WA growers battling unseasonably dry conditions could soon have access to increased financial support from the Federal Government.
Minister for Primary Industries and Regional Development Alannah MacTiernan said the State Government was negotiating with federal departments to provide WA growers access to Drought Assistance Concessional Loans.
WA is yet to sign on to the 2017/18 Drought Assistance Concessional Loans Scheme, after previous arrangements expired.
The scheme allows farm businesses affected by drought loans of up to $1 million for a maximum of 10 years at a variable concessional interest rate of 2.47 per cent.
Ms MacTiernan said the State Government was seeking to have WA growers affected by last year’s frost and this year’s dry season considered for the loans.
“While the weekend’s rains have helped some of our growers, we know others will struggle this year,” Ms MacTiernan said.
“We are currently in negotiations with the Federal Government regarding WA access to the Drought Concessional Loan Scheme and arguing to have the parameters better geared to the needs of WA farmers.
“Under the current proposal from the Federal Government, two years of drought-related financial hardship are required for access to the loan scheme.
“Last year the Federal Government made concessions to the Victorian dairy industry to allow easier access to the scheme, we will be asking the Federal Government to consider the massive losses sustained by some growers last year because of frost as a year of financial hardship under the scheme.
“This would mean those farmers impacted by frost last year and drought this year could access the scheme later this year.”
It comes after Liberal Party spokesperson for agriculture Ian Blayney last week called for the government to offer assistance to WA farmers.
He said the Labor government had the capability to introduce several measures to assist farmers dealing with ongoing dry conditions, such as those initiated by former Agriculture Minister Kim Chance in 2006.
“In 2006 when farmers were facing similar drought circumstances, the then Minister for Agriculture advanced initiatives to provide economic and social support to farmers,” Mr Blayney said.
“I am calling on the government to re-establish a Dry Seasons Advisory Committee and investigate whether extra funds are required for financial and rural counsellors.
“The State Government in 2006 also made $7500 of funds available to farmers to shift fodder or water, or to establish feedlots.
“The measures that Kim Chance put through in 2006 to me seemed to be sensible, pragmatic things that didn’t cost a fortune but I suspect made quite a bit of difference for some people.
“Providing some certainty for WA farmers and communities affected by the lack of rainfall is critical to enable our farmers to focus on the important day-to-day issues at hand.”
Ms MacTiernan said the State Government would continue to keep a close eye on the unfolding season, and would liaise with industry leaders in the coming weeks.
“We will be meeting with farm representatives this month to look what other assistance mechanisms might be useful,” she said.
“The 2006 assistance referred to by Mr Blayney was not announced until late August, as the season progresses we will consider assistance mechanisms.
“It is also worth noting that many of our farmers are in a better financial situation now than they were in 2006, there is $600 million in Farm Management Deposits in WA.”
Ms MacTiernan said the Department of Primary Industries and Regional Development was providing technical support to farmers, and free assistance was also available through the Rural Financial Counselling Service WA.