Australia’s food and grocery manufacturing industry has reaffirmed its commitment to working with government to strengthen and futureproof the nation’s manufacturing capabilities.
As the country’s largest manufacturing sector, the Australian Food and Grocery Council (AFGC) has welcomed recognition from the federal government, particularly the attention given by the Minister for Industry and Innovation to the sector’s importance in national productivity discussions.
The AFGC is urging fast, coordinated action to secure growth, competitiveness and resilience across the food and grocery supply chain. It believes stronger collaboration between government and industry is key to unlocking the next wave of innovation and economic benefit.
The Council has outlined several priority areas it says need immediate attention to support the industry’s future. These include simplifying regulations, upgrading key supply chain and transport infrastructure, and ensuring access to reliable and affordable energy.
The AFGC argues that even modest gains in these areas could deliver significant improvements across the wider value chain, enhancing productivity and reinforcing Australia’s food security at a time of growing global uncertainty.
The food and grocery sector has set an ambitious growth target, aiming to become a $250 billion industry by 2030. Achieving that target, it says, will depend on smart investment, a national focus on innovation, and stable operating conditions for businesses of all sizes.
Among the most pressing concerns is energy. Ongoing challenges around cost and reliability are major obstacles to growth. The sector warns that without affordable and dependable energy, efforts to expand will be undermined, putting future investment and jobs at risk.
To help guide policy in the right direction, the AFGC has made a formal submission to the Treasury focused on boosting productivity. The Council’s recommendations highlight how the food and grocery industry can play a central role in supporting Australia’s broader economic development, particularly through innovation and long-term infrastructure investment.
With the right support, the sector believes it can grow not only in scale, but in global competitiveness, while continuing to deliver high-quality products to local and international markets. By reducing red tape, improving logistics, and securing energy supply, the industry can be better positioned to adapt to global changes and withstand economic shocks.
The AFGC remains optimistic that with a unified approach and a clear national strategy, Australian food and grocery manufacturing can thrive and help drive a stronger, more productive economy in the years ahead.
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