Australia: PM declares war on spud board

Mr Billson, who will today receive the Harper review into competition, said he was "taken aback" by the extraordinary powers of WA’s potato board and urged the Barnett Government to stop being a "spud laggard".

Considered a relic of post-war protectionism by its critics, the PMC licenses potato growers and effectively controls the price, quantity and varieties of potatoes grown across the State.Red tape aside, the PMC also has draconian powers including the ability to search vehicles suspected of carrying more than 50kg of potatoes, demand drivers identify themselves and impound any "illegal" potatoes.

The PMC can also fine growers who do not buy potatoes under its permit system or fail to grade or pack their crop in line with strict regulations.Mr Billson said the draft Harper report had identified WA’s spud cop as "not the greatest piece of public policy".

"Harper pointed to it as an anti-competitive policy measure that has a net detriment to the citizens of WA of about $3.8 million," he said. "WA has so much going for it. It is an international leader in so many ways.

An Economic Regulation Authority report last year found restrictions on the WA potato industry imposed a multimillion-dollar cost on shoppers with higher prices, restricted choice and poor product quality.