Loretta Carroll: Cattle producers fear biosecurity hip pocket hit
Cattle producers are preparing to fork out more than $7 in total levies for every beast sold, once the biosecurity levy is implemented.
The federal government’s proposed new biosecurity levy will impact on a cattle producer’s bottom line.
Mudgegonga cattle and sheep producer Loretta Carroll AM said already grass-fed cattle producers paid $6.85 in levies for every beast sold – $5 was for the cattle transaction levy and $1.85 for the vendor compensation levy.
The biosecurity levy, which is due to come into effect on July 1, would add another 50 cents a head to this, taking the total to $7.35 a head.
Ms Carroll, who is Cattle Australia’s Victorian regional consultative committee representative and runs about 300 head of cattle and 400 sheep, in a family operation said she thought it was “wrong” to add another levy on to what they already pay.
“I support a strong biosecurity protocol, however do not agree with an increase in levies directed to Australian producers.,” she said.
“The risk to a biosecurity event occurring in Australia does not sit with the Australian farmer, it sits with the importation of products from countries that carry disease.”
“I think people who are travelling into the country, or Australians travelling to other countries, a small levy wouldn’t be noticed and it would provide a larger amount of funding to the biosecurity cause.
Ms Carroll said as producers they already have a lot of systems in place for their own biosecurity on their properties, and “I believe we are doing our part”.
“At a time when cattle prices have decreased by up to 50 per cent, and production costs have increased extensively across the board, this reduced income will affect our profitability, with flow-on effects for our productivity and sustainability capabilities.
“We undertake management practices to protect land and water, but we can’t do all of that as well if we are in decline.”
“We produce an important product and it has the potential to affect our cash flow,” Ms Carroll said.
“We can’t say we will put our prices up to counteract a new levy, as we are price takers and it will hit our hip pocket.”
Last week, leaders from more than 50 commodity groups – including Cattle Australia, the Red Meat Advisory Council, Grain Producers Australia and Wool Producers Australia – signed a letter to Prime Minister Anthony Albanese, Agriculture Minister Murray Watt and Treasurer Jim Chalmers to call for the new tax to be axed.