Kristy McBain (Eden-Monaro, Australian Labor Party, Minister for Regional Development, Local Government and Territories) Share this | Hansard source

This budget delivers the next stage in the Albanese government's plan to deliver a profitable, productive future for Australia's agriculture, fisheries and forestry sector. Over the last couple of years, this sector has risen to new heights. The gross value of Australian farms, fisheries and forests is now $90.8 billion—the third-highest on record. This is due to the hard work of Australia's farmers, fishers and foresters, as well as other workers in those industries and the entire agricultural supply chain. That work is of course supported by a government that understands the importance of an industry that feeds us, clothes us and generates enormous wealth for our country.

With the world changing around us, we can't rest on our laurels. In the previous two budgets, we've laid the groundwork to protect and to grow this sector through record investments in priority areas. This includes funding Australia's first-ever sustainable biosecurity funding model and rescuing a biosecurity budget that had been badly damaged by ongoing cuts. Additionally, we've now pumped in a billion new dollars to protect this industry from pests and disease. It includes rebuilding the agricultural workforce after its collapse through COVID-19. There is more to do, but a lot has happened already. It includes fixing the structural deficit that was left behind for us in the agriculture department's funding and restoring trade links that were shredded or diversifying into new ones. It includes investing serious money to improve the traceability of sheep and goats, and supporting our fisheries sector through country of origin labelling that has long been called for as well as investing significantly in the forestry sector so it modernises for the future. We are delivering real results in partnership with industry.

Having done those things in the previous two budgets, we can now really get moving on helping the sector to mitigate, and adapt to, climate change. The budget takes the next step forward on what is arguably the biggest long-term challenge facing the sector, as well as being a massive opportunity. I'm of course talking about how we secure a sustainable future. The truth is that farmers and Australians living in rural and regional Australia face increasingly severe impacts of climate change. The truth is that, without intervention, things will get worse. Global temperatures are higher now than they have ever been in history, and it is costing our farmers every single day. Drought is now impacting farmers in Western Australia, Tasmania and elsewhere. ABARES has conservatively estimated that on average farmers have lost more than $30,000 per annum due to climate change over the last 20 years, with that figure expected to rise. The recent Ag2050 scenarios report by the CSIRO highlighted the need for industry to adapt to climate change to continue its growth trajectory. Bizarrely, we still see some—including some who claim to speak for farmers in parliament—try to paint any action on climate change as being risky for agribusiness. In my view, the bigger risk is doing nothing. That's why the centrepiece of the ag budget was nearly $520 million to support programs and initiatives in a rejuvenated future drought fund. Australians all understand that, when it comes to drought, it's a case of 'when', not 'if'.

Higher rainfall in recent years has allowed some relief in much of the country, but not in all of it. As I say, we are already seeing drought impacts on some parts of the country right now. But also right now we are providing support to farmers and to rural communities who are experiencing drought, including through the farm household allowance, concessional loans, rural financial counselling, mental health support and the tax incentives that have allowed farmers to put away nearly $6 billion in farm management deposits that they can draw on through the tough times. But we also need to do more to prepare for drought, not just respond to it—not just have those sorts of supports in place when a drought arises. That's why the rejuvenated Future Drought Fund will provide for 10 on-ground programs with a much stronger focus on broader climate resilience, greater public benefit through wider sharing of what works, support for longer term trials, and a new program to assist First Nations communities deal with drought.

Of course, longer and more frequent droughts are only one example of what we're likely to see as a result of climate change. The ongoing battle against a changing climate will be fought on many fronts. The Albanese Labor government recognises the need to do our part. We have an incredible opportunity to bring government and industry together to chart a lower emissions and more sustainable future for Australia's ag sector. Our work on these issues have accelerated over the last 12 months, particular through the development of the ag and land sector decarbonisation plan. We're using this budget to make some down payments on the direction that's emerged from our widespread consultation.

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