Slade Brockman (WA, Liberal Party) Share this | Hansard source

I know that the Labor Party has sunk to new lows following the election. I know they're struggling to get back in the game but, really, outsourcing their agricultural policy to One Nation? That is just quite extraordinary. We had Senator Chisholm stand up and describe how they were supporting the proposal put forward yesterday in this place—the dairy bill put forward by the One Nation party. I find that just so extraordinary, because it just shows how little knowledge the Labor Party actually has of the bush and of agriculture.

That policy would be absolutely disastrous. Floor prices, as I have spoken about in this place before, are a disaster for agriculture. They have been repeated disasters across wool, sheepmeat in Western Australia and the wheat market. Various other forms of price control and controlled marketing have been an absolute disaster for the Australian agricultural sector repeatedly and over generations. The wool reserve price scheme, which collapsed in the early nineties, led to 10 to 15 years of struggle for that industry. Only in the last six or seven years has it found its feet after a period of stagnation. Floor prices have disastrous outcomes.

Let's have a look at the bill that One Nation has put forward and which Labor is enthusiastically supporting. Think about that again, those opposite, and those listening here today: you're enthusiastically supporting a rural policy put forward by One Nation. It makes it an offence for processors to purchase milk at a price below a determined base price. This is going to be a deterrent for processors to buy milk from farmers in regions with a higher farmgate price. Think about that for a moment: why are you going to buy milk from farmers in places like Queensland, where Senator McGrath comes from, my home state of Western Australia or northern New South Wales if they have a floor price which is too high? You would go for the cheapest source of production, which, in Australia, is the Victorian farmers, who largely supply an international market.

The proposed bill therefore incentivises the purchase of milk away from those higher-cost producers in Queensland, northern New South Wales and Western Australia. That makes it even more difficult for those places to compete. This bill will destroy the fresh milk market in places like Queensland, northern New South Wales and Western Australia—my home state. Farmers will be left with milk in vats because their milk will not be nationally competitive.

Minister McKenzie is doing an absolutely outstanding job. The dairy code of conduct is a very important reform, but it is something that this government, and Minister McKenzie, is absolutely determined to get right. She wants the whole industry on board, understanding what the code is going to do and how it will operate, and to make sure that the dairy code of conduct is fit for purpose. That means significant amounts of consultation, which is what Minister McKenzie has been doing.

Those opposite also want to attack the government over the response to drought. It is a comprehensive response, and it should be acknowledged and talked about as a positive that we do have the resources to be able to respond to difficult circumstances, to be able to help those farmers in need and to be able to make it the highest priority of government, as this government has done, particularly since coming back into government. What have we done? In our latest announcements we have committed over $709 million to support farmers. There is $50 million to extend the Drought Communities Program to even more councils, $10 million to keep kids in schools and $5 million for child care. There are drought loans of up to $2 million with no repayments or interest for the first two years, a new small-business drought loan, $200 million extra in the Building Better Regions Fund and $138.9 million in Roads to Recovery for drought affected areas. We've committed an additional $355 million to step up our drought response. Our latest announcement triples this to more than $1 billion since the election, as well as more than $1 billion in new interest-free loans to help see people through the hard times. This government is acting. This government cares about the bush. (Time expired)