Co-op News & Updates

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  • 24th April , 2023

    New card transaction fees

    Merchant fees are costing the Co-op up to $16,000 every year.

    So, from Monday May 8th, in order to recoup some of these costs, we will be adding a surcharge to all EFTPOS card transactions rather than increasing prices for everyone regardless of how they pay.

    Paying by cash will not incur a charge.

    How will new card transaction fees be calculated?

    Depending on which type of card you use at the checkout, either credit or debit card, the transaction fee will be automatically calculated and added to your purchase at the end of your card transaction.

    The average card surcharge is between 0.33% – 1.08%, which works out to be between 14 cents – 45 cents for an average shop of $45.00.

    There are up to 25 types of cards with different transaction fees, which are averaged to the 6 main categories of cards as shown in the table below.

    Average surcharge %
    Visa Credit   0.90%
    Visa Debit   0.52%
    Mastercard Credit   1.08%
    Mastercard Debit   0.59%
    eftpos Debit   0.33%
    UPI Credit   1.75%

    We have decided to implement this system as it is the fairest way to allocate the cost of paying by card. Many other shops, including Aldi and Bakers Delight, charge a set fee of up to 2% per card transaction. Our only other alternative to cover the cost of merchant fees is to increase our prices across the board, regardless of whether members choose the convenience of paying by card or using cash.

    FAQs

    If I insert my card rather than tap, will it save me money?

    A: No, it makes no difference whether you insert or tap. Our payment portal will automatically charge you the lowest transaction fee it can on your particular card regardless of whether you insert or tap.

    How much is the surcharge?

    A: It depends on the type of card. If it’s a credit card it’ll be about 0.9% or 90c for a total sale of $100. If it’s a debit card it’ll be about 0.3% or 30c per $100 shop. We have been able to negotiate such low fees because we are a large business compared to others.

    Why are you suddenly charging us a fee?

    A: As a not-for-profit, we are continually reviewing our costs to make sure that we are providing the best possible prices for our customers. As part of this analysis, we have decided to pass on the cost of the convenience of paying by card rather than increase all our prices. Payments by cash are still fee free.

    Why is there a fee for card but not for cash?

    A: Banks charge businesses fees for accepting card transactions on EFTPOS machines. We don’t pay a fee to the bank for depositing cash into our account.

    Why now?

    A: After the ups and downs of the last few years, the Co-op’s expenses have been increasing across the board. We are working towards breaking even again (as we are a not-for-profit), and reviewing all of our expenses. One of the fairest ways of doing this has been identified as passing on the card fees charged for the convenience of using EFTPOS to pay for your groceries.

    Why are you doing this when Woolworths and Coles don’t?

    A: We aim to provide access to fresh, local and organic food at the lowest possible prices. We do our best to meet this and unlike the large supermarkets have no profit incentive being a not-for-profit organisation. Any surplus we make is reinvested in the Co-op to keep the organisation going into the future or passed onto local charitable organisations. Aldi and some other food shops do pass on the surcharge, which may have been identified by them also as a way to keep prices as low as possible, and give people the option of whether they pay for the use of a card or use cash for free. This feels fairer as we are giving people the choice rather than charging everyone for the convenience of card payment.

    When will you start doing this?

    A: The card transaction surcharge will come into effect from Monday 8th May.

    Where is the nearest ATM?

    A: There are four ATMs on Katoomba Street a few minutes walk away. Walk down to the end of the lane, turn left onto the main street (Katoomba St) and walk up the hill. The Bendigo Bank ATM is on the left, the Commonwealth, NAB and ANZ ATMS are all a bit further towards the top of the hill on the right of the street.

    Is this because you want everyone to use cash?

    A: The Co-op doesn’t have a preference, there are costs associated with both payment types. We have decided to pass on this cost to customers who prefer the convenience of paying by card rather than increase our prices for all customers to absorb this cost. Because the Co-op is a not-for-profit, we endeavour to keep our prices as low as possible for the benefit of all our customers, rather than companies who try to make more money to distribute profits to investors.

    If you have any further questions regarding this change, please contact the office on hello@bmfoodcoop.org.au.

  • 12th April , 2023

    Meet your local farmer

    Do you know where your food comes from?

    When eminent author and environmental activist Wendell Berry said “eating is an agricultural act” he essentially put the power of change into the hands (and mouths) of us all. Because everybody eats right?

    Photo: Maja Baska

    On a balmy early autumn evening, in the historic Lyttleton Stores Co-op in Lawson, a group of young Blue Mountains farmers gathered to discuss local food security. Still reeling from successive challenges of climate change induced extreme weather events, a global pandemic, and consecutive interest rate rises, they all agreed that the Big Food system is broken and working together towards a local circular economy is the way forward.

    The get together, organised jointly by Blue Mountains Food Co-op and Lyttleton Stores Co-op, was aimed at uniting the growers who supply them with fresh produce to show support for their hard work and to discuss efforts to spread the word in the community about the availability of locally grown food.

    “It is extremely important, on so many levels, that we support and promote local food growers in the Blue Mountains,” says Jacqueline Forster, Blue Mountains Food Co-op Marketing and Community Education Coordinator. “Reducing food miles, practising regenerative farming, fostering inclusion, and providing employment for local youth are just some of the environmental, health, and economic benefits of a localised food system.”

    Local growers enjoying the fruits of their labour. Photo: Rosie Shepherd, Lyttleton Stores Co-op.

    Although not traditionally known as a food “bowl” the last few years has seen a proliferation of young farmers, right across the Blue Mountains, producing an abundance of chemical-free produce. Rhiannon Phillips, of Mountains Gourmet in the mid-Mountains, says this may be partly due to covid lockdowns. “If there’s one good thing that came out of lockdowns it’s that people got inspired to grow food. They also realised that they could earn a small income from it.”

    Rhiannon adds that many in the community have been encouraged by the work of local social enterprise Farm it Forward. “Young people, in particular, have been getting other young people keen to grow food. We have so many volunteers because they want to learn how they can contribute to a sustainable local food system.”

    According to Sustain – the Australia Food Network*, a food system “is everything that happens from farm to fork, from paddock to plate and from soil to stomach so that we can all eat every day. So, it’s farming, it’s food processing and manufacturing, it’s transport and logistics, it’s retail and marketing, it’s consumption – eating and cooking, and it’s dealing with waste and recycling. The food system impacts climate change, biodiversity and human health in very major ways. It’s everyone’s business and we all need to be involved in whatever way we can.”

    Farm it Forward farmer, Hannah Axelsen, couldn’t agree more. “Local farmers and co-ops play a very important role in the community by offering an alternative to the destructive practices of Big Agriculture. Small-scale organic farms provide nutrient dense food and tackle climate disasters by building healthy soils, sequestering carbon, and creating biodiversity.

    “Co-ops provide the meeting place where people can purchase local and organic foods while also supporting farmers, which enables them to keep growing. It’s a symbiotic loop.”

    Blue Mountains Food Co-op Fruit & Veg Coordinator, Maddison Pitt, says this arrangement is a win-win for the community. “We are working with local growers to satisfy both our needs: supporting young people wanting to get into farming by buying their produce, and creating a circular economy by selling it to local customers. It’s very satisfying knowing who grows the food you’re consuming.”

    Hannah says the recent grower’s get together buoyed farmers’ spirits after a tough few years. “I loved the collaborative nature of the meeting. It was wonderful to share experiences, struggles, and achievements with like-minded people.”

    Jacinta Carmichael-Parissi, coordinator of Lyttleton Stores Co-op, says she is excited about the future of food in the Blue Mountains. “We want to nurture our unique flavours and support local farmers and backyard growers so they can thrive and become resilient in the face of a changing climate and an unsustainable international food system that doesn’t consider the health of our planet or our communities.

    “We have an opportunity to develop a truly regenerative model in our region that nourishes our bodies, the earth and our cultural engagement with food. It all starts with valuing how our food is grown, and the people who grow and provide it. Local farmers and growers working alongside community owned cooperatives makes this fresh organically grown produce accessible.

    “We can all participate in the future of food by choosing to buy local, eat seasonally, preserving surplus produce, and sharing recipes and meals with our community that celebrate the flavours of the Blue Mountains!”

    A joint project, between Blue Mountains Food Co-op and Lyttleton Stores Co-op, to promote locally grown food is the Meet Your Local Farmer dinner series. Launching in May, the dinner series will feature all locally produced food and drinks, and talks by local growers. Details to come shortly!

    For further information please email marketing@bmfoodcoop.org.au plus, click here to read an interview with Rhiannon Phillips from Mountains Gourmet.

    Local growers get-together L-R: Aaron Brocken, Harvest Farms, Bilpin; Hannah Axelsen, Farm it Forward, Katoomba; Manu Prigioni (rear) Farm it Forward, Hazelbrook; Maddison Pitt, fruit and veg coordinator Blue Mountains Food Co-op; Nic Moodie, Southleigh Farm, Hartley; Alice Warner, Five Serves, Yarramundi; Joe and Jo Brischetto Kanimbla Valley Farm; Joe and Jo Tabone, Blue Mountains Urbavore, Springwood; Rhiannon Phillips, Mountains Gourmet, Lawson; Jacinta Carmichael-Parissi, Lyttleton Stores Co-op, Roman Hofmann, Lyttleton Stores Co-op; Madison Roland-Evans, Young Farmers Connect. Photo: Rosie Shepherd, Lyttleton Stores Co-op.

    *https://sustain.org.au/

    by Jacqueline Forster, Marketing & Community Education Coordinator, Blue Mountains Food Co-op

     

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