The Albanese Government must reinstate interest-free drought loans for Victorian farmers to help producers manage through and recover from the drought.
Nationals Leader and Shadow Minister for Agriculture, David Littleproud said Victoria’s drought had been devastating for many farmers and regional communities.
“While recent rains have provided some optimism for new growth and relief from drought in the Spring, Victorian farmers will continue to face months of severe feed shortages,” Mr Littleproud said.
“Farmers have endured record drought conditions in some regions of Victoria which have been beyond their previous experience, placing significant pressure on farm budgets.
“Unfortunately, the Albanese Labor Government has failed to re-instate measures which successfully assisted farmers to hold onto their farms in previous droughts,” Mr Littleproud said.
In 2020 the Coalition introduced a two year interest-free period for loans up to $2 million for farmers experiencing drought hardship.
The zero per cent interest rate applied to new and existing drought loans under the Regional Investment Corporation enabled farm families to refinance existing debt from commercial lenders to save on cashflow and give them breathing space to restock and replant.
Victorian Nationals Senator Bridget McKenzie said the Federal and State Labor governments had been making life harder for Victorian farmers at a time they most need support.
“Unfortunately, this drought is flying under the radar of many people in the capital cities and apparently the Albanese Government in Canberra,” Senator McKenzie said. “Applying this measure will keep farmers from going bankrupt and it’s time the Government made this product available again.
“Almost 400 Victorian farmers have been supported by Regional Investment Corporation loans since it was established in 2018 but the Albanese Government has refused to guarantee that funding for the RIC will continue beyond June 2026.
“Minister Collins has failed to respond to the review of the Regional Investment Corporation and did not once mention the crippling drought affecting Victorian, South Australian and New South Wales farmers during the first two sitting weeks of Parliament.
“As if drought wasn’t enough, our farmers have had to deal with the financial threat of Victorian Labor’s emergency services tax as well as massive fines for trying to protect their farms from having transmission towers imposed on them,” Senator McKenzie said.
Federal Member for Wannon, Dan Tehan, said many local farmers have found the financial strain of this drought to be unbearable, needing to truck in feed and water and destock animals which have taken generations to breed.
“Local support agencies have been doing outstanding work in very trying conditions to assist farmers manage through this severe drought, but our farmers need more help and more support on the ground here and now.
“The Government needs to act and act immediately,” Mr Tehan said.
ENDS
Contact:
The Hon David Littleproud – Lauren Day: M | 04036 852 090
Senator The Hon Bridget McKenzie – Gerard McManus: M | 0477 391 580
The Hon Dan Tehan – Sandie Gustus: M | 0408 564 232
