The Australian agriculture, fisheries and forestry sector aims to achieve $100 billion in farm gate output by 2030.
The $100 billion target is very ambitious and business as usual will not be enough. The Government is supporting the farm sector to achieve this goal. The 2020-21 Federal Budget builds on these actions.
Vision: The Government will assist industry to grow to $100 billion by 2030, ensuring Australian agricultural producers receive maximum returns for their hard work and are supported by vibrant rural and regional communities into the future.
Achieving the 2030 target
Australia’s agricultural industry is currently worth $61 billion per year.
Achieving the Ag2030 target will require a significant increase in productivity. Australia must also maintain our reputation for high quality and sustainable produce.
The Government is committed to backing Australian farmers, fishers and foresters in the Ag2030 goal – driving job creation and economic growth, whilst also supporting recovery from drought, bushfires and the impacts of COVID-19.
The $100 billion goal is only possible if Government and industry works together.
What we’re doing
We have identified 7 themes for action.
Theme 1: Trade and Exports
The Government is strengthening agricultural ties with major and emerging export markets. This will deliver new trade and market access for producers, while also reducing red tape.
- A $328 million package of reforms to bust congestion for agricultural exporters.
- $222.2 million to modernise Australia’s agricultural export systems, improving regulation and service delivery for producers and exporters.
- $35 million to introduce sensible, technology-based regulation for seafood, meat, live animal and plant exporters.
- This package will support agricultural exporters to do business quickly and at less cost, providing benefits of at least $236 million over the decade to 2030.
- A further $317 million to support Australian producers to get their produce overseas by extending the International Freight Assistance Mechanism) taking the Government’s total IFAM commitment to $669 million.
- $28.6 million to support initiatives to simplify Australia’s trade system, including reducing red tape.
- Finalise the free trade agreements (FTAs) negotiations with the EU and UK, and getting the most out of existing agreements.
- Maintain market access and extend into new and emerging markets.
- $14.8 million over six years to help the export dairy industry by raising export awareness, reducing red tape and streamlining audit arrangements.
- Maximise the effectiveness and efficiency of Australia’s Counsellor (Agriculture) Network to enhance agricultural exports in key markets.
- Modernise and improve Australia’s export legislation
Theme 2: Innovation and Research
The Government is modernising agricultural innovations to better focus on collaboration and commercialisation. This will allow Australian producers to access technologies to grow their productivity and competitiveness.
- $7.2 million over four years to streamline and modernise the agricultural levies legislation.
- $86 million for delivery of eight Adoption and Innovation Hubs across the country through the Future Drought Fund.
- Investing $83 million in Regional Connectivity Program to improve telecommunications infrastructure and boost connectivity.
- $300 million to upgrade regional NBN customers to fibre as part of the $4.5 billion network investment plan.
- Delivery of a National Agriculture Innovation agenda, including a Digital Foundations for Agriculture Strategy, a National Agricultural Innovation Policy Statement and the establishment of Agricultural Innovation Australia Ltd.
- Delivery of the first National Fisheries Plan, and establishment of nine Regional Forestry Hubs across Australia.
Theme 3: Biosecurity
The Government is committed to our biosecurity system because ensuring Australia remains pest and disease free means lower costs for producers and is critical to our market access.
- Around $873 million is available for biosecurity and export programs in 2020-21, an increase of around 45 per cent since 2012-13.
- The budget includes funding for biosecurity innovation, biosecurity analytics, fruit fly management, pest animal and weed management, Red Imported Fire Ants eradication, and $66 million over two years to target African Swine Fever.
- Strengthen partnerships with community, industry, states and territories to build awareness and capability
- Focus on emergency preparedness to ensure fast and effective responses to new pest and disease outbreaks.
Theme 4: Fair, strong and resilient supply chains
The Government is ensuring everyone in the supply chain is treated fairly and pays their share.
- $1.3 billion to develop and implement a new Modern Manufacturing Strategy – including for food and beverages.
- $50 million for Industry Growth Centres, including Food Innovation Australia Limited - to enable them to assist in implementing the Government’s new Modern Manufacturing Strategy (the Strategy).
- $107.2 million into the Supply Chain Resilience Initiative which will support projects that address identified supply chain vulnerabilities.
- Initiate an ACCC inquiry into the perishable agriculture supply chain.
- Improve competition and fairness with Codes of Conduct for Dairy, Wheat Port, Sugar and Horticulture.
- Showcase Australian products through Country of Origin Labelling and examining options to expand for seafood, cut flowers and fast-food outlets.
- Maintain strong laws against illegal logging and associated trade.
- Strengthen and simplify organic exports regulation, through a legislative review and Draft Organic Goods Rules.
Theme 5: Stewardship
The Government is ensuring Australian farmers are rewarded for their stewardship of the land and water.
- $36. 6 million to maintain the timeliness of environmental assessments and undertake further reforms under the Environment Protection and Biodiversity Conservation Act 1999
- $34 million over four years to support and reward stewardship through the Agriculture Biodiversity Stewardship Pilot Package.
- Reforms to empower farmers to diversify their income and earn credits under the $2 billion Climate Solution Fund.
- Changes to the Australian Renewable Energy Agency (ARENA) toolkit to allow investment in soil carbon sequestration projects, unlocking farmers’ access to $1.6 billion in ARENA funding.
- Tax concessions to help farmers build resilience and manage climatic, market and production risks.
- $1.1 billion over seven years for the National Landcare Program.
- Eliminating water buy-backs.
- $4.2 million over two years for four new Indigenous River Ranger Groups across the Murray-Darling Basin.
Theme 6: Human Capital
The Government is ensuring people and their communities right across the agriculture supply chain have the support, infrastructure, and skills to do their jobs.
- $250 million for access to up to 400 short courses for priority fields, including agriculture, to upskill our workforce.
- $17.4 million in relocation assistance and $16. 3 million to incentivise young Australians to take up farm work.
- $19.6 million to support communities recover from drought to extend the drought function of the National Drought and North Queensland Flood Response and Recovery Agency.
- $36.3 million to support rural and regional show and $2.7 million for agricultural field days impacted by COVID-19.
- Develop a National Agricultural Workforce Strategy for future workforce development and availability.
- Establish new $5 billion Future Drought Fund which makes $100 million available each year to build drought preparedness and resilience.
- Over $4 billion to the Regional Investment Corporation for loans to farm and small agri-businesses.
- Changes to the Farm Household Allowance to make it easier for farmers to access support
- $40 million to support the forestry sector through the Forestry Recovery Development Fund Program.
- Funding mental health support for regional commercial fishers.
Theme 7: Water and Infrastructure
The Government will support Australian farmers, rural and regional communities with infrastructure when and where it is needed.
- $270 million over four years for the Murray-Darling Communities Investment Package including delivery of 11 initiatives to put communities at the centre of the Murray-Darling Basin Plan
- $50 million in 2020-21 to extend the On-farm Emergency Water Infrastructure Rebate Scheme for a further year.
- Identify and build new water infrastructure through the $3.5 billion National Water Infrastructure Development Fund.
- Improving communications for the agriculture sector through $22. 1 million for the Australian 5G Innovation Initiative, and $30.3 million for the Regional Connectivity Program to support telecommunications projects developed by local communities.
- Delivery of a new Regional Policy Package including $100 million for Regional Recovery Partnerships to coordinate investments with other levels of government to support recovery and growth in 10 priority investment regions
- $9.3 billion to complete the Inland Rail by 2025.
- Support for critical water infrastructure, including $283 million for new projects