Calls to leverage Made in Australia policy and $15bn NRF to buttress food security

Labor faces calls to extend its Future Made in Australia plan and $15bn National Reconstruction Fund to the agriculture sector to buttress food security.

National Farmers' Federation chief executive Tony Mahar. Picture: AAP Image

Fresh calls have emerged for Labor to use its Future Made in Australia agenda and the $15bn National Reconstruction Fund to bolster food security by producing more fertiliser and fuel at home to better prepare the nation for a disruption to supply chains or even a potential conflict.

After public service chiefs lifted the lid in recent weeks on the broadening of national security and its intersection with economic security, a new focus had shifted to Australia’s capacity to feed itself – especially if imports of chemicals, fuel and fertiliser are disrupted.

While Australia exports about 70 per cent of the food it produces, National Farmers’ Federation chief executive Tony Mahar warned that food security was a neglected issue and “always as a second-tier thought and not included as part of the whole of government approach”.

“The Australian agriculture industry is significantly exposed to global supply chain disruptions and we have for some time been advocating for more co-investment from government to reduce the risks in this space,” Mr Mahar said.

“We are at the mercy of global supply chains and we have seen issues such as the shortage of AdBlue (diesel additive) that almost brought the country to a standstill.”

In November, the standing committee on agriculture recommended the government develop a comprehensive national food plan along with the states and territories providing for food security. It also recommended the development and expansion of the domestic production and manufacturing of essential inputs, such as fertiliser and agricultural chemicals.

Chair of the committee, Labor MP Meryl Swanson, said Australia was one of the most food secure countries in the world “but that doesn’t mean we shouldn’t keep a close eye on our food production systems to ensure we are able to deal with the challenges of the future”.

“Recent developments abroad have shown that food security issues can develop from things that are out of the government’s control,” she said. “A key recommendation was how inputs in food production, things like fertiliser and fuel, could be manufactured locally to improve food security.

“The government’s Future Made in Australia agenda and our National Reconstruction Fund can provide the platform to make the most of our natural resources and ensure these inputs are more secure.”

Founder and principal of Agsecure, Andrew Henderson, told The Australian the 2024 National Defence Strategy was “not the strategic framework that harnesses all arms of Australia’s national power to establish a holistic integrated and focused approach to protect Australia and our interests that it claims to be”.

The Australian Global Food Forum

“Food security is a prime example,” Mr Henderson said. “Our trade exposure and our geography puts the food system squarely at the mercy of increasing geostrategic challenges.”

He said more than $31bn worth of agricultural output could be attributed to the use of crop protection products, most of which were imported.

“About 80 per cent of Australia’s fertiliser requirements are imported, mostly from North Africa and China,” he said. “Our liquid fuel and maritime shipping vulnerabilities are well understood and in the horticulture sector alone, up to 34 per cent of growers are considering exiting the industry due to workforce shortages, growing input costs and reduced margins.

“There is no visible plan to safeguard Australia’s food security,” Mr Henderson said.

Agriculture Minister Murray Watt told The Australian the biggest risk to food security was a “biosecurity incursion” and that $500m from the NRF had been allocated towards improving agricultural productivity.

“Our government’s Future Made in Australia agenda encourages companies to expand their onshore processing capabilities, to make the most of our natural resource advantages for products like fertiliser and other agricultural inputs,” he said. “The government is currently working on a response to the Inquiry into food security in Australia.”