Productivity and sustainability loans boosting younger farmers

Younger farmers are taking advantage of the Palaszczuk Government’s upgrades to a loans scheme that helps producers improve productivity and sustainability.

Minister for Agriculture and Fisheries Leanne Donaldson told today’s Estimates hearing that the Primary Industry Productive Enhancement Scheme (PIPES) was thriving.

“Through the scheme we’ve been able to grant First Start and Sustainability loans to more applicants in 2015-16,” the Minister said.

“Loans worth $59.6 million were approved in 2015-16, up from $51 million the previous year.

“In recognition of their support for producers we announced in last month’s State Budget a significant increase in the sums available through the scheme.

“The amount an applicant may receive rises from $650,000 to $1.3 million for a Sustainability loan and up to $2 million for a First Start loan.

“The increases reflect the higher capital requirements in the industry and I’m sure Queensland primary producers will welcome this initiative.”

Minister Donaldson said 54% of approved applications went to the beef cattle industry and 18% to sugar producers.

“We also know that PIPES loans, available through the Queensland Rural Adjustment Authority, are benefiting younger farmers,” the Minister said.

“The average age of applicants is under 46, while the average age of Queensland farmers is 60.

“The First Start loans provide younger Queenslanders with the opportunity to enter primary production at an earlier age.

“In 2015-16 the average age of applicants was just 35.

“The increase in PIPES loans is part of a series of initiatives announced in the Budget to better support rural Queensland through the continuing drought and deal with issues related to rural debt.

“In total we are providing unprecedented support for the Bush with $77.9 million in funding for our Drought Assistance and Rural Assistance packages.

“The packages include measures informed by recommendations of the Rural Debt and Drought Taskforce such as the removal of stamp duty on all inter-family farm transfers.

Media Contact: 0448 994 172