John Williams (NSW, National Party) Share this | Link to this | Hansard source

My question is to the Minister for Regional Services, Sport, Local Government and Decentralisation, Senator McKenzie. Can the minister update the Senate on how the Liberal-National government is supporting farmers in my home state of New South Wales during this severe drought?

Bridget McKenzie (Victoria, National Party, Minister for Regional Services) Share this | Link to this | Hansard source

Thank you, Senator Williams, for your question. We're absolutely supporting farmers in rural communities through a comprehensive package on drought measures. The recent rain across some parts of New South Wales, such as in your home town of Inverell, is incredibly welcome. I understand you've had 7½ inches since July, but I want to remind the Senate that this initial recent rain for our farmers and small businesses needs to be more and more frequent to get them back on their feet. That's why we, as a government, have extended the Drought Communities Program to provide real relief right across rural and regional areas affected by drought.

Rural businesses also do it tough during drought and during the recovery period. They are the local job creators and they contribute immensely to our communities economically, employing so many in our communities. They also fulfil a social role, sponsoring our local football and netball teams and the like. They're key stakeholders in ensuring we have vibrant regional communities post drought. Recently I joined the Prime Minister and the member for Calare, Andrew Gee, in Blayney, just outside of Bathurst, at a farm and rural supply business. Owners Michelle and Angus Pryse Jones spoke of the knock-on effects of the drought hitting the community hard and welcomed our government's investment to support local jobs and businesses.

The Mayor of Blayney, Scott Ferguson, also expressed that the local community and businesses were seeing a drop-off of upwards of 30 per cent in economic spend within the community. Our $75 million investment which will go to local councils for projects that will be procured through local businesses and employ locals is absolutely crucial to sustaining these small, regional, drought-affected towns. Similarly, a $190,000 investment to the Coonamble Shire Council to improve local infrastructure created seven jobs and used materials sourced from six small, local businesses. We can support communities like this because of our strong economic management.

Scott Ryan (President) Share this | Link to this | Hansard source

Senator Williams, a supplementary question.

John Williams (NSW, National Party) Share this | Link to this | Hansard source

Minister, what action has the government taken to support local jobs, small businesses and rural communities in drought?

Bridget McKenzie (Victoria, National Party, Minister for Regional Services) Share this | Link to this | Hansard source

We know that the regions are the true wealth-producing areas of Australia. Agriculture contributes more than $64 billion to our economy and employs more than 1.8 million Australians. We're making practical and commonsense changes to cut red tape and make it simpler for farmers and small businesses to get on with running their operations. We've reduced the farm household allowance application form by one-third to make it easier for farmers to understand the eligibility criteria and to apply through a rural counsellor. We've made it easier for truckies to increase their capacity to deliver precious fodder to drought-affected areas. Longer and higher loads of hay and fodder are now allowed to travel on state-controlled and nationally controlled roads without truckies having to apply for multiple permits. That will achieve a saving of 54,000 days per year in processing wait times. We'll continue to work with small businesses, local government and communities for a sustainable return to prosperity post drought.

Scott Ryan (President) Share this | Link to this | Hansard source

Senator Williams, a final supplementary question.

John Williams (NSW, National Party) Share this | Link to this | Hansard source

Minister, why is it so important that the government takes strong action to support Australian farmers, small businesses and communities suffering as a result of the severe drought?

Bridget McKenzie (Victoria, National Party, Minister for Regional Services) Share this | Link to this | Hansard source

The Liberal-National government is focused on delivering our plan for a stronger economy. A stronger economy relies on a strong regional Australia. We back hardworking Australians and farmers who are investing in local communities and in their businesses and who want to create a strong economy and employ locals.

It will take some time for our farmers to plant next season's crops and to breed the sheep and cattle to a critical mass in order to restore productivity to their farm businesses. Local small businesses will also need time to bounce back after the economic impacts of drought and the reduced subsequent cash flow. Our government is fast-tracking business tax relief for small to medium businesses with a turnover below $50 million to see them actually having a tax rate of 25 per cent in the financial year 2021-22, delivering the benefit five years earlier to their bottom line. The Labor Party are no friends of farmers, no friends of small business. The Labor opposition, if elected, will place our economy at risk, with higher taxes and less confidence, and put regional funding on the chopping block. (Time expired)