Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search


Aussie dairy industry adjusts to deregulation

Payments from a $1.63 billion package are available to Australian dairy farmers meeting the challenges of a deregulated milk market from 1 July 2000.

Up to 20,000 dairy farmers may apply for assistance under the Dairy Structural Adjustment Package with payments to dairy farmers affected by State Government deregulation to be assessed by the Dairy Adjustment Authority. The program is part of the $1.78 billion Dairy Industry Adjustment Package, which was established in response to an industry request for assistance while it adjusts to deregulation.

Industry believes the restructure is an inevitable consequence of market forces and will lead to a more competitive Australian industry.

Helen Dornam, of the peak policy body of the industry, the Australian Dairy Industry Corporation (ADIC), said the Australian dairy industry competes with the rest of the world to sell its products. "Competition from New Zealand in particular limits the industry’s ability to increase returns from the domestic market," Ms Dornam said.

"The commercial pressures in Victoria mean deregulation is inevitable and this will impact on the farm gate price of market milk in all States, irrespective of whether or not regulations are in place."

Federal Minister for Agriculture, Fisheries and Forestry, Warren Truss, said that under the package adjustment payments to eligible dairy farmers would accrue from 1 July 2000, with the first payments anticipated in mid-October.

"A second part of the package, the Dairy Exit Program, will provide exit payments of up to $30 million to assist those farmers who decide to leave the industry."

The Federal Government has also provided $45 million for a Dairy Regional Assistance Program to help rural communities adjust to dairy deregulation.

Further details:
Annette Clark, Dairy Adjustment Authority, (00612) 6272 489

© Scoop Media

Business Headlines | Sci-Tech Headlines


Dump Levy Options: Waste Work Programme Announced

Associate Environment Minister Eugenie Sage has announced a programme of work to take action on New Zealand’s long-neglected waste problems. More>>


Real Estate: Foreign Buyers Ban Passes Third Reading

The Bill to put in place the Government’s policy of banning overseas buyers of existing homes has passed its third and final reading in the House. More>>


Nine Merger: Fairfax Slashes Value Of NZ Business

Fairfax Media Group more than halved the value of its Kiwi assets, attaching just A$40 million to mastheads that were once the core of a billion dollar investment. More>>

Collecting Scalpers: Commerce Commission To Sue Viagogo

The Commission will claim that Viagogo made false or misleading representations: • that it was an “official” seller, when it was not • that tickets were limited or about to sell out • that consumers were “guaranteed” to receive valid tickets for their event • about the price of tickets... More>>


Price Of Cheese: Fonterra CEO Goes Early After Milk Price Trimmed

Aug. 15 (BusinessDesk) - Fonterra Cooperative Group chief executive Theo Spierings is leaving the role early after the world's biggest dairy exporter lowered its farmgate payout and trimmed its dividend to retain cash. More>>