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AMPG BRISBANE and CANBERRA MEETINGS

AMPGBrisbane Beef Industry Reform Meeting 23 February 2012

Attendees who included AMPG members, non-AMPG members and representatives of the Cattle Council and RMAC were:

Alistair Henderson (Facilitator), Michael Spencer (AACo), Tony Gooden (Elders), Ashley McKay (QLD Cattle Producer), John Berry (SWIFTS), Tony McCormack (Stanbroke Pastoral), John McDonald (Bindaree Beef Pty Ltd),.Paul Holmes a Court (Heytesbury Holdings) Cameron McIntyre (QLD Cattle Producer), Norman Hunt (advisor), Ian McCamley (QLD Cattle Producer), Andrew Ogilvie (Chairman of CCA), Peter Hall (Director of CCA), David Inall (CEO of CCA) Jed Matz (Deputy Director of CCA), Greg Brown (former President of CCA), Ross Keane (Chairman RMAC)

The all day meeting commenced at 8:45pm and concluded at 5:15pm.

The meeting was very constructive and wide ranging and both the AMPG Industry Organisational Reform Proposals and the Cattle Council Reform Discussion Paper were discussed.

A number of issues and problems with the current industry structures were identified and there was general agreementregarding the mood for change, concerns about falling industry profitability and the burden of uncompetitive Government costs and charges imposed on industry and the four following issues regarding the Red Meat Industry Organisational Structures:

  1. the dysfunctional divide between policy setting and policy delivery under the current MLA/Peak Council/MOU structure;
  2. Peak Council funding problems;
  3. confusion by both Government and industry as to who was the voice of industry; or
  4. the perception by many grass roots producers that they were disenfranchised from their current system.

The comments by Cattle Council at the Brisbane Meeting underscored the significance of the first three issues and comments by the producers present underscored the disenfranchment issue.

The AMPG's main concerns with the Cattle Council Reform Proposal in its current form is that:

  • it only addresses the Cattle Council's funding problem and doesn't provide an adequate solution for the other three issues; and
  • it is unlikely to be agreed to by the Government because the proposal does not appear to comply with the Government's Levy Principles and Guidelines.

The AMPG Reform Proposals, however, address and provide solutions for each of the four identified issues by combining the policy setting, policy delivery and representative functions into one levy funded body with a directly elected board which overcomes the current divide between policy setting and policy delivery and would provide a well funded single voice from the Red Meat Industry to Government and enfranchise all levy payers.

The AMPG Reform Proposal which is based in part upon the Australian Pork Limited model clearly falls within the Government's Levy Principles and Guidelines.

AMG Deputation to Canberra 28 February 2012

Delegates from the AMPG met with Brian Ramsey from Innovactthe executive of the Australian Pork Limited, Mr Ludwig, Shadow Agriculture Minister John Cobb and Senator Bill Heffernan in Canberra on 28 February 2012.

Despite fears to the contrary expressed at the Brisbane Meeting it was clear that Minister Ludwig is not opposed in principle to the creation of a combined levy funded policy setting, policy delivery and representative body for the Cattle Industry provided that the proposal has broad industry support.

The AMPG delegation had a very constructive discussion with Brian Ramsey from Innovact and it seemed that any issues arising out of the difference between the smaller number of producers in the Pork Industry (where 20% of the players produce 90% of the product) and the much larger number of Cattle Producers with more evenly spread production output, could be overcome by the two register voting system proposed by the AMPG.

The executives of Australian Pork Limited spoke very favourably of their combined policy setting and policy delivery structure which allows a seamless flow between policy setting,policy delivery and representation.

Minister Ludwig noted that, unlike the current situation in the Cattle Industry, there was no confusion by either industry or Government as to who is the voice of the Pork Industry. When the Government wishes to deal with the Pork Industry issue it simply speaks to the CEO and executives and/or the directors of Australian Pork Limited.

The Minister made it clear to the AMPG during the meeting with him at Canberra on 28 February 2012 that any legislative changes sought by industry,whether initiated by the Cattle Council, the AMPG or any other group, would need to have broad industry support before he would enact them.

Consequently, the AMPG foreshadow further wide ranging industry discussions over the coming months with other industry groups including regional cattle and sheep associations, state farm organisations, the Cattle Council and the ABA.

AMPG BEEF INDUSTRY REFORM MEETING IN BRISBANE 23 FEBRUARY 2012