Aussie Ag takes stand against biosecurity tax with National Day of Action

The National Farmers’ Federation (NFF) has called a National Day of Action to make a stand against the Biosecurity Protection Levy. 

The day of action comes just days before the Rural and Regional Affairs and Transport Legislation Committee Senate Inquiry into the levy is expected to hand down its report on Friday, ahead of Budget Week when the bill is expected to be voted on in the Senate. 

NFF President David Jochinke said rarely did an issue warrant such a stand, but farmers were fed up with the Government’s dogged pursuit of implementing the levy, despite strong opposition from industry and independent experts.  

“We vehemently oppose this policy as it is rotten to its core,” said Mr Jochinke, who is attending Beef 2024 in Rockhampton this week.  

“This policy is less popular than a picnic on a fire ant nest. The fact the government is persisting just shows contempt for farmers and proper policy.  

“On behalf of our members, nearly all of Australia’s 85,000 producers and the thousands of individuals and businesses in the supply chain, we are telling this Government to scrap the tax. 

“We are less than two months away from this proposed levy being implemented, yet we still have no idea how the levy will be collected and managed. What a shambles.”  

David Jochinke and Natasha Lobban catch up at Beef on Tuesday to talk all things Beef, including the biosecurity tax.

Prime Minister Anthony Albanese and Minister for Agriculture Murray Watt attended Beef on Tuesday and faced questions on the biosecurity levy at a press conference. 

Mr Albanese deferred the question to Mr Watt, who reiterated that producers would only contribute 6% of the overall biosecurity funding, with the vast majority contributed by taxpayers and importers.   

“What that means in practical terms, is here yesterday, cattle were selling for about $2,000 to $2,500 per head. What we'd be asking producers to pay, here through that levy, is a bit over $1 per head, towards protecting their livelihoods through stronger biosecurity protection,” he said. 

“It's always been our plan to introduce this levy on the 1st of July as a way of making a contribution to biosecurity. There is legislation that needs to be passed in the Senate. We're in discussions, of course, with a number of parties about that at the moment, and I don't want to pre-empt the Senate. 

“This is a really important contribution that producers can pay towards stronger biosecurity and protecting their own livelihoods.  

“To me, if we're gonna ask the shop assistants, the cafe workers, the roads workers to chip in a bit more money here in central Queensland for biosecurity, I think it's only fair to ask producers to pay a fairly, very small amount as well.” 

Minister Watt would not be drawn by questions about what would happen if the Senate did not pass the bills, not answering whether it would be scrapped or if it would go back to the drawing board. 

“It's our intention to see this passed by the Senate and we'll be working very hard towards that because we believe that biosecurity needs significant funding to protect this industry and protect the many thousands of jobs that it relies on,” he said.  

“We'll keep working with industry about this, but as I say, it's important that biosecurity is a shared responsibility, taxpayers have got a responsibility, importers have got a responsibility, and we think producers do as well.” 

Mr Jochinke said the NFF supported efforts to strengthen and better fund Australia’s biosecurity system, but this tax was not the way. 

“The Coalition, Greens and independents have already shown their support for farmers, voting against the levy in the lower house. We call on them to continue to back Aussie farmers and do the same in the Senate,” he said.  

“The NFF has long-called for the risk creators who bring the pests and diseases to our shores to contribute more to our system, rather than punishing farmers who are left to deal with incursions at great cost to their farm businesses.  

“This call has been backed by review after review and it’s time the Government looked seriously at getting this right, not just for food and fibre production, but for all Australians.  

“Today agriculture stands united to urge the Senate to #ScraptheTax and #KeepFarmersFarming.” 

Meanwhile, The Nationals have thrown their support behind the National Day of Action and on Wednesday launched a new petition called Stop the Fresh Food Tax.

Leader of The Nationals David Littleproud urged all Australian farmers and families to get behind the campaign and sign the petition.

“We urge families and farmers to join us in this fight and to sign the petition to stop Labor’s fresh food tax. This new tax will hurt almost all Australians, because farmers will be forced to pass on costs, meaning families will feel more pain at the grocery checkout.

The bills explained  

The government's package of three bills seeks to impose a new biosecurity protection levy to be payable by producers.   

They are the: Agriculture (Biosecurity Protection) Levies Bill 2024, Agriculture (Biosecurity Protection) Charges Bill 2024, Agriculture (Biosecurity Protection) Levies and Charges Collection Bill 2024.  

Two of the bills seek to implement a biosecurity protection levy or charge to be inflicted on Australian farmers to pay for biosecurity activities which are undertaken by the Department of Agriculture, Fisheries and Forestry.   

The third bill, the Agriculture (Biosecurity Protection) Levies and Charges Collections Bill 2024, will enable the collection of the levy.   

The levy is slated to commence on July 1, 2024.  

Labor will set the tax rate as a proportion of an industry’s average gross value of production over a three-year period.   

The legislation lacks any detail of the cost to farmers or how the levy will be collected. It is not yet clear what industry will have to pay.   

More than 50 agricultural representative groups previously signed a joint letter to Prime Minister Anthony Albanese expressing unified opposition about the new tax. 

The Bills passed the House of Representatives on March 27. The government forced through the Bills, 74 votes to 67, with only Labor MPs’ support. 

The Bills will have a harder time in the Senate, where the Labor Party does not have sufficient numbers and is reliant on The Greens or minor parties and independents to get it through.

There are only three Senate sitting days, starting May 14, before the apparent July 1 implementation date, which could be in jeopardy due to this scrutiny. 

The Bills have been referred to the Senate Rural and Regional Affairs and Transport Legislation Committee and a report is due on May 10.