Farmers welcome $320 million drought package

Thousands of drought-stricken farmers are set to benefit from a largely-welcomed multi-million dollar government assistance package.

Tony Abbott (R) speaks with graziers in Bourke, NSW

Tony Abbott visiting drought-hit property near Bourke during a two-day listening tour. (File:AAP)

Thousands of farmers are set to benefit from the government's $320 million drought package which includes income support, cheaper and easier accessible loans, water management, pest control schemes and mental health services.

But they've warned the government there's more work ahead on longer-term reform that addresses future drought periods.

NSW farmer Wayne Newton says the package announced on Wednesday isn't going to quickly solve financial problems in the bush.

Under the surface, mental health issues are hitting the limits and testing farmers' resilience.

"Make no mistake: this is a fight for survival out here," he told AAP.

Bourke grazier Phil Ridge said farmers and communities would have liked more but the package was sufficient to address immediate issues.

He had spoken to Prime Minister Tony Abbott, who visited Mr Ridge's property on his recent listening tour, about the need for "big picture" drought policy.

"It's a three-way conversation that needs to happen between the banks and government and farmers, because no-one's really getting ahead enough," he told AAP.

The National Farmers Federation (NFF) said the package included many of the measures it was asking for, except wage assistance and professional advice.

The next step was to work on drought policy reform, focused on preparedness and recovery support.

"The long-term policy void is not good for farmers, the government or the broader community," NFF president Brent Finlay said.

Mr Abbott said the package was a hand-up, not a hand-out but admitted it was a short-term measure.

He has vowed the government will look at long term policy once a white paper on agriculture is complete by the end of the year.

If new difficulties arise, it's the job of the government to respond.

"That's what I would hope to do at all times," he said.

Mr Abbott defended the package after the government knocked back support for manufacturers such as SPC Ardmona and Holden.

WHAT'S IN THE DROUGHT ASSISTANCE PACKAGE FOR FARMERS

-Package worth $320 million

-Criteria for income support to be relaxed from March 3 instead of July 1.

-Drought concessional loans totalling $280 million for eligible farm businesses

-$12 million towards emergency water infrastructure schemes

-$10 million for pest management

-$10.7 million to boost mental health support

(Source: Prime Minister's statement)


3 min read

Published

Updated

Source: AAP


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