Biosecurity Levy – Coming to a Dairy Farm Near You?

The Federal Labor Government’s 2023 budget included what they are calling a Biosecurity Protection Levy, to contribute to the cost of biosecurity measures. The government’s proposition is that, because farmers are the beneficiary of biosecurity measures, they should contribute. It will be set at 10% of the 2020-2021 agricultural levy rates.

The government has called for submissions by 6 October 2023 about how the levy is to be introduced, but stressed they are not open to submissions rejecting it, and not open to major modifications.

eastAUSmilk is in the process of developing their views about how they respond to this narrow ‘invitation’. Other agricultural industry bodies are also considering their response, and it is clear some will reject the whole idea and will oppose the new impost.

This is not a levy. It is a fee, charge, excise, or tax and should be accurately labelled as such. This point is not merely semantic. The existing levy system collects funds for industry purposes, is overseen by industry representative bodies, and is generally supported by the agriculture sector. The Biosecurity Protection Levy will, on the other hand, be funnelled into consolidated revenue, will not necessarily be spent on biosecurity initiatives of relevance to industry, and there will be no industry oversight.

The Government’s own levy guidelines set out how a levy is introduced and managed, and this new budget measure is introduced in a way not countenanced by those guidelines.

eastAUSmilk is consulting with Australian Dairy Farmers, and with Queensland Farmers Federation and their affiliated organisations, in developing a response.

Mike Smith, eastAUSmilk Government Relations Officer