Gippsland - How Now Gippy Now - August 2010 Edition
Milk levy vote in 2012
Farmers voted about their milk levy for the first time in 2007. The next vote will be in March 2012. Leading up to that will be information in How Now Gippy Cow, newspapers and at farmer events to explain how Dairy Australia and groups like GippsDairy are investing milk levy funds to benefit the dairy industry. Before that it helps to understand why dairy farmers pay a milk levy.
All farmers pay a levy, whether they produce apples, grain, flowers, fish or beef. Australia has a strong history of providing science for use in agriculture. This was boosted in 1989 when the federal government set up a standard model for all agricultural industries to increase research, development and extension work (called the Primary Industries Energy and Research Development Act). Soon after, the dairy industry set up the Dairy Research and Development Corporation (DRDC).
After the deregulation of milk price in 2000, the dairy industry prepared to amalgamate all its industry services into one organisation. These services included the research, development and extension in the DRDC as well as marketing and animal health or quarantine issues. In 2003 they were rolled into one organisation called Dairy Australia. Its annual expenditure is about $47 million of which about two thirds comes from milk levies and one third comes from the federal government. The milk levy is charged on the protein and fat content of milk with an average of 0.315 cents per litre. The role of Dairy Australia is to build a sustainable and internationally competitive industry and to provide solutions that help farmers adapt to an ever changing operating environment.
While Dairy Australia provides most of the services needed by dairy, it is not permitted to engage in political lobbying owing to it receiving funds from the Federal Government. It does however work very closely with the political or advocacy bodies like Australian Dairy Farmers and the United Dairyfarmers of Victoria to make sure they have the information they need to do their job whether it be a report about soil carbon or up-to-date statistics.
GippsDairy is one of eight groups located in the dairy areas of Australia. It is run by a board of mainly farmers and is independent of Dairy Australia. It does however have a very close affiliation such that it would not exist if not for funding from Dairy Australia. This year GippsDairy will receive $530,000 from Dairy Australia to invest in projects and activities that help dairy to be profitable and sustainable.
Future articles will explain more about GippsDairy’s projects as well as attribute some behind the scenes work being done by Dairy Australia. For information on local levy investments visit www.gippsdairy.com.au or for information on national levy investments visit http://www.dairyaustralia.com.au
