Federal Election Policy Priorities 2013
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IT’S TIME TO GROW AGRICULTURE Ensuring Australian agriculture is considered a key priority in the 2013 Federal Election is the task of the National Farmers’ Federation (NFF). Formed in 1979, the NFF is the peak national body representing farmers and, more broadly, agriculture across Australia. Since this time, the NFF has earned a reputation as a leader in the identification, development and achievement of policy outcomes - championing issues affecting farmers and helping to drive Australian agriculture forward. One of the keys to the NFF’s success has been our commitment to presenting innovative and forward-looking solutions to the issues affecting agriculture. And this commitment is as strong today as it has been in the past - the recent launch of the NFF-led, industry- developed Blueprint for Australian Agriculture is testament to this. The Blueprint is a long-term, strategic action plan for our farmers and the wider agricultural sector and supply chain, setting out the future vision for the sector and determining how we are, as a collective, going to get there. Importantly, ensuring a strong and sustainable future for the Australian agriculture sector means action has to happen today. Which is why, in the lead up to the 2013 Federal Election, the NFF will be working hard to ensure the voice of farmers’ is heard and our issues are raised, and criticially, acted upon. The NFF has always been a bipartisan organisation, working with all sides of Government to ensure the best outcomes for our farmers. The 2013 Federal Election will be no different. While we have heard many positive comments about our farmers and about agriculture from the various parties and politicians over the past few years, this year we want to see a greater commitment to action and a reprioritisation of agriculture in the national agenda. Over the course of the past year, both the Prime Minister and the Opposition Leader have sung the praises of our farmers - the Hon. Julia Gillard MP saying that agriculture has been the sector with the largest productivity growth since 2007-08, and the Hon. Tony Abbott MP stating that it was only because of the growth in the agricultural sector that Australia avoided going into recession during the global financial crisis. This year, we are calling on the Prime Minister, the Opposition Leader and their parties, along with the other political parties and the Independents, to ensure that the value of agriculture to our economy, our society and our environment is recognised through sound, strategic policies that benefit our sector. A recent NFF-commissioned poll of 1,000 Australians found that ensuring there is a strong future for our farming community rated as THE most important concern for Australians – above education and health. This result provides an insight into the need to ensure Australian agriculture is considered a high priority by Government - forming the basis for the development of the NFF Policy Platform for the 2013 Federal Election. 2 National Farmers’ Federation Federal Election Policy Platform
The NFF has five key priority areas, outlined in further detail in this document. The NFF will be scorecarding the various parties on the commitments and policy developments made in each of these five areas in the lead up to the election to ensure our farmers know which parties have shown their support for Australian agriculture. • Growing Australian Agriculture • Investing in research and extension • Increasing competitiveness & profitability • Building a stronger workforce • Balancing agriculture and the environment We call on the political parties and all politicians to commit to key actions that will assist farmers’ efforts to be innovative, profitable, globally competitive, prepared for risks, and ready to seize opportunities for the future. It is time to repriortitise agriculture in Australia’s national agenda. Jock Laurie NFF President FARM FACTS > Australian agriculture makes an important contribution to Australia’s social, economic and environmental sustainability. Social > There are approximately 135,000 farm businesses in Australia, 99 percent of which are family owned and operated. Each Australian farmer produces enough food to feed 600 people, 150 at home and 450 overseas. In 2009, Australian farms produced 93 percent of the total volume of food consumed in Australia. Economic > The agricultural sector, at farm-gate, contributes 2.4 percent to Australia’s total Gross Domestic Product (GDP). The gross value of Australian farm production in 2011-12 was $46.8 billion. Yet this is only part of the picture. When the vital value-adding processes that food and fibre go through once they leave the farm are added in, along with the value of all the economic activities supporting farm production through farm inputs, agriculture’s contribution to the GDP averages out at around 12 percent (or $155 billion). Environmental > Australian farmers are environmental stewards, owning, managing and caring for 61 percent of Australia’s land mass. Farmers are at the frontline of delivering environmental outcomes on behalf of the Australian community, with 94 percent of Australian farmers actively undertaking natural resource management. The NFF was a founding partner of the Landcare movement. National Farmers’ Federation Federal Election Policy Platform 3
1 GROWING AUSTRALIAN AGRICULTURE While Australians view food and fibre as an essential part of national wellbeing, farmers enjoy a reputation as a trusted profession and there is much optimism about the prospects for agriculture as world food demands rise, this is not always reflected in the priority placed on agriculture on the national stage. The agricultural sector clearly has a role to play and the NFF has led this effort through the development of the Blueprint for Australian Agriculture. Government also has a role to play and this must commence with affording agriculture a higher priority within the Federal Government and Parliament. What is the NFF policy objective? For the Federal Government and Parliament to reprioritise Australian agriculture in recognition of the critical part it will play in Australia’s future and the opportunities of an increased demand for food and fibre. Issues: • The need for an increased priority afforded to agriculture, food and fibre by Government to meet future needs • Poor awareness and understanding of agriculture and its practices. Actions needed by Government: • Re-prioritise agriculture within Government and on the national agenda, reflected through: - A bigger slice of the Government budget to provide a much-needed boost in areas including research, development and infrastructure. - A broadening of the agriculture ministry’s responsibilities to include all aspects of the agriculture supply chain including natural resources, water and elements of competition, education and workforce development. - A broadening of the responsibilities of the Department of Agriculture, Fisheries and Forestry to match an expanded Ministerial portfolio and sufficient resources to underpin this expansion. • Commitment to the implementation of priorities linked to the Blueprint for Australian Agriculture in concert with industry through ongoing Blueprint industry forums. • Commitment to a future Government that plays its part in increasing the awareness of agriculture and its practices including a focus on agriculture in the national school curriculum. 4 National Farmers’ Federation Federal Election Policy Platform
2 INVESTING IN RESEARCH, DEVELOPMENT & EXTENSION Research, Development and Extension (RD&E) is broadly recognised as the key driver of farm productivity gains, but with little growth in real RD&E investment for many years, industry productivity has stagnated. This is hurting the profitability of farmers and if the trend continues will limit future market opportunities for the sector and ultimately threaten the capacity for Australia to continue to feed and clothe itself. Increased investment in RD&E into new technologies, processes and products, combined with an effective extension network is needed immediately. It will lift productivity, increase sustainability of production and allow expansion into new markets. An innovative agriculture sector will help ensure profitable farms and also deliver food and fibre for both Australian consumers and growing global markets. What is the NFF policy objective? An environment that drives innovation through increased levels of Government investment in agricultural RD&E and incentives for private investment. Issues: • Relative decline in government funding for agricultural RD&E. • Uptake of new tools and technologies, developed through R&D, are required to improve industry profitability and meet market demands. Actions needed by Government: Increased investment in agricultural RD&E • Develop a plan to establish Australia as a leader in international rural research, underpinned by: - Increasing total national expenditure on agricultural R&D by one percent by 2015. - Reviewing opportunities to improve flexibility in the rural Research and Development Corporation model, ensuring a greater focus on RD&E that directly improves profitability of Australian farms. - A re-investment in the CRC program, to establish three new agriculture- based CRC’s by 2015. - Create a policy and taxation environment that encourages private/ philanthropic (both domestic and foreign) co-investment in agricultural R&D. • Commitment to a national Northern Australia development plan, including increased agricultural production through sustainable intensification of existing industries and exploring new industry opportunities; underpinned by feasibility studies for relevant infrastructure including dams, processing facilities and transport provisions. Improved productivity and profitability via uptake of technology and best practice • Undertake a national review of extension and adoption components of all agricultural R&D (including across jurisdictions and private sector investment), including: - An ongoing assessment of extension in the regular reports on rural R&D system performance conducted by ABARES. • Ensure rural and regional centres have equal, or at least comparable, access to telecommunications infrastructure (both mobile coverage and National Broadband Network) and new technologies (such as biotechnology and nanotechnology) to help drive productivity gains and innovation. • Explore innovative ways to improve uptake of best practice including: - Working with industry to produce competitiveness and benchmarking indicators. - Facilitating a roundtable to identify optimal taxation arrangements for farmers, ownership structures, access to finance and capital investment. National Farmers’ Federation Federal Election Policy Platform 5
3 INCREASING COMPETITIVENESS & PROFITABILITY A competitive and productive agriculture sector will contribute to overall domestic economic growth but also provide ongoing economic opportunities across rural and regional Australia. While the sector is well placed to take advantage of opportunities that exist in expanding markets, it is clear that a renewed focus on growth and efficiencies will be required to remain competitive against other nations. High costs of production and over-regulation threaten to reduce Australian agriculture’s profitability and global competitiveness. In addition, ageing infrastructure and lack of investment will constrain growth and sustainability. Australia’s pest and disease free status is vital for the farming sector, both in production and marketing terms. A robust, efficient and science-based quarantine and biosecurity regime is fundamental to protect Australia’s environment, biodiversity and agricultural systems. What is the NFF policy objective? Australian agriculture to be a globally competitive and productive sector, with profitable farmers providing high quality food and fibre for domestic consumers and overseas markets. Issues: • Declining terms of trade on-farm and in-markets. • Ageing infrastructure. • Stagnating trade and market access. • Maintaining Australia’s biosecurity regime. Actions needed by Government Terms of trade • Commit to establish a red tape register and harmonisation of State and Federal regulations – specifically an action list of priority areas for amendment or removal within first year of Government, including: - Simplify and streamline the Environment Protection and Biodiversity Conservation (EPBC) Act, including the assessment and approval processes under State and Federal legislation into one process and exclude agriculture from any cost recovery provisions. - Reform of agricultural and veterinary chemical regulation to improve the efficiency of the registration process and fund minor use data. • Deliver balance of market power in the food and fibre supply chain, including adjustments to competition law and the role of the ACCC, to ensure fair competition. • Work with industry to develop competitiveness and benchmarking indicators. • Review renewable energy targets in light of the current tax on carbon. • Undertake a review to deliver competitive and efficient energy networks for agriculture and food producers, including affordable gas and associated infrastructure. • Maintain the Fuel Tax Credit Scheme. Drought preparedness • Commit to a comprehensive drought policy package, including a suite of measures that have been demonstrated to build self-reliance and resilience, while also providing in-event farm business assistance to support recovery from circumstances outside what can reasonably be expected to be managed. The suite of measures also needs to be appropriate for the variety of farm businesses in Australia and meet the needs of new entrants. 6 National Farmers’ Federation Federal Election Policy Platform
Ageing infrastructure • Undertake an infrastructure stocktake to identify and prioritise critical agriculture infrastructure in the investment pipeline. • Establish a program through Infrastructure Australia to drive public and private investment in Australian agriculture including infrastructure. • Develop supply chain mapping and data provision tools to identify critical control points across the food supply chain impacting on food security, availability and price. • Examine taxation incentives in rural and remote areas, including in northern Australia, to drive and support critical investment requirements. • Investigate opportunities for sustainable intensification of Australia’s agricultural systems, including regional assessments. Trade and market access • Completion of trade agreements (bilateral and multilateral) which result in real commercial improvements to market access. • Undertake an urgent review of impediments to completing current trade agreements. • Improved technical and negotiating capacity within government to overcome barriers, improve trade outcomes and coordinate a Team Australia approach. Biosecurity • Strengthening Australia’s bio-security regime by increasing investment in quarantine controls at the border; retaining a transparent, science-based import analysis process; and implementing the remaining Beale recommendations. Animal welfare • Commitment to partnering with industry to further develop viable livestock management practices and science based animal welfare standards. National Farmers’ Federation Federal Election Policy Platform 7
4 BUILDING A STRONGER WORKFORCE Workforce development in the agriculture sector and within rural communities has emerged as a critical issue impacting regional futures and sustainable development. Workforce development encompasses the processes by which people enter and develop in an occupation, job design and working conditions and how knowledge and skills translate to higher productivity. Australian agriculture faces unique challenges in workforce development. Most businesses in agriculture are based in regional and remote locations and are small to medium sized enterprises. There is a mismatch between the employment and training systems in place and the requirements of the industry. Australian agriculture needs a Government willing to work with industry to deliver improved labour solutions. What is the NFF policy objective? Encourage a better understanding of the opportunities in the agriculture sector and delivering improved labour solutions. Issues: • Not enough people working in agriculture. • Not enough people with necessary skills working in agriculture. • Uncompetitive wages. Actions needed by Government: • Embed agriculture, food and fibre into the national school curriculum. • Review the current workforce development system to address the outdated Australian and New Zealand Standard Classification of Occupations (ANZSCO) codes. • Expand the Seasonal Workers Program to all agriculture sectors. Commit to aligning the Australian migration system on the basis that it is demand-driven and subject to controls. • Improve flexibility at the enterprise level by allowing individual flexibility agreement to be executed pre-employment, which allows for genuine workplace agreement. • Rationalise the National Workforce Development Fund to be more accessible to agriculture employers. • Encourage people from outside regional areas to fill workforce shortages through a combination of tax incentives, review of immigration criteria and infrastructure investment. • Investigation of tax and other policy mechanisms to ensure there is sufficient support for new entrants into agriculture. • Finalise and implement a National Workforce Development Plan for Agriculture. 8 National Farmers’ Federation Federal Election Policy Platform
5 BALANCING AGRICULTURE & THE ENVIRONMENT Australian farmers are the country’s frontline environmentalists, owning and caring for 61 percent of Australia’s landmass. Some 94 percent of Australian farmers actively undertake natural resource management, yet Government regulation can add unnecessary burden to farm businesses. At the same time, climatic and other impacts on agriculture and the environment can add additional pressure for farmers and land tenure security is under strain as other sectors such as mining and onshore petroleum are expanding into traditional farming areas. The NFF seeks a more coordinated and simplified approach to regulation while ensuring equity in land and water access and improved tools for environmental management. What is the NFF policy objective? Federal Government policies and programs that enable a balanced and consistent approach to natural resource management and land access while allowing for the sustainable increase in food and fibre production. Issues: • The need for a more balanced and consistent approach to land and water management. • Improved opportunities for on farm environmental stewardship. • Enhanced opportunities to underpin agriculture’s climate resilience. Actions needed by Government: Land and water • Ensure that the Murray-Darling Basin Plan Sustainable Diversion Limit (SDL) gap is closed through investment in irrigation infrastructure, environmental works and measures and other efficiency measures, prior to investment in measures designed to increase the SDL above 2750 GL. • Reinstate Native Title respondent funding. • A balanced policy approach to multiple and sequential land access. This could include: - Establishment of good faith practices and an agricultural impact assessment process. - Implementation of the multiple land use framework to deliver a consistent approach to land use planning. • Improve bioregional assessment water modeling (long run data, data from all bores and water quality). • Development of communication tools including websites to provide real time information about fracking, chemical use, water quality and quantity. • Ensure that investment in existing and new irrigation infrastructure is based on production, efficiency and on-farm environmental sustainability principles. • Revise the Intergovernmental Agreement for the Great Artesian Basin to reflect the principles of the National Water Initiative. • Ensure that water entitlements obtained for environmental use retain its original characteristics to avoid third party impacts (eg. flooding and sharing of dams and delivery system capacity). • Government commitment to funding: - Full implementation of the Murray-Darling Basin Plan; and - Commonwealth Environmental Water Holder entitlement water charges. National Farmers’ Federation Federal Election Policy Platform 9
Environmental stewardship • Develop public and private partnerships for the delivery of improved environmental stewardship on private land. • Work with industry to develop Sustainability Indicators to underpin agriculture’s practice change over time. • Implement novel public private partnerships for the management of fire, pests and weeds on public land. • Ensure that the Caring For our Country agriculture stream delivers productivity, profitability and stewardship outcomes for agricultural businesses. • Exempt agriculture from Environment Protection and Biodiversity Conservation (EPBC) Act 1999 cost recovery. • Ensure farms are not used to deliver environmental offsets for other sectors. • Implement requirements for the Threatened Species Scientific Committee to consider social, economic and environmental issues in relation to the EPBC Act. Climate resilience • Ensure that agriculture and on-farm diesel use remains exempt from the carbon mitigation (tax) policies and that such policies do not compromise the competiveness of Australian agriculture. • Ensure government sequestration and adaptation policies and programs encourage innovation in and voluntary adoption of carbon management practices. • Commitment to fund grants to assist farmers undertake energy efficiency assessments and to transition to renewable energy technology and energy efficient equipment on farms under the Energy Efficiency Package. • Seek carbon tax exemption for emissions intensive trade exposed food processors until the Australia-EU Emissions Trading Scheme enters into force. National Farmers’ Federation NFF House, 14-16 Brisbane Ave, Barton ACT 2600 PO Box E10, Kingston ACT 2604 Ph. 02 6269 5666 Fax. 02 6273 2331 Web. www.nff.org.au National Farmers’ Federation Ltd ABN 77 097 140 166
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