The Closing of King Island Dairy: A Wake-Up Call for Australia’s Food Security
The announcement of King Island Dairy’s impending closure by mid-2025 is nothing short of devastating, not just for the 60 employees and the community of King Island but for the broader Australian food-producing industry. Once a hallmark of Australian specialty cheese, this iconic dairy’s fate reflects troubling realities in our approach to food security and the priorities of post-farm gate operators.
A Legacy of Excellence
King Island Dairy’s storied history dates back to the early 1900s, beginning as a cooperative butter factory in Loorana, alongside private cheese factories. Over the decades, the dairy evolved into a renowned producer of specialty cheeses, ceasing butter production in the 1980s to focus on products like Brie and Blue cheeses. Its reputation grew nationwide, making it a symbol of quality and craftsmanship. However, its ownership journey - from local cooperative roots to acquisitions by major corporations such as San Miguel Corporation, Kirin Holdings, and most recently Saputo - reveals a steady departure from local control.
The Disconnect Between Rhetoric and Reality
Australia’s major supermarkets often proclaim their commitment to “Australian Food First,” yet the closure of King Island Dairy exposes a stark contrast between rhetoric and action. It is deeply disappointing that as a nation that prides itself on food security, we continue to allow profitable, sustainable local food producers to be undermined by corporate agendas prioritizing profits over long-term viability. These corporations frequently resort to importing cheaper alternatives from overseas, sidelining Australian growers and producers.
The result? A growing reliance on international imports and a gradual erosion of Australia’s food-producing backbone. The priorities of post-farm gate operators, who control much of the processing and distribution, often conflict with the needs of local farmers and the long-term sustainability of the industry.
A Cooperative Model: A Missed Opportunity
It is baffling and frustrating that King Island Dairy, despite its rich history, was not sustained as a cooperative owned by the farmers of King Island and Tasmania. A cooperative model could have empowered dairy growers with control over their future, aligning the business’s goals with the interests of its suppliers and the local community. Instead, reliance on third-party ownership has led to decisions that prioritize shareholder returns over the livelihood of farmers and the preservation of a national treasure.
The Broader Implications
This issue isn’t confined to King Island. Across Australia, farmers and growers face similar challenges as corporate giants dominate the food industry. Without ownership and control, farmers are at the mercy of decisions made in boardrooms far removed from the realities of agricultural life. These decisions often result in layoffs, reduced profitability for producers, and a fragile food supply chain increasingly dependent on imports.
Walking the Talk on Food Security
If Australia is serious about food security, it’s time to move beyond empty slogans and take actionable steps to support local food producers:
A Call to Action
The impending closure of King Island Dairy should serve as a wake-up call. If we continue on this path, we risk not only losing iconic brands but also undermining the very foundation of Australia’s food-producing industry. It’s time for Australia to step up, prioritize the interests of its farmers and growers, and build a future where local food production thrives - not just for today, but for generations to come. The King Island community and others like it deserve no less.
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1dOh no, is there still a chance to save it?