Industry minister Christopher Pyne says imposing duty on Feger and La Doria brands will ensure Australian producer SPC Ardmona can compete equally

This article is more than 4 years old

This article is more than 4 years old

You say “tomatoes”, Christopher Pyne says “dumped produce” as the industry minister moves to impose duties on two major Italian exporters.

The federal government announced on Thursday that “dumping duties” – imposed on exporters who sell products for significantly less in Australia than their normal value in their country of origin – would be applied to Feger and La Doria tinned tomatoes on the advice of the Anti-Dumping Commissioner.

Feger and La Doria account for at least 40% of the Italian tinned tomatoes exported to Australia. Both had been found to be exempt from an earlier government decision in April 2014 that had applied to 103 exporters.

SPC Ardmona hurt by dumping of cheap Italian tomatoes – commission Read more

The announcement means all brands of Italian tinned tomatoes are now subject to tariffs upon arrival in Australia, which could force up their retail prices.

Duties will be 8.4% of the product price of Feger tinned tomatoes, and 4.5% of La Doria brand. The duties do not apply to pastes, purees, sauces, pasta sauces, juices or sundried tomatoes.

Pyne described the case – which was decided on appeal – as a win for local producers.

He said that Feger and La Doria were “major competitors” in the Australian market, and the ruling would ensure that Australia’s only producer, SPC Ardmona, could compete equally.

The struggling Shepparton-based food manufacturer has been pushing for penalties on Italian tinned tomato exporters for some time.

It received $22m from the Victorian government, headed by then premier Denis Napthine, in 2014 on the condition it would maintain a base workforce of at least 500 people. Its parent company, Coca-Cola Amatil, contributed a further $78m.

Managing director Reg Weine told the ABC last month that SPC was investing $100m in new technology in order to make it “more efficient and innovative”, and ruled out asking for another taxpayer-funded bailout ever again.

The manufacturer has been contacted by email.

Pyne reiterated in his statement the federal government’s commitment to a strong and robust anti-dumping system.



Agriculture minister Barnaby Joyce agreed that the result was an example of the government “looking after Australian growers”.

But not everyone is as pleased by the government’s announcement as ministers are, with Crikey’s “Pollytics” blogger Scott Steel, for one, seeing red over the fact that his “favourite” brand of tinned tomatoes would be increasing in price by six cents.

Possum Comitatus (@Pollytics) Getting irrationally angry over my favourite tins of Italian tomatoes increasing in price by 6 cents

He agreed with another Twitter user that Italian tinned tomatoes were of higher quality than those from Australian producers: “I’ve seen Australian tinned tomatoes on sale for less than the Italian, and still no one would buy them!”

“Every time I’ve tried them they had green stem ends,” replied Steel’s correspondent. “They could at least wait until they are ripe before canning.”

Lucy Cormack (@LucyCormack) No more cheap tinned tomatoes!? But I live for the 89c can! https://t.co/fxFXPyFzrU via @smh

And another: “Problem is Australian tinned tomatoes are not really ripened before processing. Cooks will continue buy Italian ones, even if more expensive.”

The announcement follows concerns raised in the United Kingdom about working conditions in the Italian tomato processing industry.

UK shops urged to look at Italian tomato sourcing over exploitation concerns Read more

The Ethical Trading Initiative, a body that works to improve conditions at retail suppliers, found “massive exploitation” of migrant workers picking and packing tomatoes in Italy in its December 2015 report.



It found that migrants from outside the EU tended to work very long hours with wages 40% lower than the legal minimum, and that employment laws were being routinely ignored in a bid to boost profits.

The ETI did not single out any retailers for criticism.

The official number of foreign agricultural workers in Italy is estimated at 116,000, but estimates including regular and irregular migrants exceed four times that.