Published Monday, 16 July, 2007 at 03:10 PM

Minister for Primary Industries and Fisheries
The Honourable Tim Mulherin

DPI&F EXTENDS FREIGHT SUBSIDIES FOR CYCLONE-AFFECTED PRODUCERS

The State Government has extended fodder freight subsidies for producers affected by Cyclone Larry to July 31, 2007.

Minister for Primary Industries and Fisheries Tim Mulherin said Cyclone Larry wiped out last year’s maize crop, which forced many dairy farmers to seek fodder supplies from outside the region.

“The higher than normal freight costs are expected to continue until the harvest of this year’s maize crop is complete,” Mr Mulherin said.

“Under Natural Disaster Relief Arrangements (NDRA) the Government generally provides freight subsidies of up to 50 percent. In Queensland, these subsidies are usually provided for 12 months. However, I have decided that in this case eligibility for fodder freight assistance be extended for an additional four months from March 20.

“This takes the extension period up to July 31, 2007.

“Consistent with the NDRA, the cap of $5000 of subsidy per disaster event will continue to apply. While larger producers may have already reached this cap, the extension of the freight subsidy will be of particular benefit to those smaller producers still struggling with the ongoing recovery effort.”

Mr Mulherin said the Queensland Government had previously made a $1.25 million commitment to the Grow Malanda program operated by Dairy Farmers Ltd, provided the Australian Government would match the contribution.

The Grow Malanda Program provides protein bonuses to farmers to encourage increased milk volumes and a lift milk protein levels.

“This assistance was considered important to allow Atherton dairy producers to maintain milk production during the Cyclone Larry recovery phase,” he said.

“On its own, the State Government’s funding would not be enough to be really effective, and a matched contribution from the Federal Government would reflect the bipartisan approach to the cyclone relief effort.

“However, the Federal Government advised it would not provide a matching contribution.

“The Queensland Dairyfarmers’ Organisation (QDO), Dairy Farmers Ltd and the Queensland Government have all tried to convince the Australian Government to reverse its decision, but without success and consequently this proposal will not proceed.”

NDRA assistance is jointly funded by the Queensland and Australian Governments.

NDRA freight subsidies for primary producers are administered by the DPI&F.

Assistance may be obtained by contacting the local DPI&F office or Business Information Centre on 13 25 23.

Media: 323 96530