Ms Catherine King (Ballarat, Australian Labor Party) Share this | Link to this | Hansard source

My question is to the Minister for Agriculture, Fisheries and Forestry. Will the minister update the House on the economic circumstances facing Australia’s farmers and why strong representation is so important in regional Australia?

Mr Tony Burke (Watson, Australian Labor Party, Minister for Agriculture, Fisheries and Forestry) Share this | Link to this | Hansard source

I thank the member for Ballarat for her question. The member for Ballarat represents one of the premier grain-growing districts in Victoria. I met today with the VFF about the bleak outcomes of this year’s winter crops throughout much of Victoria. In response to a question earlier in the week, I mentioned that a meeting that took place with the major rural financial institutions on Friday of last week. I add that, at that meeting, confidence was expressed in the government’s Economic Security Strategy and in the capacity of all of them to continue to service Australia’s farmers. It was expressed not only by the major Australian banks and Rabobank but also by Landmark—Landmark being a non APRA regulated financial institution. We were sitting around the table with the banks, who expressed full confidence in the government’s Economic Security Strategy and in their capacity to be able to serve Australia’s farmers.

Today we have had further announcements, with the Westpac-NFF Commodity Index coming out. It was reported today that global farm prices—that is, the farm-gate prices around the world—have fallen by nine per cent amid the fallout from the global financial crisis. However, in Australian dollar terms, that fall has been limited to 1.7 per cent, as the lower Australian dollar, which was trading at around 69c earlier in the week, took the sting out of much of the decline in the commodity prices. Westpac agribusiness economist Andrew Hanlon said, ‘The Australian dollar can play a cushioning role during such volatile times.’ It is also the case that the inflation rate information that was released today has been well and truly felt in many ways by Australia’s farmers. We have seen the global prices of fertiliser increase in extraordinary ways over the last 12 months, in some cases going as far as tripling and beyond. The Australian prices and increases have increased somewhat less than that, once again cushioned by the Australian dollar.

The question also asked why they need strong representation similar to the strong representation that the member for Ballarat has always provided farmers in that part of the country. I should also acknowledge while I am talking about strong representation for regional areas that this afternoon the new member for Lyne will be making his first speech to this place. We all wish him well. Members on both sides understand the importance of strong representation in that part of New South Wales. Indeed, the member for Hume, I understand, has a very good understanding of the need for strong representation for Port Macquarie. Senator Heffernan also has a good understanding of the need for strong representation for Port Macquarie. I notice this is not a view shared by the Leader of the New South Wales Nationals, Andrew Stoner, who today, quite horribly, said of the member for Hume:

If I had my way, I’d march him out at dawn, put a blindfold on him and shoot him.

At a time when it came to looking for confidence, when it was a clear choice in the region of Port Macquarie between choosing a member of the National Party and choosing a country Independent, the people of Port Macquarie chose a country Independent; indeed, many members of the Liberal Party made that choice too.