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‘Out of control’ gas prices likely to filter down to Australian consumers, food processor says
The Guardian ^ | 6/4/22

Posted on 06/04/2022 4:20:31 PM PDT by EBH

One of Australia’s largest regional food processors says energy costs are “out of control”, with already elevated gas prices tripling since the company signed new contracts in early 2022.

Consumers will inevitably cop higher prices on their products with other costs also on the rise, including a jump of as much as 40% for raw materials such as tomatoes, carrots and apples in the past year, Jason Fritsch, the chief executive of Kagome, said.

Kogame produces about 200,000 tonnes of tomatoes, 30,000 tonnes of carrots, 10,000 tonnes of apples and 7,000 tonnes of beetroot annually.

The firm’s gas bill will rise 25% next year to $4.4m, but the expenses would have been much higher again if it attempted to sign for the same gas now.

“We’d be paying somewhere between $6m and $8m more,” Fritsch said. “It would be a case of ‘shut your doors’ – you’d be making a loss. It’s crazy how much gas has gone up in the past three or four months.”

Kagome – based in Ecucha, Victoria and employing about 300 people – has also seen its electricity bill rise, but less steeply. The company expects to pay $1.7m this year and as much as $2m next year.

“This is very common across the processing and manufacturing industries in Australia, particularly in regional Victoria,” Fritsch said. Without intervention by governments to lower energy costs, companies would have little choice but to pass on the higher costs if they are to remain in business, adding to cost of living pressures.

Energy prices have emerged as the first major domestic issue facing the new Albanese government, with energy retailers exiting the market and regulators having to intervene to ensure sufficient gas supplies during the first big cold snap of winter.

(Excerpt) Read more at theguardian.com ...


TOPICS: Australia/New Zealand; Business/Economy; Foreign Affairs; Government; News/Current Events
KEYWORDS: economy; inflation; putinsfault

1 posted on 06/04/2022 4:20:31 PM PDT by EBH
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To: EBH

They voted for communists, who cares what happens to them? Every manmade bad thing that now happens to them will be deserved.


2 posted on 06/04/2022 4:26:10 PM PDT by decal (They won't stop, so they'll have to be stopped)
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To: decal

Because they are the early warning of what we will see here. Remember 2020 installed communist/progressives here too.


3 posted on 06/04/2022 4:29:24 PM PDT by EBH (Let God Sort Them Out. 1776-2021 May God Save Us.)
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To: EBH

Yes, exactly, and we’ll deserve it as well.


4 posted on 06/04/2022 4:31:14 PM PDT by decal (They won't stop, so they'll have to be stopped)
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To: EBH

2 weeks ago $4.39

Yesterday, most places are $5/gallon

Today many typical stations I saw are $5.29 - $5.39


5 posted on 06/04/2022 4:31:21 PM PDT by Secret Agent Man (Gone Galt; not averse to Going Bronson.)
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To: Secret Agent Man

Yep, saw a high of $4.99 here today. Expect over $5 in the morning.

Also noticed fewer cars seemed to be on the road today.


6 posted on 06/04/2022 4:33:51 PM PDT by EBH (Let God Sort Them Out. 1776-2021 May God Save Us.)
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To: EBH

George wants Europe to cut off gas and oil from Russia...so EU and elsewhere can commit economic suicide:

George makes Biden sound coherent. this guy is beloved by the “Progressives”!!!
the so-called journalists adore him...and Biden. want to know how to shore up business before 2024 in case Trump gets back in.
George loves how Ukrainians are fighting for us?

VIDEO: 33m42s: 26 May: Youtube: George Soros Takes Questions at the World Economic Forum in Davos
https://www.youtube.com/watch?v=ZXyu8u_hsIA


7 posted on 06/04/2022 4:47:48 PM PDT by MAGAthon (;)
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To: EBH

The lunatic assault on the fossil fuel industry is the core cause of inflation.


8 posted on 06/04/2022 4:49:41 PM PDT by allendale
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To: allendale

Yes it is.

they want us driving electric cars, but hell we cannot even keep the lights this summer.


9 posted on 06/04/2022 4:51:38 PM PDT by EBH (Let God Sort Them Out. 1776-2021 May God Save Us.)
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To: EBH

Up 20 cents overnite in my area.


10 posted on 06/04/2022 5:00:17 PM PDT by dynachrome (“We cannot save Ukraine by dooming the US economy.” Rand Paul)
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To: EBH

“they want us driving electric cars, but hell we cannot even keep the lights this summer.”

They don’t care whether you own an electric vehicle or not (and whether you can actually USE it will be irrelevant).

All they really want is for you to be less and less able to go wherever you want; the plan is to bring on a new Dark Age, with a tiny ruling class and a multitude of peasants.


11 posted on 06/04/2022 5:02:20 PM PDT by decal (They won't stop, so they'll have to be stopped)
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To: MAGAthon

re Soros. ending is a must-listen when George accidentally says Putin instead of Orban and his minders have to whisper in ear and then clarify what he meant to say to the “globalist elites” in the audience.


12 posted on 06/04/2022 5:18:16 PM PDT by MAGAthon (;)
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To: allendale
The lunatic assault on the fossil fuel industry is the core cause of inflation.

We had to experience the pain that Jimmy Carter brought us before Ronald Reagan was able to fix things.

13 posted on 06/04/2022 5:20:27 PM PDT by MinorityRepublican
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To: EBH

Gee, ya think??!?!?

I suppose next you will be telling us that it isn’t part of a larger plan.


14 posted on 06/04/2022 5:35:10 PM PDT by LegendHasIt
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To: decal
All they really want is for you to be less and less able to go wherever you want; the plan is to bring on a new Dark Age, with a tiny ruling class and a multitude of peasants.

Isn’t that the quintessential definition of a communist state?

15 posted on 06/04/2022 6:58:18 PM PDT by Mark17 (Retired USAF air traffic controller. Father of USAF pilot. USAF aviation runs in the family )
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To: EBH

We can see the criminal enterprise of western democracies signing on to the great reset by deliberately destroying itself and building back better through authoritarian rule


16 posted on 06/05/2022 3:05:53 AM PDT by ronnie raygun
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To: Secret Agent Man

They are talking about gas, not gasoline which they call petro. I’m guessing that they are only referring to processing costs, not delivery.


17 posted on 06/05/2022 3:12:46 AM PDT by Woodman
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