❓ WA Minister for Agriculture and Food responds to questions regarding a $30 million Commonwealth assistance package for grain farmers, highlighting delays due to unresolved details from the Commonwealth government.
AnsweredQoN 9Legislative Council
QuestionView source ↗
FARMERS —
ASSISTANCE PACKAGE
9. Hon PHILIP GARDINER to the Minister for Agriculture and
Food:
Noting the Premier and the minister's concern for
grain farmers across much of Western Australia's wheatbelt, I refer to
the commonwealth's offer of a $30 million package towards assisting the
state's farmers in 2013.
(1) Is this funding available for immediate activation?
(2) Is it the
intention of the government of Western Australia to make part of this funding
accessible to grain farmers who meet criteria laid down by the state government
and the commonwealth government?
(3) If so, how
much of the $30 million will be made available for the critically timed
seasonal financing needs that extend over May and the first half of June 2013?
(4) When will
applications for this funding be sought from grain farmers who require
additional seasonal finance to sow their crops?
(5) Have there
been discussions between the state government and agribusiness lending banks
that would give lenders the confidence to advance funds to grain farmers to
meet essential sowing needs?
(6) Are
additional funds to meet seasonal financing needs flowing from banks to grain
farmers as a result of these discussions?
(7) If no to (6),
when is it proposed that funds are likely to flow to grain growers from the $30
million package?
ASSISTANCE PACKAGE
9. Hon PHILIP GARDINER to the Minister for Agriculture and
Food:
Noting the Premier and the minister's concern for
grain farmers across much of Western Australia's wheatbelt, I refer to
the commonwealth's offer of a $30 million package towards assisting the
state's farmers in 2013.
(1) Is this funding available for immediate activation?
(2) Is it the
intention of the government of Western Australia to make part of this funding
accessible to grain farmers who meet criteria laid down by the state government
and the commonwealth government?
(3) If so, how
much of the $30 million will be made available for the critically timed
seasonal financing needs that extend over May and the first half of June 2013?
(4) When will
applications for this funding be sought from grain farmers who require
additional seasonal finance to sow their crops?
(5) Have there
been discussions between the state government and agribusiness lending banks
that would give lenders the confidence to advance funds to grain farmers to
meet essential sowing needs?
(6) Are
additional funds to meet seasonal financing needs flowing from banks to grain
farmers as a result of these discussions?
(7) If no to (6),
when is it proposed that funds are likely to flow to grain growers from the $30
million package?
AnswerView source ↗
I thank the honourable member for some notice of this
question.
(1) No.
(2) Yes. It is
the Western Australian government's intention that all farm businesses
that meet both the state government's and the commonwealth government's
criteria will be eligible to apply, including grain farm businesses.
(3) Concessional
loans of up to $200 000 would ensure access for as many eligible farm
businesses as practical. Timing of availability is dependent on the
commonwealth government setting eligibility criteria and providing other
details that would enable implementation. At this stage the state government
has had no response from the commonwealth on key questions such as the interest
rate or provision for bad debts.
(4) Applications
from farm businesses will be open as soon as the commonwealth government has
determined the eligibility criteria and signed an agreement with Western Australia.
(5) Yes, there
have been discussions between agribusiness lending institutions and the state
government. I have been informed that fewer than 40 farm businesses have not
been provided with carry-on finance this year. All other farms have had most,
if not all, of their program approved.
(6) I am
informed that the banks are keen to support as many farm businesses as possible
to prevent a collapse in property prices. The recent rainfall in some areas
last week will have boosted confidence levels for both grain growers and their
financial institutions. So I take this opportunity to call on all members to
continue to pray for rain, particularly for the eastern wheatbelt.
(7) I
understand that there is intense discussion between different commonwealth
departments on how to roll out these funds to the states. It seems that the
commonwealth Minister for Agriculture, Fisheries and Forestry may not have
worked through with some of his ministerial colleagues key details such as
interest rates and payment of bad debts. Hopefully, we will get something in
writing by the end of May, which will allow us to accept applications over June
and then commence the payment of funds in July.
question.
(1) No.
(2) Yes. It is
the Western Australian government's intention that all farm businesses
that meet both the state government's and the commonwealth government's
criteria will be eligible to apply, including grain farm businesses.
(3) Concessional
loans of up to $200 000 would ensure access for as many eligible farm
businesses as practical. Timing of availability is dependent on the
commonwealth government setting eligibility criteria and providing other
details that would enable implementation. At this stage the state government
has had no response from the commonwealth on key questions such as the interest
rate or provision for bad debts.
(4) Applications
from farm businesses will be open as soon as the commonwealth government has
determined the eligibility criteria and signed an agreement with Western Australia.
(5) Yes, there
have been discussions between agribusiness lending institutions and the state
government. I have been informed that fewer than 40 farm businesses have not
been provided with carry-on finance this year. All other farms have had most,
if not all, of their program approved.
(6) I am
informed that the banks are keen to support as many farm businesses as possible
to prevent a collapse in property prices. The recent rainfall in some areas
last week will have boosted confidence levels for both grain growers and their
financial institutions. So I take this opportunity to call on all members to
continue to pray for rain, particularly for the eastern wheatbelt.
(7) I
understand that there is intense discussion between different commonwealth
departments on how to roll out these funds to the states. It seems that the
commonwealth Minister for Agriculture, Fisheries and Forestry may not have
worked through with some of his ministerial colleagues key details such as
interest rates and payment of bad debts. Hopefully, we will get something in
writing by the end of May, which will allow us to accept applications over June
and then commence the payment of funds in July.
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