NSW: Amery says dairy payments too slow

AAP General News (Australia)
02-01-2001
NSW: Amery says dairy payments too slow

SYDNEY, Feb 1 AAP - The New South Wales government today joined growing criticism of
the federal government's handling of the dairy industry deregulation.

Agriculture Minister Richard Amery said the federal government was taking far too long
to hand out adjustment package payments to farmers.

Mr Amery said he attended a meeting with about 50 dairy farmers yesterday in the South
Coast dairy farming district of Berry at which half said they were yet to receive any
money.

"These farmers should have been paid on average about $195,000 each last October," Mr Amery said.

"As a consequence of not being paid, these farmers and many others around the state
face continued uncertainty about their future.

"They cannot service or hope to clear their debts and have no hope of making any improvements
to their operations which are needed to stay viable in the new environment."

Mr Amery said a wait of seven months for the money under the $1.7 billion consumer-funded
package was totally unacceptable.

His attack followed a warning from dairy farmers that they would make their plight
a federal election issue.

Prime Minister John Howard yesterday said deregulation had brought down prices for
consumers as he began a sweep through marginal electorates in south eastern NSW and Victoria's
Gippsland region.

Despite some concerns by farmers, the government had provided the industry with a generous
rescue package, he said.

But the industry indicated it could be a major electoral headache for Mr Howard, vowing
to campaign against both Labor and coalition candidates in the Queensland state election
before moving on to the federal poll.

An Australian Bureau of Agricultural and Resource Economics (ABARE) report has shown
farmers' incomes had been slashed by up to 30 per cent since deregulation began on July
1.

Despite the government's $1.7 billion package, up to 30 per cent of dairy farmers would
still be out of pocket because of deregulation.

Retail prices had fallen only marginally with the report suggesting this may be due
to increased competition among supermarkets.

AAP jw/rp/cjh

KEYWORD: DAIRY NSW

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