AUSTRALIAN Dairy Industry Council chairman Pat Rowley said the Senate report backed ADIC's position that deregulation was inevitable and the issue was really one of how best to ease the transition to a commercial environment. "The fact that the report's recommendations were unanimously supported by Liberal, National, Labor and Australian Democrat senators on the committee should be noted," he said. "Its conclusions should finally put to rest the arguments about alternatives to deregulation which have been advanced by a minority section in recent months." Mr Rowley said the real question was whether dairy farmers wanted deregulation with or without a restructure package. He said the ADIC was engaged in intensive discussions towards finalising details of the restructure package. At this stage, all dairy farmers in dairy production on September 28, 1999, may be eligible for a structural adjustment payment, based on 1998-99 production figures. Opposition agriculture spokesman Gavan O'Connor said the report showed aspects of the restructure package needed to be looked at again. "It is clear from the Senate report that government needs to go back to the drawing board with industry and state governments and renegotiate significant elements of the package," he said.