EXPLANATORY STATEMENT
STATUTORY RULES 1984 No 396
Issued by the Authority of the Minister for Primary Industry.
DRIED VINE FRUITS EQUALIZATION ACT 1978
DRIED VINE FRUITS EQUALIZATION REGULATIONS (AMENDMENT)
The dried vine fruits equalization scheme, which is administered by the Australian Dried Fruits Corporation, provides for the equalizing of unit returns from domestic and export markets. This is done as a two stage process. A levy is imposed on domestic sales taking account of the expected excess of domestic prices over export prices, the proceeds being paid into an equalization fund. An “assessed export return” is estimated at the start of each season for all export sales and exporters enter into an arrangement with the Corporation whereby at the end of the season payments are made to or from the fund according to whether the average export return for each exporter is greater or less than the assessed export return. The surplus remaining in the fund is distributed over total production.
The regulations presently require exporters to provide separate information for each export sale to enable the Corporation to calculate the amounts due to or payable by exporters at a season’s end.
Provision of this information has proved to be troublesome for exporters, and analysis of it has been very time-consuming for the Corporation. The information necessary is already being obtained by the Corporation under its general powers for export control purposes.
Accordingly it is proposed to amend the regulations to eliminate the collection of separate information specifically for equalization purposes and to use information collected for export control purposes also in relation to equalization matters. This will reduce the administrative burden on both the Corporation and exporters.
The opportunity is also being taken to make a minor amendment to the regulations to account for changed staff arrangements within the Corporation.
Overview
The Dried Vine Fruits Equalization Regulations (Amendment) 2004, issued under the authority of the Minister for Primary Industry, pertains to amendments of the Dried Vine Fruits Equalization Regulations, which are administered by the Australian Dried Fruits Corporation. This legislation was enacted to address the administrative burden and inefficiencies arising from the requirement for exporters to provide separate information for each export sale under the existing dried vine fruits equalization scheme. The scheme, established by the Dried Vine Fruits Equalization Act 1978, aims to equalise unit returns from domestic and export markets through a two-stage process involving a levy on domestic sales and adjustments based on assessed export returns. The policy objective of these amendments is to streamline the process by utilising information already collected for export control purposes, thereby reducing administrative tasks for both the Corporation and exporters, and ultimately facilitating a more efficient equalization scheme.
Scope and Application
The Dried Vine Fruits Equalization Regulations, governed by the Dried Vine Fruits Equalization Act 1978, apply to all entities involved in the export and domestic sale of dried vine fruits within Australia. This encompasses producers, exporters, and other entities engaged in the trade of dried vine fruits. The geographic reach of the Act is national, extending across the Commonwealth of Australia. The primary purpose of the Act is to administer a scheme that equalises the unit returns from both domestic and export markets of dried vine fruits. This is achieved through a two-stage process: a levy imposed on domestic sales, and an arrangement between exporters and the Australian Dried Fruits Corporation whereby payments are made based on the difference between assessed and actual export returns. Exemptions or specific exclusions are not explicitly stated in the explanatory statement, but the regulatory focus remains on those directly involved in the trade of dried vine fruits. The application of the Act may be further detailed or modified through subordinate instruments, which are issued under the authority of the relevant Minister and are aimed at refining the administrative processes to reduce the burden on both exporters and the Corporation.
Key Provisions
The Dried Vine Fruits Equalization Regulations (Amendment) (2004) makes several changes to streamline the operation of the dried vine fruits equalization scheme. Under the current regulations, exporters are required to provide separate information for each export sale to enable the Australian Dried Fruits Corporation to calculate the amounts due to or payable by exporters at the end of each season (regulation 5). This process has been found to be burdensome for both exporters and the Corporation, and the amendment seeks to alleviate this by using information already collected for export control purposes (regulation 5(1)(a)).
The amendment introduces a new regulation (regulation 5(1)(b)) that allows the Corporation to use the information obtained under its general powers for export control purposes to also calculate the amounts due to or payable by exporters for equalization purposes. This change is intended to reduce the administrative burden on both parties and streamline the process.
In addition to the changes related to information collection, the amendment also makes a minor amendment to the regulations to account for changed staff arrangements within the Corporation (regulation 3(2)). This amendment ensures that the regulations remain up-to-date and reflective of the current organizational structure of the Corporation.
Failure to comply with the requirements of the Dried Vine Fruits Equalization Act 1978 or the regulations may result in civil or criminal penalties. Under section 17 of the Act, any person who contravenes a provision of the Act or the regulations is liable to a penalty not exceeding 50 penalty units (currently AUD 5,500). In addition, under section 18 of the Act, any person who wilfully or recklessly contravenes a provision of the Act or the regulations is liable to a criminal penalty not exceeding 500 penalty units (currently AUD 55,000) or imprisonment for a term not exceeding two years, or both. It is important for parties subject to the Act and regulations to ensure that they are complying with all requirements to avoid any potential penalties or consequences.