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CONTENTS
Buffalo Export Charge Bill 1997
Date Introduced: 1 October 1997
House: House of Representatives
Portfolio: Primary Industries and Energy
Commencement: On the same day as Part 3 of the
proposed Australian Meat and Live- stock Industry Act
1997, that is, on Proclamation or nine months and one day
after Royal Assent, whichever is first.
To impose a charge on buffaloes exported from Australia. The
charge will be payable by the producer of the buffaloes.
Under existing law a charge is imposed by the Live-stock
Export Charge Act 1977 on lambs, sheep, goats and buffalo
exported from Australia. The charge is payable by the producer. The
Primary Industries Levies and Charges Collection Act 1991
provides for the collection of the charge.
Proceeds raised by the charge are apportioned between the Meat
Industry Council (MIC), the Australian Meat and Live-stock
Corporation (AMLC), the Meat Research Corporation (MRC) and the
Australian Animal Health Council Limited (AAHC).
The Live-stock Export Charge Act 1977 is being repealed
by item 1 of Schedule 4 of the proposed
Australian Meat and Live-stock Industry (Repeals and
Consequential Provisions) Bill 1997.
This Bill forms part of a package of 17 Bills restructuring the
regulatory framework of the Australian meat and live-stock
industry. Under existing levy and charge arrangements, funds raised
primarily go towards funding the MIC, AMLC and MRC. Under the
proposed arrangements the government intends that industry
contributions will be sourced on a statutory and non-statutory
basis. The collection of statutory levies is intended to be based
on the current system but with changes providing for a transaction
levy on sheep, lambs and goats, replacing the current livestock
slaughter levy, and a separate transaction levy on grain fed
cattle.
The rationale given by the Minister in the Second Reading Speech
to the Australian Meat and Live-stock Industry Bill 1997 for the
transaction levy approach is:
The transaction levy approach for sheep, lambs and goats was
adopted at the request of a clear majority of industry whose
submission met all of the requirements of the government's levy
principles. A similar request was also submitted by the grain fed
cattle industry sector for a separate cattle transaction levy.
Again this submission met each of the Government's levy
principles.
The existing levy and charge imposition Acts have been modified
to provide for clear sectoral ownership.(1)
In relation to non-statutory contributions, the government is
setting the processor and exporter levies at zero. It should be
noted that the Minister in the Second Reading Speech to the Bill
issues a warning in respect of such contributions, that is:
Should the non-statutory contributions by processors and
livestock exporters fail to meet agreed funding levels for joint
industry functions, and as specifically agreed by these two
sectors, the Government has their prior agreement to maintain
levies at a required level to ensure there is adequate
funding.(2)
Under the proposed arrangements, the Government intends that
decisions on levels of levies and charges be the responsibility of
the relevant peak industry council.
In respect to the buffalo industry it may be noted that the
industry will not be contributing through the charge to the
proposed marketing and research bodies, but rather to the Rural
Industries Research and Development Corporation (RIRDC) and the
National Cattle Disease Eradication Trust Account (NCDE), as per
existing arrangements. The rationale given by the Minister in the
Second Reading Speech to the Australian Meat and Live-stock
Industry Bill 1997 for the proposed arrangements with respect to
the buffalo industry is:
The particular requirements of the buffalo industry will be met
by new buffalo export charge and slaughter levy acts. Separate levy
acts are needed because the buffalo industry will retain slaughter
levy and export charge arrangements. Contributions from the buffalo
industry will continue to go to the RIRDC, the NRS [National
Residue Survey] and the NCDE, as at present.(3)
The reader is also referred to the Digest for the Australian
Meat and Live-stock Industry Bill 1997.
A charge will be imposed on buffaloes exported from Australia by
clause 4.
Clause 5 provides that the regulations may
provide that no amount of levy is payable by producers of
buffaloes.
Clause 6 provides that the rate of charge on
the export of each head of buffalo will be:
- $4.60, or a prescribed amount up to $18.00, for payment to the
RIRDC; and
- 73 cents, or a prescribed amount up to $4.00, for payment to
the NCDE.
The charge will be payable by the producer of the buffaloes
(clause 7).
- Second Reading Speech, Australian Meat and Live-stock Industry
Bill 1997: 10
- Ibid: 11
- Ibid: 15
Ian Ireland
4 November 1997
Bills Digest Service
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ISSN 1328-8091
© Commonwealth of Australia 1997
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Last updated: 12 November 1997
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