What 2007 holds in store

Feature Article in Queensland Country Life

Published: 8 February 2007

by

David Crombie

President

National Farmers’ Federation

LAST year was challenging for Australian agriculture. Now, with the onset of 2007 and a federal election on the horizon, a lot of important ground needs to be covered.

Agriculture featured prominently in many of the headline issues of 2006 with NFF on the front foot – addressing all areas impacting on the viability and sustainability of farming.

NFF delivered tangible outcomes for farmers in drought relief, natural resource management (NRM), economics and communications… to list just a few.

This New Year heralds more of the same.

‘2006 – 09 STRATEGIC PLAN’

At the beginning of 2006, NFF members signed off on a comprehensive new Strategic Plan designed to focus on core activities for NFF over 2006-09. This provides clear direction and purpose to achieve crucial wins for Australian farmers. It was also recognised that NFF should only advocate national issues. State and industry issues need to be represented by state farm organisations and industry organisations.

NFF’s Strategic Plan identifies four pillars that embrace wider market access, improved efficiency, sustainability in production and better communication.

NFF will continue its support for better market access as part of WTO and FTA negotiations and will push for ambitious and comprehensive outcomes for Australian agriculture.

In 2006 NFF undertook a strategy to more effectively communicate the agricultural story to metropolitan audiences. Informed by in-depth market research, this new communications strategy has put in place new tools and priorities, pushing consistent messages to positively reposition farming in the mindset of the broader community.

NFF deliberately expresses farming issues in terms that reflect, and are relevant to, mainstream Australia, to promote contemporary messages that resonate and are reinforced. This harnesses the positive perceptions of agriculture and its contribution, while confronting misinformation and addressing misconceptions.

Less than a year in operation this strategy has exceeded expectations, resulting in greater, more prominent and ‘on message’ mainstream media coverage, better informed media commentary through focusing on evidence-based messages, and has influenced opinion leaders in their public pronouncements.

Through our market research in December 2006, it is clear there has been a significant positive impact on metropolitan Australia’s perception of farming and willing acceptance of the sector’s relevance.

With these foundations laid, NFF will launch a national advertising campaign in the first half of 2007, along with a revamped, modern website, and educational resources for schools.

Without doubt the backdrop to 2006 was dominated by the devastating drought – regarded by many to be the worst on record.

NFF understands the pressures many faming families and their communities face. Putting ‘first things first’, NFF informed and guided the Federal Government’s drought response to ensure Exceptional Circumstances (EC) remained in place, with the Prime Minister announcing a $350 million extension of EC until mid-2008.

NFF then steered the Government’s move to make EC more flexible and accessible, along with another $560 million to expand coverage to 44 farming regions.

Looking forward, however, a more strategic and longer-term vision for dealing with drought is clearly necessary – geared towards drought management, recovery and future drought preparedness. This will be a major component of NFF’s ‘sustainability’ agenda for the 2007 Federal Budget.

‘2007 FEDERAL BUDGET’

NFF’s pre-Budget calls for a “generational shift in thinking”, picking up on the Sustainability and Efficiency pillars of NFF’s Strategic Plan. We need to lay solid foundations for maximising the sustainability of Australian agriculture, through: the environment, capacity building (including drought management), supply chain efficiency, labour force flexibility, and biosecurity.

Each of these is vital in underpinning the sustainability of agriculture. A significant investment across these areas will not only strengthen the farm sector, but also serve the economic, environmental and social interests of the nation.

The Federal Government has already endorsed NFF’s Environmental Stewardship initiative – moving from a regulatory-based framework to an incentive system that recognises the important role farmers play in NRM. This is a revolutionary program to deliver environmental outcomes through profitable on-farm solutions.

‘DROUGHT MANAGEMENT’

NFF and the Federal Government’s first priority in the prevailing drought has rightly been to provide an effective social welfare safety net to those most in need through Exceptional Circumstances, plus targeted business support to maintain productive capacity, as well as making these more accessible.

Our approach is to shift the policy paradigm from drought relief to drought management, recovery and, ultimately, drought preparedness. That is, investing with farmers to assist in managing their normal drought risk and, within reason, to work with farmers in creating better buffers for future drought events.

‘THE ENVIRONMENT’

NFF’s Environmental Stewardship Program is fundamental to delivering sound, market-driven NRM to fund landholders in achieving environmental outcomes on their properties in line with community aspirations, via agreements between the landowner and the Government.

This is a key part of NFF’s pre-Budget submission. Farmers occupy 60% of the continent. Therefore, they are at the frontline in environmental management. The direct engagement of farmers in the delivery of NRM outcomes for more sustainable production, while also delivering benefits for the community at large, is critical. It has widespread policy and public appeal.

‘SUPPLY CHAIN EFFICIENCY’

Agriculture relies on efficient transportation for its delivery of fresh produce to domestic and world markets. An integrated approach to transport, across road, rail, air and sea systems, is essential to ensure each link is optimised.

Upgrading our key rail networks, particularly for non-bulk and containerised freight, to ensure competitiveness, encouraging national uniformity in standards and procedures for road and rail regulation, bolstering inland-based transport systems, investing in local level transport infrastructure, developing freight hubs, and up-scaling shipping port capacity to meet global needs, are all keys to maximising our competitive edge.

The National Food Industry Strategy is crucial to maximising whole-of-chain development, efficiency and growth in an increasingly competitive global market.

‘LABOUR FORCE ISSUES’

Agriculture depends on a workforce with the skills and flexibility to address seasonal production and processing. Regional labour peaks, over and above normal management, require a flexible approach to labour supply that can be delivered through short-term arrangements.

To encourage foreign resident workers (particularly into horticultural), NFF wants the applicable tax rate lowered from 29% to 13% – in line with Australian residents. This encourages increased income and spending in regional Australia, while bolstering access to a more flexible and growing labour force.

Similarly, NFF is seeking changes to the Minimum Salary Requirements for 457 Visas, namely that the minimum salary be set commensurate with Federal Awards.

‘BIOSECURITY’

Australia is free from many exotic plant and animal diseases and pests and our agricultural products have worldwide competitive recognition flowing from this.

NFF welcomed the adoption by the Government of changes to the Import Risk Analysis process and NFF will closely scrutinise outcomes from the changes.

NFF is pressing for additional resources to cover the expanded role of the Eminent Scientists Group, and increased inputs by the Department of Agriculture, Fisheries and Forestry in managing and monitoring progress of the improved Import Risk Analysis process and other supporting procedures.

‘OTHER INITIATIVES’

NFF has reinforced with Government the significant and independently-recognised contribution that primary industries already make to reducing greenhouse gas emissions – down a massive 40% over the past 15 years.

This has been delivered through better farming practises (minimum till, trash blankets, etc), the development of deep rooted perennial pastures, tree planting for conservation and reduced tree clearing… all measures that put the carbon back where it belongs, in the soil.

As part of NFF’s push to change the way Australia looks at NRM issues in the context of farming, NFF announced its decision to join with the Australian Business Roundtable on Climate Change in calling for early action on climate change.

This affirmed farming’s engagement in climate change through 2007 and beyond – including emissions trading. It is essential that policy decisions are factually based and this will require better measurement of carbon movement and more research in new technologies to reduce emissions across all sectors, including agriculture.

Farmers stand to be directly affected by any longer-term change in climate and NFF has already publicly stated its views to ensure agriculture has a proactive voice at the table.

Another issue championed in 2006 and which we will be addressing in 2007, is delivery of the mandatory Code of Conduct for Horticulture. Despite the Government’s initial reluctance to honour its 2004 election commitment, the Code will be legislated and implemented in the first half of 2007.

In tackling all of these issues, NFF has been, and will be, steadfast in strategically and positively positioning agriculture and it significant contribution to a modern Australia.

NFF’s policy credibility, advocacy and improved communications are winning back the confidence and respect of mainstream Australia, and taking key decision-makers forward on the same journey.

[ENDS]

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