydney, Rundle Mall in Adelaide,
the Murray Street Mall in Perth and the Riverside CityCat Terminal in Brisbane next Tuesday.

AAP ka/crh/jlw

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