Farms set for boost

SOUTHERN Downs producers are at the forefront of a $1.2 billion package to boost farm incomes and increase drought assistance as part of a long awaited agricultural competitiveness White Paper.
The Federal Government released the White Paper on the weekend.
Federal LNP Maranoa MP Bruce Scott said it sets out the Coalition Government’s vision for the sector by supporting farming families and helping them to grow their businesses.
“Whether it’s meat, grain, wine, horticulture or anything in between – the White Paper’s release is the start of a new age for agriculture.
“It provides the blueprint for greater investment, innovation and is set to assist producers to improve productivity and capitalise on domestic and international market opportunities,” Mr Scott said.
“The White Paper encourages trade by making it easier for products to reach markets and also contains funding for major roads and dams infrastructure to help boost production.
“A strong agricultural sector contributes to a strong economy and that means more jobs, greater exports, higher incomes and better services for bush communities.”
The White Paper and the 2015 Budget outlines a range of options.
Banks will be able to allow farmers to use Farm Management Deposits as a business loan offset, reducing interest costs estimated at up to $150 million a year from 1 July 2016.
Farmers will be able to opt back into income tax averaging after 10 years from 1 July 2016 and double their Farm Management Deposits to $800,000 from 1 July 2016.
There will be immediate tax deduction for fencing, immediate tax deduction of the cost of new water infrastructure and accelerated three-year depreciation of capital expenditure on fodder assets.
The government will also invest $11.4 million to boost ACCC engagement with the agricultural sector including a new commissioner with expertise in agriculture.
Other measures announced in the White Paper include up to $250 million in Drought Concessional Loans each year for 11 years and $22.8 million to increase Farm Household Allowance case management for farmers.
There will be increased financial counselling services and improved access to community mental health, access for farmers to their Farm Management Deposits when needed without losing tax concessions, $35 million for local infrastructure projects to help communities suffering due to drought, $25.8 million over four years to manage pest animals and weeds in drought-affected areas and advice and help from the Australian Taxation Office.
Visit www.agwhitepaper.agriculture.gov.au for more information.