This week a low vibing budget was handed down by the Federal Government amidst a backdrop of subdued expectations in relation to economic growth and the ongoing structural deficit projected for the years ahead. We have seemingly now entered the fiscal twilight zone where a $42 billion budget deficit is surrounded by an ‘it could have been worse’ or ‘it is not as bad as I thought’ narrative.
With approximately $9 billion of the budget not yet announced, tax cuts and cost of living sweeteners, this budget feels very much like an election budget and not a full-term budget.
Of note for the agricultural sector and Australian consumers is a $3.5 million commitment for a National Food Security Strategy, investments in critical infrastructure such as the Bruce Highway, $28.8 million over two years to continue to build our preparedness and resilience when it comes to natural disasters, as well as allocations toward the control of feral pests, including a much-needed boost to managing pests on public land.
The funding allocated to upgrade the Australian Centre for Disease Preparedness to continue its biosecurity in keeping with safety standards was urgently needed and a welcome announcement.
QFF also acknowledges the investment commitment to increase the ACCC’s capacity to investigate unconscionable conduct among supermarkets and retailers. While there is no detail yet provided regarding the $2.9 million investment announced to assist suppliers in standing up to the big supermarkets, the Federal Government should look no further than Queensland Fruit & Vegetable Growers’ (QFVG) leading Geared Up Growers program here in Queensland. Let’s hope there is strong industry engagement underpinning the execution of these budget announcements.
QFF will be seeking clarification from the Federal Government in relation to the deferral of $190.2 million in 2028/29 for the Paradise Dam improvement, Hughenden Irrigation Scheme and Big Rocks Weir Projects to ensure the funding remains committed and deferrals are in line with project delivery timeline expectations only.
It is disappointing that there is again a lack of clarity in relation to the continuation of the Murray-Darling Basin Plan’s implementation with the financial implications not being disclosed.
Budget papers indicate that some announcements are to be funded from existing resources and reallocations, and it is difficult to see exactly what of the investment commitments is new money and what is not.
However, with the Federal Government election about to be called and the world watching as Donald Trump plans to enact his tariff policies next week, this week’s election budget may in fact be the last thing on our minds by April.
However, Federal government priorities and how they choose to invest taxpayers money is incredibly important. Now is a time when we need to double down on the things that matter to Australia. QFF will continue to work with governments of the day at both a state and federal level to push for the things that will support a viable future for agriculture – consumers, regional communities and future generations, need a strong farming sector.