2021-06 - 2020–21 Budget Impact on Export Cost Recovery Implementation Statements

18 February 2021

Purpose

This Industry Advice Notice (IAN) is to notify industry that export cost recovery implementation statements (CRIS) for 2020–21 have been published on the department’s website and CRIS for 2021-22 will be released for public consultation shortly.

Key points

  • A separate CRIS has been established for both the grain and horticulture cost recovery arrangements. 
  • Each CRIS describes the impact of the 2020–21 Federal Budget package Busting Congestion for Agricultural Exporters on exports cost recovery, including how we will implement the freezing of fees and charges in 2020–21.
  • The government has committed $71.1 million to improve the financial sustainability of export certification services by returning to full cost recovery of these services over time. A stepped return to full recovery will enable reforms to be rolled out while maintaining existing systems. 
  • Each CRIS provides a starting point from which the cost base can be reviewed and adjusted going forward. This takes into consideration the reform implementation across export regulatory services. 
  • Fees and charges shown in forward years of each CRIS are for illustrative purposes only. They show the impact of the package if applied to current pricing structures.

Next steps

  • We will consult with industry around March to April 2021 on a 2021-22 CRIS for each arrangement which will include proposals to change fees and charges from 1 July 2021.
  • Your comments are welcome and will be considered with any other feedback received through the 2021–22 CRIS consultation phase.
  • To register your interest to receive further information and to engage in the future, please visit Have Your Say.

Background

  • We consulted publicly in 2019 and 2020 on updated CRIS. A summary of the feedback received is included in each CRIS.
  • The Government’s decided to freeze prices in 2020–21 and gradually return to full cost recovery by 2023–24. This decision was informed by consultation with industry on previous CRIS, consideration of the impacts of COVID–19, the 2019–20 bushfires and the effects of drought.
  • For further information on the package visit Busting Congestion for Agricultural Exporters.

Contact information

If you have any questions regarding this IAN please email CostRecovery@awe.gov.au.

Rachel Short
A/g Assistant Secretary
Funding and Revenue Branch

Last reviewed: 18 February 2021
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