Banana levy information

​​​​​​​​​IMPORTANT—You can lodge your horticulture return online.

Why is there a levy on bananas?

The Australian Government introduces levies and export charges at the request of industry. These levies variously fund research and development, marketing, residue testing, plant and animal biosecurity programs and emergency responses for industry.

The banana levy funds Horticulture Innovation Australia Limited (HIA Ltd) banana research and development (R&D) and marketing, and Plant Health Australia (PHA) programs.

To find out more, visit Horticulture Innovation Australia Limited and Plant Health Australia.

What is the levy payable on?

Levy is payable on bananas produced in Australia and sold by the producer.

Who pays the levy? Who submits returns?

The producer (the person who owns the bananas immediately after harvest) is liable to pay the levy. If the producer sells the bananas other than by retail sale—for example, to restaurants or at wholesale growers markets—the producer must pay levy quarterly and submit all return forms to the Department of Agriculture - Levies.

If the producer sells their produce through an intermediary, such as a first purchaser, buying agent, selling agent or merchant, the intermediary must pay levy and submit all return forms on behalf of the producer. The intermediary can recover from the producer the amount of levy paid.

Download a return form or contact your Department of Agriculture - Levies state office.

What is the levy rate on bananas?

 

Up to 31 March 2017

Commencing 1 April 2017

Distribution of levy

Levy Rate (cents/kg)

Levy Rate (cents/kg)

Levy Rate ($/kg)

Marketing levy
R&D levy
PHA levy
EPPR levy

1.1497
0.54
0.0103
0.75

1.15
0.54
0.5
0.75

$0.0115
$0.0054
$0.0050
$0.0075

Total levy

2.45

2.94

$0.0294

Australian Government levies exclude GST.

Are there any exemptions from this levy?

Levy is not payable if a producer sells bananas by retail sale—that is, direct to the consumer through roadside stalls or shed or farm gate sales—and the total amount of levy that the producer would be liable to pay in the levy year would be less than $100.

Levy is not payable on bananas sold or used by a producer for processing. Processing does not include fruit conditioning, cleaning, sorting, grading or packing.

When is the payment due?

Quarterly returns

The return together with payment must be submitted to the Department of Agriculture - Levies within 28 days of the end of the quarters of March, June, September and December. For example, the return and payment for the quarter ending 30 September—that is, for the months of July, August and September—are due on or before 28 October.

Annual returns

The return together with payment must be submitted to the Department of Agriculture - Levies on or before 28 August in the next levy year. For example, the return and payment for the 2016-17 levy year* are due on or before 28 August 2017.

A first purchaser, buying agent, selling agent or producer who sells bananas other than by retail sale may apply through the Department of Agriculture - Levies for an exemption from the requirement to lodge quarterly returns for a levy year* if they have reasonable grounds to believe that the levy payable will be less than $500. If the Department of Agriculture - Levies grants an exemption, they must lodge returns annually.

Please contact your Department of Agriculture - Levies state office for an application for exemption form or for more information on annual returns.

General information and definitions

  • The levy rate is calculated per kilogram.
  • A 'retail sale' is a sale by the producer of the bananas direct to the consumer—that is, at a roadside stall or by shed or farm gate sale—and not to a first purchaser, through an agent or at a wholesale produce market.

*A levy year is a financial year—that is, 1 July to 30 June.

What legislation covers this levy?

A legislative framework of imposition, collection and disbursement legislation authorises and supports Australia’s primary industries levies system. These are the relevant Acts:

  • Primary Industries (Excise) Levies Act 1999
  • Primary Industries Levies and Charges Collection Act 1991

Please note that, under section 27 of the Primary Industries Levies and Charges Collection Act 1991, an authorised Department of Agriculture officer can release the names and addresses of levy payers to industry bodies and levy recipient organisations.

Download the legislation from www.comlaw.gov.au or call CanPrint Information Services on 02 6293 8383 to purchase a copy.

This information sheet is a guide only and does not substitute for the relevant legislation.