Section 1 Agency overview and Resources

Section 1: Agency overview and resources

1.1 Strategic Direction

The department’s objective in 2008–09 and beyond is to implement the government’s priorities by better positioning agriculture, fishing, forestry and food related industries to respond to the main threats and opportunities ahead. In line with the government’s broader priorities, key actions will focus on responding to climate change, increasing productivity, improving our quarantine and biosecurity system, and maintaining and extending international market access for Australian agricultural produce. Collectively, these actions will contribute to the outcome:

Australian agricultural, fisheries, food and forestry industries that are based on sustainable management of and access to natural resources, are more competitive, self-reliant and innovative, have increased access to markets, are protected from diseases and are underpinned by scientific advice and economic research.

Over the past six years, Australia’s agricultural industries have demonstrated their strength and resilience, having endured the worst drought on record. However, despite the continuing success of the sector over this period, the drought has also highlighted the very real and significant challenge that a drying climate presents for agriculture.

In 2008–09, we will implement the government’s major election commitment for the portfolio, Australia’s Farming Future, to help Australia’s primary industries deal with the climate change challenge. This $130 million initiative, to be delivered over four years, aims to help the sector to not only survive, but thrive in the challenging times ahead.

The components of Australia’s Farming Future—the Climate Change and Productivity Research Program, the Climate Change Adaptation Partnerships Program and the Climate Change Adjustment Program—will equip farmers, foresters and fishers with research, tools and information to adapt to the effects of climate change and manage their emissions.

Increased climate variability also has implications for the way we support droughtaffected primary producers. Over the coming year, we will work closely with state and territory governments to ensure support arrangements best meet the realities of the changing environment in which our farmers, fishers and foresters operate.

With the additional pressures that climate change brings, the need for continuous improvement in primary sector productivity has never been greater. In 2008–09, new policy and program initiatives will aim to boost investment in innovation, increase the sector’s productivity and reduce red tape to ensure Australia’s primary producers remain internationally competitive and profitable.

The $35 million Regional Food Producers Innovation and Productivity Program will encourage innovation in production, processing and value adding in the regional food industry over the next four years. Likewise, the $9 million Forest Industries Development Fund will encourage ongoing investment in forestry value-adding industries.

Fostering rural research and development to help improve industry productivity is also a focus for the government. In 2008–09, the government expects to provide more than $168 million in matching contributions to the rural research and development corporations. A further $15 million will be invested in the National Weeds and Productivity Research Program over four years to help reduce the impact of weeds on farm and forestry productivity.

Improvements will also be realised from reforms to export marketing arrangements for wheat. The changes expected to take effect on 1 July 2008 will increase choice and allow growers to capitalise on the efficiencies achieved through greater competition in the marketing of wheat. In 2008–09, the department will place a high priority on achieving a smooth transition to the new arrangements. We will provide support to the new regulator, Wheat Exports Australia, inform growers about the new arrangements and continue to monitor and advise the government on export wheat marketing.

Over the coming year, the department will continue its major ongoing function of managing the risk of exotic pests and diseases entering Australia. To ensure Australian quarantine and biosecurity systems are the best in the world, the government will also consider and respond to recommendations by the Quarantine and Biosecurity Review which is being undertaken by an independent panel chaired by Mr Roger Beale AO, and the recently completed inquiry into the August 2007 outbreak of equine influenza in Australia undertaken by Commissioner Callinan AC QC.

In 2008–09, the department will also work closely with other agencies to deliver on a range of government priorities. In particular, we will jointly manage the government’s new integrated natural resource management program—Caring for our Country— with the Department of the Environment, Water, Heritage and the Arts. The new program will complement Australia’s Farming Future by assisting land managers to be more resilient to climate change and improve landholder practices to protect and advance the productive use of our natural resource assets. The department will have lead responsibility for Landcare, as well as joint responsibility for two initiatives under the Great Barrier Reef Rescue Plan.

We will continue to work across government and with industry representatives to pursue the portfolio’s important goal of increasing access to markets for agriculture, fish, food and forest products. The department will work to open new markets and maintain existing ones, reduce trade distortions, remove technical market access barriers and develop international trade standards.

Our efforts in 2008–09 will be driven by our focus on evidence-based policy, underpinned by the research conducted by the Australian Bureau of Agricultural and Resource Economics and the Bureau of Rural Sciences.

1.2 Agency Resource Statment

Table 1.1 shows total resources from all origins. The table summarises how resources will be applied by outcome and by administered and departmental classification.

Table 1.1: Agency resource statement- Budget estamites for 2008-09 as at Budget May 2008 continued

Table 1.1: Agency resource statement- Budget estamites for 2008-09 as at Budget May 2008 continued

Table 1.1: Agency resource statement- Budget estamites for 2008-09 as at Budget May 2008 continued

1.3 Budget measures

Budget measures relating to the Department of Agriculture, Fisheries and Forestry are detailed in Budget Paper No. 2. Table 1.2 provides a summary of government measures and identifies the relevant output associated with each measure. The full measure description and package details appear in Budget Paper 2 under the Agriculture, Fisheries and Forestry portfolio.

Table 1.2: Agency 2008-09 Budget measures continued