AHCWA Welcomes Remote Food Subsidy Scheme, Urges Inclusion of all Remote Communities

The Aboriginal Health Council of Western Australia welcomes the Federal Government’s price cap on food and essential items in remote stores, and emphasises that all remote stores must be able to access the scheme to ensure that no community is disadvantaged.

The Australian Government announced this month it would reduce the costs of around 30 products like fresh fruit, vegetables and essential household items in more than 76 remote stores nationwide through a product subsidy scheme aimed at ensuring the cost of goods in these stores was comparable to that of urban supermarkets.

AHCWA Chair Vicki O’Donnell OAM said the subsidy scheme would contribute to addressing some cost-of-living pressures and the high rates of food insecurity experienced in many remote Aboriginal communities.

“This is a welcome response to longstanding food insecurity issues in remote communities, and it will help Aboriginal and Torres Strait Islander people living in these communities to afford essential groceries, which can cost more than double on average compared to city prices,” Ms O’Donnell said.

“But we expect to see these freight subsidies and price locks available to all remote communities across Western Australia by the commencement of the subsidy scheme this July, and price caps on an expanded variety of goods soon to follow.

“Food insecurity can have serious health impacts, including increased risk of chronic disease,” Ms O’Donnell said.

“Addressing food security will contribute to Outcome One under the National Agreement on Closing the Gap – that Aboriginal and Torres Strait Islander people enjoy long and healthy lives.”

According to the Federal Government, the scheme will initially support 76 remote stores based on assessments of greatest need, expanding ultimately to up to 152.

Commonwealth-owned remote retail business Outback Stores will run the scheme, and eligible stores will have to demonstrate a need to access the cheaper essential items.

The stores will be required to sign up to the National Code of Practice for Remote Store Operations, currently in development, to support management of the program.

The subsidy scheme will commence from 1 July 2025.