Cotton Australia Releases Flood Relief Action Plan
January 19, 2011 With some flood-affected cotton growers in Queensland now facing the grim prospect of no income for the second year in a row, Cotton Australia has released a 30 point action plan detailing the industry’s response to the flood crisis.
Cotton Australia Chairman Andrew Watson says after eight years of drought, nature played a cruel hand, flooding some cotton crops before harvest in February last year and bringing more flooding this year.
“Losing one crop to flood waters is always going to be heartbreaking, watching that same thing happen two years in a row is simply devastating. This double impact means some growers now won’t see any income until 2012.”
Watson says Cotton Australia has been on the ground during the flood crisis, talking with growers and developing a plan to relieve some of the strain as affected growers begin the long haul toward recovery. “We know that maintaining a positive approach is a key indicator of a successful recovery. The Cotton Australia Flood Relief Action Plan is an industry recovery roadmap, identifying 30 key areas that could provide cotton growers with some assistance.
“Cotton Australia has already started work on priority areas like mental health support, contract negotiations with traders and merchants, and briefing the Australian Bankers Association about the impact of the crisis.”
Watson says the Cotton Australia flood relief action plan will continue to be a work in progress as some items are ticked off and new proposals make the list. He said while not every item on the plan will be achievable, the document will guide lobbying efforts.
“Everyone who has been touched by these floods knows that the recovery process will be a long one. We are aiming to make our flood relief action plan a flexible document, able to adapt and change, providing ongoing support and encouragement during the long road to recovery,” Watson said.
Cotton Australia Flood Relief Action Plan
1. Road infrastructure repairs. The key is ensuring that funding provided for road repairs will be allocated to quality repairs and not simply patching the potholes. Cotton Australia is also ensuring local government considers making arrangements that allow farmers with suitable equipment to carry out road repairs at contract rates.
2. Mental health counseling. This will be a service in high demand for both short-term assistance and
as part of the longer-term recovery. Cotton Australia will actively support the provision of these services.
3. Gradual weight limit increase on roads. The current five tonne limit could present real challenges for the recovery effort if these emergency restrictions are allowed to remain in force for a prolonged period. Cotton Australia will take this matter up directly with the Queensland Transport Ministry to ensure they fully understand the issue and the need for a speedy resolution.
4. Talk to bankers association and bank officials. Cotton Australia remains in regular communication with the Australian Bankers Association (ABA), and that high-level interaction will now continue as we deliver grower feedback directly to the ABA as well as briefing all the major banks on the impact of the floods.
5. Cut red tape on recovery assistance. Disaster recovery officers were particularly effective after Cyclone Larry and Cotton Australia has been working closely with QFF to ensure this service will again be provided in flood affected areas.
6. Lobby for interest rate subsidies. This was a key area of assistance sought by many affected farmers and businesses. A coordinated approach here is likely to have the most success and Cotton Australia has agreed to join forces with both the Queensland Farmers Federation (QFF) and the National Farmers Federation (NFF) to secure a speedy response on this issue from the government.
7. Meet with major service providers. Cotton Australia has been working closely with cotton industry service providers to brief them on flood impact and ensure the continuity of service and supply.
8. Brief cotton seed distributors. Cotton Australia will maintain close contact with cotton seed distributors about the impact of flooding and potential assistance.
9. Stamp duty relief on insurance. Cotton growers traditionally pay a significant amount of stamp duty on all insurances but Cotton Australia will press the government to provide some relief in this area.
10. Council rate relief. Cotton Australia will evaluate approaching local councils in affected areas to examine the potential for rate relief.
11. Soil and leaf testing. Access to these services will be an important part of post-inundation crop and soil management. Cotton Australia has been asked to approach the main service providers and determine whether they are able to offer these tests for flood-affected growers.
12. Energy company meter reading/billing. Many growers have asked Cotton Australia to approach the main electricity suppliers for rate relief and also the assumption of nil usage on meters that cannot be read.
13. Detailed case study development for some impacted areas to assist lobbying. Some growers have asked Cotton Australia to pull together area case studies on the financial impact on both growers and businesses. Cotton Australia is investigating this with qualified consultants.
14. Seek relief from SunWater part A charges. Cotton Australia will be approaching SunWater to seek some relief for affected growers.
15. Facilitate regional movement of machinery on roads. This is another issue likely to receive joint support from farm groups including the NFF, QFF and Cotton Australia.
16. Improve tax breaks/incentives for preventive flood measures. This is clearly a longer-term issue that Cotton Australia will be looking at in the future.
17. Refund of the 12-month Goods and Services Tax. Cotton Australia will give this issue further consideration.
18. Worldwide sponsorship of affected Australian growers. Cotton Australia will investigate any opportunities that might exist to obtain support from cotton farmers in other countries.
19. Ensure the media remain fully updated. Media management remains a critical area for all farmer groups. Cotton Australia has been working hard to position cotton-growing communities as supportive and focused on long-term recovery.
20. Suggest co-funding models of town and farm flood protection. Cotton Australia will research whether a model can be developed to assist affected areas in the future.
21. Community development officers. This level of assistance has been suggested for some of the smaller communities that have been hard hit at both a farm and town level.
Cotton Australia will be pursuing this along with the QFF at a state government level.
22. Concessional loans/review of maximum levels. Cotton Australia will consider this issue, with the current $250,000 limit considered too low, given the size and range of modern cotton farming operations.
23. Criteria for low interest loans. In most areas, growers feel the criteria is too restrictive and have asked Cotton attempt to secure any possible changes.
24. Crop relief program. Cotton Australia will investigate the potential for advancing replanting grants.
25. Develop a possible mechanism for contract flexibility. This is an issue that Cotton Australia is now actively discussing with the Australian Cotton Shippers Association.
26. Use of the army for road repairs. This was a proposal suggested in several areas. Cotton Australia understands the NFF has already put this idea to the Federal Government.
27. Use of Singaporean Army equipment at Rockhampton. This proposal was raised and again, the NFF has taken the idea to government officials.
28. Industry levy relief. Cotton Australia will explore the potential for this form of relief.
29. Arrange for researchers to visit crops. In an attempt to help maximize production from the remaining crops, Cotton Australia has been working with other industry organizations to ensure key researchers have the funding and assistance they need to visit the affected areas. This process has already begun in some areas.
30. myBMP Extensions. Some of the affected growers may need extensions to achieve myBMP certification. Cotton Australia is working with them to achieve this within our Department of Environment and Resource Management accreditation agreement.
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