ABC Report - Agriculture department in dire straits

Friday, March 10, 2023

Sal Milici (General Manager Trade Policy and Operations) and I had a series of constructive meetings with government representatives in Canberra this week including the senior advisor to the Minister for Agriculture on Wednesday 8 March 2023.

The latter engagement had a focus on the Department of Agriculture, Fisheries and Forestry (DAFF) cost recovery measures, with further detail soon to be publicly released for consultation.
 
That same evening, many Freight and Trade Alliance (FTA) members brought to our attention a breaking news article reported by the ABC (refer Agriculture department in dire straits as 'festering' finance problem reaches a head) expressing concerns with references to restrictions on non-essential travel and the closure or deferment of a number of reform initiatives.
 
Sal and I were privileged to have a follow up meeting in Canberra yesterday (Thursday 9 March 2023) with DAFF executives Dr. Chris Locke (Deputy Secretary) and Tina Hutchison (First Assistant Secretary Biosecurity Operations) who confirmed the existence of the referenced cost cutting measures.

L to R: Tina Hutchison, Paul Zalai, Sal Milici, Dr Chris Locke

TRAVEL
 
This is likely to have a negligible impact on business-as-usual operations, however, will have a significant impact on DAFF representation at conferences and other 'non-essential' travel.
 
From an FTA perspective, this has turned out to be advantageous.

The fact that the FTA CPD events are held in major capital cities (Sydney, Melbourne, Perth and Brisbane) means that we will now have executive DAFF representation, who were otherwise unavailable.
 
REFORM INITIATIVES

It is a significant concern that important reform initiatives such as the Green Lane Program may be suspended.

While acknowledging that such programs create a short-term drain on resources, the end-game would see operational efficiencies delivered to both DAFF and industry by reducing regulatory intervention and costs for highly compliant importers and to enable departmental resources to be redirected to areas of greater risk.

The DAFF executives provided reassurances that where any activity needs to be paused, the department will engage with impacted industry participants. They also stated it is the intention of the department to progress a positive reform agenda at its very earliest opportunity.

COST RECOVERY

FTA spent time this week again reinforcing the message at all levels of government acknowledging a need for appropriate cost recovery measures and the implementation of a Sustainable Biosecurity Funding arrangement.

Importantly, in return, FTA stated an expectation exists for:

  • transparency in the use of funds,
  • a need to incentive compliant behaviour and risk mitigation strategies with differential cost recovery arrangements, and
  • a commitment to use funds to provide vastly improved import services and systems' interface functionality.

FTA and DAFF executives will be outlining further detail on the above at upcoming Border Compliance Program events - event programs and early bird registration remain available HERE.

Paul Zalai - Director FTA | Secretariat APSA | Director GSF