House debates

Tuesday, 18 March 2014

Bills

Farm Household Support Bill 2014, Farm Household Support (Consequential and Transitional Provisions) Bill 2014; Second Reading

5:39 pm

Photo of Tony PasinTony Pasin (Barker, Liberal Party) Share this | Hansard source

I rise today to speak on the Farm Household Support Bill 2014 and the Farm Household Support (Consequential and Transitional Provisions) Bill 2014. I do so as a proud representative of the farming communities in Barker. I was privileged to have a rural upbringing, and I continue to take an active interest in my families farming enterprise around Mount Gambier. That is a part of the south-east of South Australia that, thankfully, enjoys some of the most reliable seasons of any agricultural district in the nation—although, as we saw cruelly in years like 2006, we are far from immune to drought.

Barker, however, is a diverse electorate—64,000 square kilometres of diversity. Today in my electorate we are experiencing extremely dry conditions throughout the Mallee. So, while, thankfully, the current situation seems confined, tragically, the spectre of drought for those in Northern Queensland and New South Wales—just as it is in areas such as my electorate.

When financial hardship can strike more assured farm communities such as those in my electorate, as it has done in recent years—especially among local dairy farmers—we are reminded of the threat of more widespread drought in other areas of Australia. I have always believed that it is the responsibility of a good government to strike the right balance when it comes to exceptional circumstances. I think it is important to have a system in place to support those farmers who are experiencing extraordinary hardship, and provides them with the assistance they require for their livelihoods to be sustained with dignity and into the future.

I am proud to represent an electorate that makes a significant contribution to Australia's agricultural industry each year. It is a sector that, as other speakers have pointed out, generates over $47 billion of revenue nationally, in terms of gross value of production. Farmers throughout Barker contribute disproportionately to the nation's farm exports, amounting to total sales of approximately $38 billion in the last year alone. This income is absolutely vital to our entire economy, but particularly in regional communities such as those throughout Barker. When those sales literally dry up, due to tough seasonal conditions, our farmers need the support of the Australian government to ensure they survive the bad times, so that they can quickly thrive and capitalise when seasonal and market conditions improve.

Like others in this House, I have a bullish view of the future of the agricultural sector in Australia, and particularly for the agricultural sector in Barker. But one of the greats risks is the concept of generational farming. We need to ensure that farming is both profitable and attractive for the next generation of farmers that I hope, as I am sure the member for Mallee hopes, will come along with us on the extraordinary journey we are on in this place. I am very pleased that the coalition, through these measures, are doing everything that they can to encourage and assist farmers to adopt best practise farm management techniques and smarter business management strategies, so they can grow and adapt in the face of uncertain seasons and ongoing economic challenges.

We must also acknowledge that periods of extreme difficulty can be caused by a number of different factors and, importantly, this bill confirms the coalition's commitment to introducing a new Farm Household Support Payment to those in need of financial assistance. That is an important point. This is a needs based system. In the absence of the member for Grey, I must say as a regional representative from South Australia that, contrary to some of the media speculation early in this debate, this is a measure that will address the hardship being experienced by those farmers in northern South Australia. The member for Grey represents South Australia's pastoralists, in particular the ones who produce livestock in those areas, and this measure is available to them. That was done in response to approaches to myself, the member for Grey, and the Minister of Agriculture, by organisations including Livestock SA.

It is important to acknowledge the bipartisan way in which these changes have been supported thus far. I commend the members on the other side of the chamber for working with the government to implement these important changes. Nonetheless, I know there are those that have been critical of the coalition's commitment to provide this kind of assistance to farming families in need. To be honest, I think anyone who does not support this kind of package either is trying to play politics with this very important issue or has a shameful lack of appreciation for the agricultural sector and food production in particular.

I think it is clear that these measures will address many issues faced by farmers in drought, including rising debt levels, the capacity to make household payments, limited water for livestock, personal stress and the management of pest animals. This is reflected in the way that industry has welcomed these changes since they were announced in February.

In looking for a moment at the bill in more detail, I note that the farm household allowance provides: three cumulative years of income support for farmers and their partners in hardship without the need for a climatic trigger; a $2.55 million net farm assets test where the principal home is excluded; an income test consistent with Newstart allowance but with a provision that will allow off-farm income to be disregarded as income where it is used to pay interest to a commercial lender; automatic entitlement to a healthcare card; waiting periods consistent with social security payments; support from a Department of Human Services case manager to help assess a recipient's situation, develop financial improvement agreements and then fund activities set out in the agreement; and a compliance framework to ensure obligations are met to address fraudulent activity. Of course, it is important not to lose in this debate the very significant stress placed on farmers in drought conditions. As someone who has worked with a disproportionate number of people in my previous professional life who suffered mental health conditions, can I say we must never forget that at these times of high stress.

I know that the relief package was a major topic for discussion when I hosted the Minister for Agriculture in my electorate of Barker on 18 and 19 February in advance of this announcement. We met with a number of livestock producers and mixed with farmers from throughout the south-east and even parts of western Victoria, represented so well by the member for Wannon. The late Tuesday afternoon at the Mt Gambier saleyards, where preparations were being made for the following morning's weekly prime cattle, sheep and lamb market, was a very suitable backdrop for a discussion about the relief package, which had only just come to significant media attention. We know that the physical markets are nearly always still the best barometer for how the livestock industry is travelling during these tough times of drought. Even though the seasonal conditions that we speak of are far away in northern New South Wales and Queensland, they still impact on the markets in the south. It is a consistent reminder of how all Australian farmers are so closely linked together within this industry, no matter how many thousands of kilometres separate us.

At that gathering we had members of a number of significant primary industry organisations, including Mr Andrew Ogilvie, who is President of the Cattle Council of Australia and a local beef producer. We also had in attendance the President of Livestock SA, Mr Richard Halliday, and the Vice President, Mr Jack England—both of whom are also south-east farmers. I was also pleased to welcome the Mackillop Farm Management Group Chairman, Mr Duan Williams, and his deputy, Mr David Farley. The Mackillop group is an exceptional regional-based producer network that is independent and proactive, and develops innovative and sustainable farming practices through research and extension for the benefit of primary producers in the south-east. They are very much a can-do organisation.

The relief package was also of interest the following day when the minister and I travelled to Renmark in the northern parts of my electorate. There we met with the Riverland wine grape and citrus growers, who know, unfortunately all too well, about drought. It was an interesting discussion regarding the government's relief package. With such informed groups, I know the minister enjoyed the positive feedback he received during his time in Barker. I was very pleased to help facilitate these discussions because I think it is important that primary producers in my electorate know that Australia has a federal agriculture minister who knows his way around a set of cattle yards and is at ease surrounded by farmers. What a welcome change it is to those of us in rural Australia with an interest in farming that we have a minister who is actually passionate about agriculture. The feedback we received on our tour was positive. Just as encouraging has been the ongoing discussion that I have been having with primary producers in Barker about the government relief package.

Farming families and industry groups are grateful that the federal government is genuinely committed to ensuring regional communities are not    abandoned at this time of crisis. I, too, am grateful that our Prime Minister and Minister for Agriculture have put a suite of measures on the table which offer an updated financial, social and mental health support framework for those in greatest need. I echo the sentiments of the National Farmers' Federation President, Brett Finlay, who I understand was in the building earlier today. He has said that the government's relief package announced demonstrates that the coalition government is listening to the farming community. I think Mr Finlay was spot-on when he described the package as being both fiscally responsible and considerate of circumstances suffered by rural communities in many parts of Australia. I also concur with Mr Finlay's commendation of the minister for his continued efforts as a champion for Australian agriculture.

I believe this bill is the cornerstone of the coalition's commitment to supporting family families through difficult times and investing in the growth of a profitable and globally competitive agricultural sector. This is important because, as others have said in this place, it will rain again; and, when it does, we need to be ready to take advantage of that situation.

That is why I am proud to be a member of the coalition government and proud that we have introduced this bill into the parliament. This bill reinforces the federal government's support for the Australian food and fibre producers and, more broadly, for our nation's rural and regional economies. As such, I commend it to the House.

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