EXPLANATORY STATEMENT
Australian Meat and Live-stock Industry Act 1997
Declaration of Industry Research Body
The Australian Meat and Live-stock Industry Act 1997 (the Industry Act) and the Australian Meat and Live-stock Industry (Repeals and Consequential Provisions) Act 1997 (the Consequentials Act) and related Acts gave effect to the Government’s decision of 18 March 1997 to reform the structures in the red meat industry.
They provide for the replacement of three statutory bodies providing services in the areas of marketing and promotion, and research and development with a producer owned service delivery company. This company will be established under Corporations Law as a company limited by guarantee and will be partly funded by statutory levies imposed on beef, sheep and goat producers. These Acts and related Acts received Royal Assent on 17 December 1997 and commenced by proclamation on 1 July 1998.
Sub-section 60(2) of the Industry Act provides that the Minister may, in writing, declare a body to be the industry research body. In making this declaration, the Minister must be satisfied that the body is a company limited by guarantee incorporated under the Corporations Law and that having regard to its membership, its memorandum and articles of association and any other undertakings or agreements it has entered into with other industry representatives or the Minister (or both), the body can appropriately represent the industry’s research and development interests. The body must have also consented to the declaration.
The purpose of this instrument is to declare Meat & Livestock Australia Limited to be the industry research body from 1 July 1998.
Section 64 of the Industry Act provides for certain payments, in the form of industry levies, to be made to the industry research body from Consolidated Revenue Fund to enable it to adequately carry out these industry functions.
Overview
The Australian Meat and Livestock Industry Act 1997 was enacted by the Australian Parliament to reform the structures of the red meat industry. This legislation aimed to replace three statutory bodies responsible for marketing, promotion, and research and development with a producer-owned service delivery company. This new entity, established under the Corporations Law as a company limited by guarantee, is partly funded by statutory levies imposed on beef, sheep, and goat producers. The Act and its associated legislation received Royal Assent on 17 December 1997 and commenced by proclamation on 1 July 1998. The policy objective behind this reform was to ensure that the industry's research and development interests are appropriately represented and effectively managed by a body that can operate independently yet remain closely aligned with the needs of the producers. This instrument specifically declares Meat & Livestock Australia Limited as the industry research body, effective from 1 July 1998, recognising its capacity to fulfil these roles within the reformed industry structure.
Scope and Application
The Australian Meat and Livestock Industry Act 1997, as supplemented by the Australian Meat and Livestock Industry (Repeals and Consequential Provisions) Act 1997 and related legislation, was enacted to reform the structures within Australia's red meat industry by establishing a producer-owned service delivery company to replace the three statutory bodies previously responsible for marketing, promotion, and research and development services. This Act applies to entities involved in the beef, sheep, and goat industries, particularly producers who will contribute to the funding of the new service delivery company through statutory levies. The geographic and jurisdictional reach of this Act is national, as it concerns industry-wide reform across Australia. The Act empowers the Minister to declare a specific body as the industry research body, provided that the body is a company limited by guarantee under the Corporations Law, has a membership and governing documents that allow it to represent the industry's research and development interests, and has consented to the declaration. The Act further facilitates the making of payments from the Consolidated Revenue Fund to the declared research body to support its functions.
Key Provisions
The Australian Meat and Livestock Industry Act 1997, specifically under Section 60(2), authorises the Minister to declare a body as the industry research body. This declaration is contingent upon the Minister being satisfied that the body is a company limited by guarantee incorporated under the Corporations Law, and that it can appropriately represent the industry’s research and development interests. The body must also have agreed to this declaration. In accordance with this, Meat & Livestock Australia Limited has been declared as the industry research body effective from 1 July 1998.
The obligations imposed on Meat & Livestock Australia Limited, as the declared industry research body, include representing the research and development interests of the beef, sheep, and goat industries. This involves ensuring that the company’s activities align with the statutory requirements set out in the Act, such as its membership, memorandum and articles of association, and any agreements with other industry representatives or the Minister. The company must also ensure that it is partly funded by statutory levies imposed on producers, as outlined in Section 64 of the Act, to support its functions.
Breach of the obligations under the Act can result in various consequences. Although the Act does not specify penalties for non-compliance, failure to meet the obligations may lead to regulatory scrutiny or potential loss of funding. The Minister has the authority to review and assess the body’s compliance with its declared responsibilities, which could impact the body’s operations and its ability to continue receiving industry levies. The seriousness of non-compliance would be determined on a case-by-case basis, with potential outcomes ranging from corrective actions to more severe regulatory measures.