Anne Urquhart (Tasmania, Australian Labor Party) Share this | Hansard source

I rise to take note of answers from Minister Ludwig on the issue of assistance for farmers. Our government has a plan for Australian agriculture. Contrary to what we have heard from the other side, this plan was brought to life in the last federal budget delivered by our government. That was an investment of $1.9 billion in our farmers and our food. Part of that was a plan for agriculture that will include a whole range of people: farmers, fishers, foresters, industry leaders, researchers and officials. The aim of that is to ensure that Australian agriculture can continue to grow from strength to strength into the future.

We know that, while many are able to succeed in agriculture, not everyone is feeling the benefits of this strong economy. I absolutely welcome the opportunity to speak about the government's Farm Finance package. In April, $420 million in concessional loans for farmers was announced, particularly for those farmers doing it tough. There are lots of reasons why farmers are doing it tough. There are lots of fires; there are droughts; there is the high dollar—there are a whole range of issues as to why farmers in this country are doing it tough. Even viable operations are still struggling under the weight of that high dollar and, of course, reduced land values and other issues. But we have listened to the concerns of the farmers.

That is why this government announced that Farm Finance package. The package is one of concessional loans that give farmers breathing space so that they have time to focus on growing and improving their own farm businesses. They are a relief for the farmers. That is what the loans are; they are to provide relief for farmers in a tough time. Eligible farm businesses can save anywhere around $100,000 if they want to consolidate an existing loan. Our plan for agriculture is to assist our farmers and strengthen the foundation for them to be able to tackle debt head on.

But this support requires cooperation and partnership with the states. We want the state and territory governments to make the loan products available across the country as soon as possible so that the farmers can access the assistance they need at a time when everything is tough for them. The state governments have the infrastructure and the expertise on the ground to do this. However, as yet they have been very slow coming to the table. The only contribution we have asked them to make in this agreement is to deliver the loans and cover the administrative costs. It is not a huge ask for the states to come forward and provide this assistance for the farmers, who are doing it tough for many reasons. This is real money for our farmers. It is about real money to assist them in the process of getting on with the business they are out there doing every day, which is to grow product, wheat, sheep, beef or whatever it is they grow. This is about helping them.

As my colleague Senator Stephens indicated, the starting concessional rate is set at 4.5 per cent, and that would apply nationally. That is a very reasonable rate—of course, it is going to be reviewed, but it is a reasonable rate. We are bearing the entire risk of these loans. The government is doing this to assist people when times are tough. Our No. 1 priority for farmers is to get this rolling, and to do this we need to have the state governments onside to make sure we get this out to those who need it most. We know there are lots of benefits in this.

The farm finance consists of four measures: concessional loans to help restructure debt and invest in productivity; additional rural finance counsellors to work directly with farm businesses; progressing a nationally consistent approach to debt mediation; and to enhance the Farm Management Deposits Scheme— (Time expired)