McVeigh welcomes extra drought support

State Agriculture, Fisheries and Forestry Minister John McVeigh has welcomed the Federal Government’s additional $320 million drought package.

Mr McVeigh said the package, including $280 million in concessional loans at 4 per cent over five years, would further help Queensland’s drought-affected farms and keep jobs in the bush.

“More disposable cash in farmers’ pockets means they can meet their local bills in town and get rural communities and economies going again,” Mr McVeigh said.

“This assistance is for here and now, there will be a long recovery time so will still need to discuss long term drought policy with the Federal Government at the right time. The Prime Minister recognises agriculture has a great future beyond this drought.”

Mr McVeigh said the loans up to $1 million would allow eligible farm businesses to refinance existing debt at a lower interest rate and would cover up to 50 per cent of eligible debt.

“I’m also very pleased the Federal Government has brought forward the new Farm Household Allowance, starting March 3, which will put food on the table and help pay the bills,” he said.

“The new payment comes with a more generous asset test ($2.5m) than the previous allowance ($1.5m), ensuring more farmers and their families can receive support in these difficult times. This will also include farmers automatically receiving a Health Care Card.”

Mr McVeigh said other measures included an extra $12 million for water infrastructure, and for Queensland this would mean an additional $6 million to the Queensland Government’s Drought Relief Assistance Scheme.

“Their extra $10.7 million for Mental Health programs will help support people suffering from depression, and the $10 million for control of feral animals, particularly wild dogs will be very welcome in Queensland.”

Mr McVeigh said 70 per cent of Queensland was drought-declared, and while there’d been some good rain in the north west and central west, it had been patchy and many areas had missed out.

“This funding will add to the Newman Government’s efforts, which include last month’s announcement of an extra $20 million in support.

“This is in addition to the $11.2 million we announced in May last year, taking our total state commitment to more than $31 million. This is a record state contribution and $5 million more than was provided in 2007-2008 during the so-called millennium drought.”

[ENDS] 26 February 2014

Media Contact: Lachlan Millar 0407 394 580