Australian grower admits to violating Horticulture Code of Conduct

The Australian Competition and Consumer Commission confirmed Melbourne-based produce agents Young Sang & Co Pty Ltd, which runs a farm and packing facility in Bundaberg, admitted to breaching the Code by failing to provide Horticulture Produce Agreements to any of the growers it dealt with during 2015.

One of those growers was Bowen-based grower Eden Produce Pty Ltd, which took part in a heated mediation process with Young Sang.

Eden Produce owner Loretta Soden filed a claim with the Queensland District Court to try and recover $153,391.90 from Young Sang for mini capsicums - processed in Bundaberg and destined for Woolworths' shelves - that she was contracted to grow for a price originally agreed to "by a handshake”.

Conflict arose over Young Sang allegedly lowering the prices it was willing to pay for the capsicums without documentation, citing poor quality produce, and Ms Soden alerted the ACCC.

The ACCC has accepted a court enforceable undertaking from Young Sang for the 2015 breaches, which comprised of "trading in horticulture produce with a number of Queensland-based growers without horticulture produce agreements, or preparing or making publicly available a document setting out the general terms and conditions under which it would trade with growers (terms of trade)”.

Young Sang & Co business development manager Daniel Scavo said he believed his company had not been alone in trading without any formal documentation.

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