House of Assembly: Wednesday, November 13, 2019

Contents

National Agriculture Day

Mr ELLIS (Narungga) (12:36): I move:

That this house—

(a) acknowledges that 21 November is National Agriculture Day;

(b) celebrates our farmers, fishers, producers and related businesses and organisations who help feed, clothe and grow our social and economic wellbeing across South Australia; and

(c) recognises the vital economic contribution by agriculture to South Australia's economy.

I rise today to move that this house acknowledges that 21 November is National Agriculture Day and, in so doing, recognises the vital economic powerhouse for this state and nation that is the agriculture sector. This motion suitably recognises the contribution of our farmers, fishers, primary producers and all associated businesses and organisations who feed, clothe and grow our social and economic wellbeing across South Australia and across Australia.

Not enough is made of the fact that food and farming make up Australia's biggest sector. In 2017-18, it was valued at a combined $60 billion. Not enough is made of the fact that Australia grows 93 per cent of its own food and exports two-thirds of its produce, directly employing more than 250,000 Australians. Not enough is made of the fact that Australian grain farmers play an important role as stewards of the land, sustainably managing over 23 million hectares of agricultural land, creating over 100,000 jobs in grains and 198,000 jobs in food manufacturing and helping to underpin the social fabric of rural and regional Australia.

National Ag Day on 21 November is rightly and importantly loudly trumpeting those facts. In my view, across the board, the value of agriculture and agribusiness in this nation and here in South Australia is shamefully under-recognised, so I proudly stand to mark 21 November as National Agriculture Day. I commend the National Farmers' Federation for commencing this important annual initiative in 2017 to better get the word out about just how much this nation and this state rely on the contribution of our estimated 85,700 agricultural businesses across Australia.

They work tirelessly and triumph often against the elements. They are at the mercy of when and where it rains, drought, fire and flood, disease, competing land uses and fluctuating market prices. The many risks of farming were again on show last week in the Riverland, when a three-minute hailstorm wiped out the majority of the entire year's work and investment for multiple growers of grapes, stone fruits, nuts and grain.

Ongoing drought across the country serves to highlight the knock-on effect that goes through whole communities. We have long understood that when it is good for farmers on the land it is good for shopkeepers, mechanics, tyre fitters, rural merchandise distributors, shearers and casual farm workers, machinery and vehicle dealers, etc. The list goes on. The agriculture and livestock industries drive local economies, especially rural and regional local economies.

So often, the adversity and struggles of farmers—what needs to be done to better support them, how bad the drought is, the storm damage or the falling produce prices—are the only stories cutting through media. More must be done to get the success message out and the fact that this nation and this state are ever reliant on primary production and farming communities for their continued prosperity.

The gross value of the Australian agriculture industry increased by $3.7 billion, from 2014-15 to $58.1 billion in 2015-16. Australian grain farmers play an important role as stewards of the land, sustainably managing over 23 million hectares of agricultural land, creating over 100,000 jobs in grain and 198,000 jobs in food manufacturing, and helping underpin the social fabric of rural and regional Australia. Here in South Australia, primary industries and agribusiness revenue in 2017-18 was $14.8 billion, directly and indirectly contributing $19.7 billion to our great gross state product.

The sector in this state supports an estimated 152,000 jobs and that is approximately one in five working South Australians somewhat connected to this industry. Direct international exports grew by 3.4 per cent in 2017-18 to reach $6.7 billion. It is very clear that the future prosperity of this state and our nation remains heavily reliant upon the performance of the sector. It is important that all these facts are better promoted and that the farmers in this state and across the country are better recognised for the job they are doing for us all.

The mantra of National Agriculture Day is that farmers deserve recognition for putting the world's best food on our tables, and the world's best fibre on our backs. With 150 registered ag day events last year, it is expected there will be even more celebratory breakfasts, morning teas, sausage sizzles, lunches and market events across cities and rural areas around our nation next week. I wish the best for all involved in planning and carrying out those events and I hope they will be successful.

According to the ABS, there are 15,000 South Australian farmers. I would like to break down the individual sector figures to ram home the vital economic importance of our primary industries across our regions. Incredibly, despite drying conditions, such is the expertise of our farming entrepreneurs that South Australia's grain harvest for 2019-20 is estimated at 6.2 million tonnes for a farmgate value estimated at $1.8 billion, which is slightly higher than the last two seasons. All this activity is created on just some 5 per cent of the arable food producing land that is still available in this state.

I look forward to continuing to work with colleagues and stakeholders on future policy areas to ensure increased protection for our farmers and their food producing soil that is so vital for our agriculture and agribusiness industries. In celebrating the role of agriculture and primary industry around the state, the point is also made that, of all state jurisdictions, South Australia relies, and has always done, most heavily on agriculture to fuel it state's economy, well epitomised by the grapes and wheat that feature so prominently on the carpet at our feet in this chamber, such has been the longstanding reliance on these important sectors in South Australia.

The need for such protections for our prime, reliable, cropping, high-yield, increasingly scarce land is clear. In 2017-18 the grain industry—that is, wheat, barley, hay, feed grains, canola and lentils—generated $4.2 billion in revenue. These commodity exports from around the state were worth $2.3 billion. The primary production value of our livestock industries—beef, sheep, pig and chicken meat—totalled $1.9 billion in 2017-18. Over 11 million sheep, 950,000 head of cattle and 57 million kilograms of wool are produced annually for a total production and processing revenue in the vicinity of $2.4 billion.

In 2017-18, the dairy sector increased its production value by 11 per cent to $217 million. The wool sector production was worth $568 million. South Australia's cattle and sheep industries produced $3.4 billion in revenue and South Australia's beef industry gross revenue exceeded $1.3 billion. These are extraordinary contributions made by those sectors.

National Ag Day also celebrates the role of our seafood and forestry industries, both just as vital to our state's economic future as our grain and livestock sectors. In 2017-18, South Australia's seafood industries generated 70,000 tonnes of seafood, adding $814.5 million to our state gross product with a farmgate value of $465 million. The wild catch and aquaculture industries generated total revenue of $515 million with tuna exports alone valued at $115 million and the southern rock lobster fishery—wonderful fishery that it is—at $125 million. Our forestry sector revenue totalled nearly $2 billion with plantations covering some 176,000 hectares.

Another important underlying fact when citing all these revenue figures is that agriculture is the largest employer in many regions or rural and remote communities. Farming, primary production and agribusiness are the backbone of regional communities across South Australia and Australia, supporting retail and service industries that together all sustain life and entire populations outside capital cities.

In 2017, there were over 85,000 agricultural businesses in Australia, such is the crucial role the sector plays in job creation and regional sustainability. I am proud to be part of the Marshall Liberal government that has demonstrated in so many ways that it backs regional South Australia and recognises the incredibly valuable economic and employment role that primary producers and all the associated industries play in the wellbeing of this state as a whole.

Our $750 million Royalties for Regions program and $150 million Regional Growth Fund are flagship policies. But also, this government, via its 'growth state' initiative that is underway, has the plan and vision to grow by 3 per cent per annum South Australia's $14.8 billion food, wine and agribusiness sector. We have instigated the development of the state's first Grain Industry Blueprint and we have undertaken the first trials of industrial hemp in South Australia for a projected $3 million per annum industry.

We have introduced farm debt mediation and invested $7.5 million in a new red meat and wool growth program. There is the well overdue $25 million investment in the rebuild of the 100-year-old South Australian dog fence to benefit the livestock industry and the $3.8 million announced to protect South Australian sheep and cattle industries from biosecurity threats. We have also waived stamp duty on multi-peril crop insurance, slashed the ESL bills to support farmers and communities that were so cruelly increased without notice by the former government, and abolished payroll tax for small business.

The Marshall Liberal government has introduced the Genetically Modified Crops Management (Designation of Area) Variation Regulations to lift the moratorium on GM food crops on mainland South Australia from 1 December to increase farm profitability and drought resistance. It is very important that that regulation be allowed to pass through the other house, for it will play a vital role in helping farmers who are doing it tough because of drought and other conditions to improve the profitability of their businesses. It will allow the industry to bring itself into line with other jurisdictions around the country so that they are not lagging behind in old times and so that they can access the newest technology and the newest means by which they can improve their business profitability.

We are investing in new automatic weather stations and AgTech demonstration farms. We have ensured that 29 new mobile phone towers for regional South Australia have been installed to support farmers and farming communities. We have introduced tougher laws for trespassing on ag land and have recently announced the inaugural winner of the new South Australian Agricultural Town of the Year awards to highlight the vital role that agriculture and primary industries play in regional communities. This new program, coincidentally, was launched this time last year on National Agriculture Day.

These are all initiatives that demonstrate the priority placed by the Marshall Liberal government on providing deserving support and recognition of this state's primary industries being the economic and vital powerhouse that they are. Only last week this government, in partnership with the federal government, reached a historic agreement to increase production at the Adelaide Desalination Plant to provide 40 gigalitres of water this financial year to enable the release of the equivalent amount to help drought-affected farmers around the nation and, with this deal, secured a further $10 million for the South Australian Drought Resilience Fund to help South Australian farmers in need.

In the last 18 months or so, since becoming the member for Narungga, I have been privileged to meet so many hardworking farmers, agribusiness owners and skilled, passionate people from primary industry, supporting organisations and companies, who all back and invest and devote their lives to our agriculture and primary production sector and to making this state a better place. I have had the honour, too, of meeting agricultural researchers and scientists. I have toured the Roseworthy and Waite campuses and had my eyes widened and opened to the possibilities that agriculture and primary production offer this state and all who live here. There are some seriously exciting things happening at those research facilities.

To mark the 2019 National Agriculture Day, this motion applauds and acknowledges the outstanding contribution of our agriculture, food and beverage, primary production and agribusiness sectors. The significance of this sector is further heightened when compared with this state's mineral sector—also vitally important, I must say. Regionally based mining and gas production accounts for more than 35 per cent of South Australia's traded exports.

National Agriculture Day will be held on 21 November around the nation to celebrate the role that agriculture and communities outside the cities have had in forming our nation and the future crucial role they will play in sustaining the future of our state and nation. It is a valuable day to sell the virtues of our regional cities and towns, to sell the opportunities available in primary industry and regional centres and to sell the exciting future ahead. The federal government's plan is to boost the size and scale of the agriculture, fishery and forestry industries, from their current $60 billion to $100 billion by 2030, and the Marshall Liberal government continues to play and will continue to play its part in this vision.

Already underway is our very important work in developing SA's new regional development strategy. Its purpose is to deliver a government plan for investment, support and priorities, as stated by the Minister for Primary Industries and Regional Development. This is a step that is necessary to ensure that regional SA maintains and grows its economic capability and supports people in their decision to live in regional areas. In closing, I once again thank all in this sector, which is our biggest in the nation and our lifeblood across regional communities. You do a wonderful job. I commend the motion to the house.

Mr HUGHES (Giles) (12:50): I also rise to support this motion. I commend the member for bringing this motion to the house, and I agree with him that we often take for granted the contribution of primary industries in Australia and in South Australia. Especially in metropolitan areas, people often have warm feelings about farmers, but a lot of the produce that is generated is just taken for granted, that it is just going to be there. Many people at the moment, nationally and in this state, who are involved in primary industries find that it is very hard with the extensive drought that has hit New South Wales and Queensland especially but has spread to Victoria and has been in parts of South Australia for up to three years now. That is having a major impact.

I will get on to some of the things that I think the government should be doing to assist some of the drought-hit communities and primary producers in this state. As the member for Narungga said, we stand upon this carpet, dating back to the 19th century, that acknowledges the contribution of primary industries at that time. Primary industries have remained the economic foundation of South Australia across a broad spectrum of primary products. We have grain and grapes on the carpet, but obviously, as the member has said, the contribution from primary industries extends far beyond that.

The figures are always worth recounting. I will not go into the same detail and breakdown, but the contribution of just short of $20 billion to our state's economy is incredibly significant. When you add primary industries and agribusinesses, the 152,000 people employed there, directly or indirectly, it is a massive contribution to our state. Clearly, there are other contributors: manufacturing, to a degree, but less so, and the service sector, of which the educational sector is part. There are a lot of other contributors to the state, but over the years, year in and year out, agriculture and primary industries have been there to massively contribute to the prosperity of our state.

I believe there is a bit of irony involved in the National Agriculture Day itself. The National Farmers' Federation, and I think one of the departments in the federal government, were involved in getting the day off the ground. I think one of the sponsors was Gina Rinehart, who is a very significant landowner in my part of the state. The irony here is that, with some of the challenges that we are now facing, the challenges that our scientists and scientists globally have predicted, Gina Rinehart is part of 'climate change denial central' in Australia. In fact, she provides very significant funding for the groups that deny the scientific consensus on human-induced climate change.

Most of the farmers I speak with, not all but a large majority, acknowledge climate change. They believe that they are on the front line of climate change in this state. I mentioned yesterday that I was west of Buckleboo last week with a young farmer in his header as we were taking in a crop of barley. We had a long discussion about climate change, about GM, about soil and about the things that they have done over the years to adapt to changes and to sustain a business in an area that is well north of Goyder's line.

We know that Goyder's line is moving south, and I would like to acknowledge that fantastic piece of work done in the 19th century. I guess our assessments now are far more sophisticated and that when we look at Goyder's line now, or a modern Goyder's line, it is that ratio between precipitation and evaporation and the changes that are actually taking place.

One of the things about our primary industries, especially during incredibly challenging periods, is that people see doom and gloom, but what they often do not see is the capacity to adapt and just how smart many of our farmers are, just how quick they are to adopt new technology and just how thoughtful they are about ensuring that they protect their important assets in a sustainable way. A lot of thought is going on there.

In a meeting that was held down at McLaren Vale the other day, there was some discussion within the Labor Party about regenerative agriculture, and that discussion is happening nationally. Some areas might go in that direction, but there are all sorts of other options. We should not be denying our farmers some of the tools that are becoming available as time goes on (and I will be quite guarded with what I am saying) and some of the tools that our farmers might well need to, in part, adapt to climate change but also to ensure ongoing productivity when it comes to the use of land.

I mentioned the drought in South Australia, and I have made this point a number of times in this chamber: the lack of real, tangible assistance provided to farmers and some of our communities on the ongoing drought in South Australia. There is a lack of assistance in comparison with what is happening in other states. When it comes to Queensland and New South Wales, the drought has been far more extensive and it has become entrenched; it has gone on in some places for six or seven years. So you could imagine there is going to be support somewhat commensurate with the challenges.

Victoria is a bit closer to the South Australian example when it comes to drought, and it is mixed, in that we have areas in our state that are doing well, we have areas that are middling, but we have areas that are doing quite badly indeed, some of which are in my electorate: the vast pastoral areas and some of the places around the north-east of Eyre Peninsula.

What has happened in all the other states is that tangible support has been provided. It came as a shock to me, I guess, as a shadow in estimates after the first budget and then after the second budget, around the question of what tangible support is being provided for farmers and pastoralists in our state to meet the challenges that they are facing with drought. Unfortunately, there was nothing in the way of tangible assistance. There were a few bits and pieces on the peripheries.

When you look interstate at some of the things that have been put on the table, I know there was a bit of discussion about freight subsidies, but the fact is that New South Wales put in those freight subsidies, which then put a number of South Australian farmers and pastoralists at a significant disadvantage. Ideally, you would like to see a national solution to this. It is to the disadvantage of one state and their farmers and pastoralists when another state puts in a freight subsidy. You do not want to get involved in a bidding war, but you do want to look after our farmers.

I think there needs to be some agreement at the national level through COAG when it comes to some controls over that sort of thing so that it does not disadvantage states that do not have pockets as deep as those in New South Wales. I have raised previously NRM levies, council levies, water rates; they should be looked at. The minister said he would look at these things—it was reported widely in the Stock Journal—over a year ago, but to date he has not done that. He has not done anything tangible. I seek leave to continue my remarks.

Leave granted; debate adjourned.

Sitting suspended from 13:00 to 14:00.