Federal Election Statement - Queensland horticulture industry's August 2007
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Queensland horticulture industry’s
Federal Election Statement
August 2007
Growcom
Level 1/385 St Paul’s Tce Fortitude Valley
PO Box 202 Fortitude Valley QLD 4006
Tel: 07 3620 3844 | Fax: 073620 3880
www.growcom.com.au
Foreword
As Growcom Chairman for the past eight years, I am pleased to present this document detailing
the major policy issues for Queensland’s horticulture industry in the lead up to the 2007 Federal
Election. This document details key election priorities that our industry requires to ensure
continued industry growth; providing benefits to the economy and the broader community.
This paper has been developed through extensive consultation with the Queensland horticulture
industry and key industry stakeholders. We are seeking your support on the following key
issues:
• Industry and market development;
• Sustainable natural resource management;
• Biosecurity;
• Labour and workforce;
• Climate variability; and
• Relationships between government and industry.
Queensland is Australia’s premier state for fruit and vegetable production, growing one-third of
the nation’s produce. Horticulture is Queensland’s second largest primary industry, worth more
than $1.5 billion at farm gate and employing around 25,000 people. Queensland’s 2,800 farms
produce more than 120 types of fruit and vegetables and are located from Stanthorpe in the
State’s south to the Atherton Tablelands in the far north. The state is responsible for the
majority of Australia’s banana, pineapple, mandarin, avocado, beetroot and fresh tomato
production.
The Queensland horticulture industry is a diverse and growing industry, playing a vital role in
regional economies and communities, providing significant employment, enhancing economic
diversification and adding significant value throughout the food, transport, wholesale and retail
industries. Horticulture is an innovative, consumer-focused provider of clean and green produce
for domestic and world markets, and a high value and efficient user of water and other natural
resources.
The Queensland horticulture industry believes the issues outlined in this document require
action to ensure the industry continues to grow, providing benefits to the economy and broader
community.
I encourage you to take the time to read through this document and consider each of the issues
presented. Your commitment and continued support will be beneficial to our industry and the
broader economic and social prosperity of Australia.
Paul Ziebarth
Growcom Chairman
-2-Key Policy issues requiring Government action
Industry and market development
The horticulture industry is commercial and highly competitive. It is made up of small, medium
and large enterprises operating with a range of business models and markets and driven by
market forces, rather than regulated by quotas or licences. Growers expect that they will be
able to operate in a reasonable business environment, with opportunity for fair competition.
Growcom is committed to improving the business environment in which growers operate,
through the value chain and the regulatory environment, and by providing pathways to practical
outcomes for members, including continuous improvement in agriculture, marketing and
business.
Growcom seeks your support for:
• Continued support and commitment to the Agriculture Advancing Australia (AAA)
program to drive innovation and development. This needs to include an
additional $15 million over 3 years for a major government initiative around
business capacity building, value chain management, innovative marketing,
international benchmarking, and data gathering.
• $5 million over 3 years for analysing and accessing additional export markets.
• Increase funding to improve transport infrastructure, particularly to secure all
weather roads in north Queensland to improve market access.
• Maintaining government investment in R&D through matching industry funding.
• Ensuring the mandatory Horticulture Code of Conduct is successful in achieving
its objectives. This would include:
o Strengthening compliance commitments.
o Further education and training.
o Amendments based on industry needs.
o Enhancing the Ombudsman and dispute resolution processes.
• Implementation of the recommendations of the Dawson review and amendments
to s46 of the Trade Practices Act to give the ACCC sufficient power to stop
predatory pricing and unconscionable conduct.
• Support to further develop Farm Management Systems as an effective method of
managing on-farm risks, such as biosecurity, drought and WH&S.
• Ensuring imported produce adheres to the same food safety standards as
Australian grown produce.
• Increased funding and commitment to the “Go for 2&5” campaign.
-3-Sustainable natural resource management
Access to the natural resources of soil, water and air are critical for a viable fruit and vegetable
industry. Maintaining profitable and competitive horticultural industries while protecting
Australia’s outstanding natural assets and environments is a goal that is shared by fruit and
vegetable growers and the Australian community.
Growcom has established itself as a leader in delivering successful natural resource
management (NRM) programs to growers and promoting new thinking about the partnerships
and arrangements needed to support sustainable development in the agriculture sector.
In recent years, good progress has been made to improve environmental sustainability in the
Queensland horticulture industry. A major highlight has been the Rural Water Use Efficiency
(RWUE) Initiative which led to $250 million in water savings and increases in productivity since
it began in 1999. This program, which aims to assist horticulture producers to maximise farm
water use efficiency, has been extended under the RWUE Stage III program for another two
years, funded by the Blueprint for the Bush state government program. Growcom is keen to
also work with the Federal Government to continue to drive improvements in the environmental
performance of our industry through the Growcom Farm Management System.
Growcom seeks your support for:
• A long term policy commitment to establish a cooperative approach to
sustainable agriculture that places emphasis on self-management rather than
regulation, to properly resource and coordinate the implementation of sustainable
agriculture programs and initiatives and develop more effective linkages between
regional NRM bodies and industry efforts. This should include:
o Streamlined long-term funding programs for a risk based approach to natural
resource management which incorporate a direct role for industry organisations.
o Funding to facilitate the expansion and continuation of the Rural Water Use
Efficiency initiative to assist growers deal with the NWI, climate risk and meet
environmental commitments from the government.
o $300 million over five years to accelerate farm best practice programs to reduce
land-based impact on water quality on the Great Barrier Reef.
• The provision of sufficient water infrastructure, institutional and market
arrangements to minimise risk of water shortages to horticulture industries. This
needs to include:
o Ensuring the Prime Minister’s $10 billion Water Plan protects horticulture
producers’ water entitlements; and ensures that Basin wide planning is
accountable and recognises existing catchment water resource plans.
o Continued commitment to implement the National Water Initiative.
o A nationally consistent approach to water pricing and charging that ensures
growers do not pay for costs that benefit the wider community or costs resulting
from past policies.
o Water quality as a key funding priority for the Natural Heritage Trust and must give
priority to assisting growers to implement sustainable and efficient practices on
farm.
o Commitment by Governments and their agencies to work with in partnership with
industry to ensure the delivery of practical and effective assistance to growers to
develop their farms in a sustainable and productive way.
-4-Biosecurity
The avoidance of pest and disease incursions is of vital importance to the viability of the
horticulture industry. Australia’s unique biodiversity and relatively disease-free status, along
with horticulture’s reputation as a supplier of fresh, high quality, clean produce must be
maintained. Freedom from many of the world’s major pests and diseases is a clear advantage
in both domestic and global markets.
Effective sanitary and phytosanitary controls contribute towards preventing the importation of
exotic pests and diseases that lead to economic losses as well as a loss of market access.
Governments, industry and the community all have a role to play in biosecurity issues.
Resources need to be effectively used to assess import applications, prevent and combat pest
and disease incursions as well as fund and coordinate eradication procedures. In addition,
resources need to be applied to the protection of our borders from the natural spread of pests
through continued support of programs such as Topwatch and the Northern Australia
Quarantine Strategy.
Growcom seeks your support for:
• $16 million over 4 years for the Minor Use Program to apply additional resources
to participate in the rapidly developing global approach for the future registration
of crop protection in speciality crops. In the USA, independent research has shown
that government investment in this area has delivered 500 times return on investment.
• Increasing government funding for AQIS to ensure a high level of preparedness
and capacity to apply biosecurity measures at the border.
• $15 million over 3 years to develop and implement on-farm biosecurity programs.
• $3 million over 3 years to implement a National Fruit Fly Strategy to enable
improved international and domestic trade.
• An effective biosecurity regime which is critical to the viability of Australian
horticulture. Horticulture expects government to take a very conservative approach to
managing quarantine risks, based on high quality science, which gives the industry
confidence, and the level of protection from pest/disease incursions that they deserve.
• Government not imposing control measures on chemicals of security concern
that result in unintentional consequences on industry. Industry is adamant that
Government must not implement control measures without adequate industry
consultation after the bitter experiences around restrictions to security sensitive
ammonium nitrates (SSAN).
-5-Labour and workforce
Queensland' s horticulture industry directly employs around 25,000 permanent and part time
people. The industry also employs a large number of casual and seasonal workers all year
round, and as a result there is a high reliance on backpackers on Working Holiday Maker visas.
The horticulture industry is a major source of employment in regional Queensland and an
economic driver for rural and regional economies.
Farm labour is the most significant cost for farm businesses, representing as much as half the
overall operational costs. It is also perhaps the most critical factor in ensuring the smooth
running of field preparation, planting, maintenance, harvesting and packing activities on-farm. If
follows that human resources are growers’ most valuable resource. However, labour availability
and skills shortages remain prominent in the horticulture industry and continue to constrain our
farmers.
Growcom seeks your support for:
• Adjustments to the superannuation support system to exempt seasonal workers
on Working Holiday Maker Visas.
• Changing the taxation brackets for Australian residents and seasonal workers on
Working Holiday Maker visas so that everyone is taxed at 13% or less.
• Review of the Australian Standard Classification of Occupations (ASCO) code to
allow for accurate reflections of occupations in the horticulture industry. This will
increase horticulture employers’ ability to access the 457 visa program.
• Support for the development and roll out of the first strategic Horticulture Industry
Workforce plan. This project is currently being undertaken by Growcom in partnership
with the Department of Agriculture, Fisheries and Forestry.
• A pilot program to evaluate the potential of guest labour within the Australian
horticultural industry.
• Increased funding for Harvest Trail initiative to allow for improvements to further
benefit the horticulture industry. Improvements should include:
o Better marketing across Australia and overseas.
o On-ground regional activities.
o Working cooperatively with industry.
-6-Climate variability
Adaptation to climate change and variability will be one of the biggest challenges faced by the
horticulture industry. This industry is particularly susceptible to climate variability, as the
environment in which we operate is sensitive to any changes in temperature, water availability,
pests and diseases.
Further research is necessary to reduce the uncertainties, better establish probabilities, take
advantage of the opportunities, and identify the most cost effective adaptation and mitigation
options and strategies. It is important that industry and government improve their knowledge
base about the environmental, economic and social implications of climate change, the costs
and benefits of various responses and practical solutions to the problems raised.
Climate change and adaptation policies should be aligned and fully integrated with other
policies, such as resource security, sustainable farming systems, water availability, disaster
management and drought support.
Growcom seeks your support for:
• Major government initiatives to assist the horticulture industry in understanding
and adapting to climate change and associated risks.
• National review of natural disaster risk management which incorporates the
challenges of climate change. This should include the development of medium and
long term response strategies in the face of any disaster, as well as providing incentives
that lead to risk management approaches to natural disasters, with a shift to private
investment rather than a hand-out approach during and immediately following a disaster.
• Urgent assistance measures required to address the economic and social impacts
on horticultural communities affected by drought.
This needs to include:
o Adapt the existing Exceptional Circumstances assistance to meet the needs of
intensive industries such as horticulture.
o Establishing a hotline to respond to information requirements.
o Secondment of a drought relief support officer from the Department of
Agriculture, Fisheries and Forestry to Horticulture Australia Council (HAC).
• Investigation of opportunities for rural industries’ involvement in a national
emissions trading scheme.
• Funding and commitment to deliver the objectives of the National Agriculture and
Climate Change Action Plan 2006-2009.
• An investigation into innovative Government-supported insurance programs for
drought and natural disasters. We are seeking Government support for growers to
access affordable insurance to protect themselves against the vagaries of weather and
other natural disasters.
-7-Relationships between government and industry
Our industry is often directly affected by the day-to-day decisions of government, regularly
requiring changes to business or farm management practices.
In other cases, industry may call for new initiatives or changes to policy to improve the industry’s
contribution to the economy, along with the potential for greater productivity and sustainability.
These initiatives or regulatory changes need to be acted upon and well-managed, ensuring they
lead to outcomes such as increased investment, growth and new jobs in the industry. This is
necessary for the long term financial viability of the horticulture industry.
Growcom seeks your support for:
• A commitment from government to join in a partnership approach on issues of
strategic importance to the horticulture industry.
• A consultative government that engages with industry on issues that affect them.
• Accountability and transparency in regulatory and administrative processes.
• Increased accessibility to forums for meaningful and genuine engagement
between government and industry.
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