Morrison Government's political backers have spoken and plans for biosecurity levy are abandoned

ABC News, 20 May 2020:

After more than a year of lobbying by cement, minerals and freight industry groups, the Federal Government has abandoned a promise that would raise hundreds of millions of dollars to protect Australian farmers from pests and diseases.

In 2018, Federal Agriculture Minister David Littleproud announced the Government would raise $325 million over three years through a biosecurity levy.

The Budget outlined a proposed $10.02 biosecurity charge per 20-foot container, and a $1 per tonne levy on bulk imports coming via the sea to be imposed from July 1, 2019, with the funds raised used to detect and screen for exotic pests and diseases.

The 2019 Budget saw that deadline postponed until September 2019, but legislation for the levy was never introduced.

In a statement on Wednesday, the Department of Agriculture Water and Environment said the levy could not be implemented without significant impacts on industry and proposed levy payers.

"A levy will not be progressed and this decision will not impact on the overall biosecurity budget," it said.

The statement thanked the industry working group that consulted on the levy, and said the decision had been made "in consideration of the impact of drought, bushfires and COVID-19 on the economy"….

The Cement Industry Federation was part of a consortium of industry groups including the Minerals Council of Australia, Australasian Railway Association, Australian Chamber of Commerce, Manufacturing Australia, the Australian Logistics Council, and Gas Energy Australia that rejected the proposed levy....

The levy on freight was first proposed by a review of Australia's biosecurity services in 2017, which found widespread agreement that biosecurity was underfunded in Australia.

The decision not to introduce the levy comes as Australian farmers face uncertain trading conditions following years of drought and recent pest incursions, which could cost industry hundreds of millions of dollars.

This year alone, Australian farmers have found new worrying detections of the fall armyworm and banana-destroying Panama disease, while Queensland prawn farmers expected to lose millions to an outbreak of white spot disease.

Meanwhile, the pork industry still fears it could experience an outbreak of the pig-killing African Swine Fever.

The disease spread through Asia, wiped out a quarter of the world's pig population and was recently detected in Papua New Guinea.

If it were to reach Australia, the pork industry estimates it could cost the Australian economy $2 billion.

National Farmers' Federation chief executive Tony Mahar said the decision to axe the levy was a "blow to Australia's farmers".

"The uncertainty this levy proposal has created — particularly given the current circumstances — is a poor look for government," Mr Mahar said.

The Department of Agriculture Water and Environment did not make a spokesperson available, but said Australia's biosecurity systems underpinned $60 billion in agricultural production, $49 billion in agricultural exports and $42 billion in inbound tourism.

Mr Littleproud's office has been contacted for comment.