CEO report UPFRONT 

A key focus over recent months has been the continued rollout of the new Vegetables Roadshow program across Western Australia. These events have proven to be highly valuable platforms for direct engagement with growers, fostering stronger connections between industry, researchers and service providers. Successful events were held in Carnarvon and Geraldton in March, followed by Myalup in May. The program will continue into the second half of the year, with upcoming roadshows planned for the Northern Perth region, including Gingin in August and Wanneroo in November.

Each roadshow is structured as a practical program designed to deliver relevant, on-the-ground insights. Growers have the opportunity to hear directly from industry specialists on key production challenges, including vegetable crop performance, pest and disease management, and biosecurity preparedness. In addition, updates on current research and development initiatives, along with information on grants and support programs, ensure growers are better equipped to make informed business and operational decisions.

“The continued success of these events highlights the importance of collaboration and timely knowledge-sharing in supporting a productive and resilient industry.”

At the same time, the ongoing conflict in the Middle East continues to cast a long shadow over the horticulture sector. While geographically distant, its effects are being felt across every level of the supply chain. Uncertainty remains the leading challenge, influencing business confidence, planning cycles and investment decisions. Feedback from across the industry indicates that some growers are already adjusting planting programs, reflecting a cautious approach in response to volatile costs and unpredictable market conditions.

One of the most significant impacts has been the rapid escalation in input costs. Fuel, freight, fertiliser and packaging have all increased sharply, placing substantial pressure on farm businesses. These cost increases are not only immediate, but also complex, as they ripple through the entire supply chain. A critical issue facing growers is the time lag between absorbing these higher costs and recovering them through market returns. This delay places additional strain on cash flow, particularly for businesses already operating on tight margins.

Although fuel supply stabilised within a relatively short period earlier in the conflict, the situation remains fragile. Pricing continues to fluctuate, and the risk of further disruption cannot be discounted. Similarly, fertiliser availability and affordability remain ongoing concerns, further challenging production planning and financial sustainability. These pressures are not isolated to Western Australia; they are being experienced nationally, and there is broad recognition across the market that the cost of producing fresh food has increased significantly.

In this context, it is essential that pricing accurately reflects the true cost of production. Growers are entitled to recover legitimate increases in input costs, and there is a growing understanding of this reality throughout the supply chain. Under the Horticulture Code of Conduct, all buyers, including supermarkets, traders, merchants and agents, are required to negotiate in good faith and act fairly and reasonably. Encouragingly, there are clear signs that many buyers are acknowledging these cost pressures. However, it must also be clearly stated that any refusal to recognise substantiated cost increases in the current environment would be neither fair nor reasonable, and may fall short of the obligations set out under the Horticulture Code of Conduct.

Compounding these economic pressures, the Carnarvon growing region has endured an exceptionally difficult period of climatic events. An intense summer heatwave, followed by two cyclones within February and March, has created significant and ongoing disruption. These events have impacted production, infrastructure and overall business confidence in the region. Recovery will take time, and in many cases, the full extent of the damage may not be fully realised until later in the year as crops, yields and financial outcomes are assessed.

Taken together, the first half of 2026 will undoubtedly be remembered as one of the most challenging periods for the horticulture industry in recent memory. It is important, however, for growers to recognise that these challenges are not being faced in isolation. Across all commodities and regions, similar pressures are being experienced, and there is increasing awareness among buyers, policymakers and the broader community that the agricultural sector cannot continue to absorb rising costs indefinitely. Ensuring that cost recovery is achieved through clear, factual and transparent communication is not only justified — it is essential to maintaining viable businesses and securing the ongoing supply of fresh produce. The Association remains fully committed to supporting growers through this period.

“ Alongside the ongoing challenges of labour availability, water security and rising costs of production, a significant focus will continue to be the broader implications of the Middle East conflict. ”

In particular, this includes monitoring and advocating on issues relating to fuel costs and availability, fertiliser supply chains, and export market stability. These external pressures will continue to shape operating conditions for the foreseeable future, and the Association will maintain strong and active advocacy to ensure the interests of growers are effectively represented at all levels.