VFF Horticulture Group president Peter Cochrane said Victorian farmers have limited control over the price they receive for their produce, and while ‘industry experts’ have predicted that prices will fall, this cannot be at the farmers’ expense.

"Fuel is only one component of the cost of production. Prices paid to farmers did not increase in line with the increases in fuel prices and there is no reason for farm gate prices to now fall in line with fuel prices," Peter Cochrane said.

While the cost of transport from farm to market may be stabilising, the price of fruit and vegetables is primarily determined by the supply and demand situation of any given product in the market place, not whether or not the price of fuel comes down by a few cents.

"For the National Association of Retail Grocers to come out and say otherwise demonstrates a lack of understanding of how the fresh fruit and vegetable market works.

"While the VFF supports the reduction in fuel prices on the whole, it must be noted that transporting fresh produce across the country is only one component of the inherent costs involved in the vegetable production process.

"It’s absurd to think that cuts in fuel prices could translate into a 15pc reduction at the supermarket checkout.

"It’s time for the agricultural industry to be respected and allow farmers to have the confidence necessary to continue to invest in the local community and in Australian agriculture."