Fiona Scott (Lindsay, Liberal Party) Share this | Hansard source

I am trying not to—to reduce the product of maximum residue that has not been updated. These measures have the potential to increase efficiencies, remove red tape and the burden on industry. They are a good start towards easing the burden imposed on the Australian economy and agricultural sector by reducing red tape and green tape on business. These measures simply makes sense.

The government recognises that industry needs an efficient regulator so it can have timely access to new technology to reduce the cost of production and provide options to reduce resistance and to continue to provide the highest quality food both domestically and to international markets. As the global population is expected to reach nine billion by 2050, it is imperative that Australia, as one of the most sustainable production systems in world, is able to punch above its weight in contributing to the global food and fibre task both in terms of domestic production and in exporting sustainable technology for adoption.

This will lead to simple reforms to our system of chemical registration and has been supported by key industry groups such as New South Wales farmers and AgForce Queensland as well as the National Farmers Federation. In a letter to the Senate Standing Committee on Rural and Regional Affairs and Transport, Matt Linnegar, CEO of National Farmers Federation wrote:

Australian farmers need a system of chemical registration that facilitates the introduction of new chemicals onto the Australian market in a timely and cost efficient manner. Australian farmers compete in international markets and it is important that they have access to the tools that allow them to produce safe, fresh produce in a cost-effective manner.

He continued:

The assessment of the registration process should be a transparent, efficient and effective process to reduce the cost burden on farmers to assess agvet chemicals. It should also shorten registration and reconsideration response and time frames. The National Farmers Federation commends the government on their commitment to this process and would support passage of the agriculture and veterinary chemicals legislation through the Parliament.

It is worth noting that the National Farmers Federation were vocal opponents of the previous government's plan to implement a mandatory re-registration process, duplicating chemical review processes and delivering an unnecessarily regulatory burden on the agriculture sector. Therefore, it comes as no surprise that the National Farmers Federation has welcomed the Abbott government's commitment to remove this unnecessary process as well as to reduce the red tape and handbrake currently on the sector.

This amendment has also been welcomed by Virbac Australia, a specialist organisation that employs more than 260 people from Western Sydney and particularly in my electorate of Lindsay where its manufacturing facility is located. In 2012 alone, Virbac sales turnover was more than $100 million.

Virbac Australia is a specialist animal health company, with its core business in sheep and cattle products, veterinary pharmaceuticals and vaccines and a wide range of pet care products for dogs and cats, plus a broad range of products for horses and other livestock. I have spoken with Steven Neutze, the regulatory affairs manager at Virbac Australia, this week, and he has welcomed the Abbott government's plan to increase the efficiency of the industry. He said, 'The passing of this bill will result in improvements to efficiency of the registration process, and this will benefit companies such as Virbac. It employs those people who use Virbac's registered veterinary products.'

Benefits to Virbac as a local business and employer include that the proposal to streamline changes to registered products will add flexibility to the operation at Virbac's Penrith plant, plus increase its efficiency and viability. This, in turn, can create opportunities to develop new products for livestock industries and potential new employment opportunities within Virbac. Removal of the registration scheme will enable Virbac to direct more of its resources to the development of new products at Penrith, providing an opportunity for expansion of the facilities and the employment of more staff.

As you can see, Mr Deputy Speaker, the passing of the bill will have an overwhelming benefit. It is welcomed by the National Farmers Federation and also at a local level, where businesses in my electorate, like Virbac, will be able to see immediate benefits of the passing of this legislation.

It should not be the role of government to strangle Australian businesses with unnecessary red and green tape and the unnecessary duplication of reporting requirements. The Abbott government takes this very seriously. This is why, for the first time, two days of parliament will be dedicated to the removal of green tape, as we saw on 26 March. These agvet chemicals legislation amendment will save the agvet chemical industry $1.3 million in fees annually by removing duplicated and unnecessary red tape. Further, the industry has calculated that by removing the reapproval and re-registration scheme it will save up to $9 million annually in red tape and associated costs.

Overall, the bill will increase efficiency in the regulator and provide greater clarity to stakeholders on the intent of legislation. It will streamline processes which, quite simply, just do not make sense. I am pleased to speak in support of the measures, and once again to represent the businesses and workers within my electorate. I commend these amendments to the House.

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