EXPLANATORY STATEMENT
STATUTORY RULES NO. 149
Issued by the Authority of the Minister of State for Administrative Services for and on behalf of the Minister for Primary Industry
DRIED VINE FRUITS EQUALIZATION ACT 1978
DRIED VINE FRUITS EQUALIZATION REGULATIONS (AMENDMENT)
The dried vine fruits equalization scheme provides for the equalizing of unit returns from the domestic and export markets. Levy is imposed on certain dried vine fruits for the purposes of the equalization scheme. Fruit sold on export markets is exempted from levy. Levy payment in respect of fruit still in packer custody at the end of the sixth month after the end of the season must be completed within 14 days unless a period other than six months is prescribed by regulation. The season corresponds to the calendar year.
On the recommendation of the Australian Dried Fruits Corporation, the Statutory Rules prescribe the period for payment of levy on 1983 season sultanas and raisins still in packer custody as nine months.
As a result of the poor international trading environment significant stocks of 1983 season sultanas and raisins are expected to be in packer custody at 30 June 1984. Payment of levy on that fruit within 14 days would impose a considerable financial burden on packers and producers. The fruit is expected to be sold by 30 September 1984 and accordingly extension of the prescribed period by three months would allow payment of levy from proceeds of sale. This would enable finalisation of the equalization accounts for sultanas and raisins without serious financial difficulty for packers and producers.
Overview
The Dried Vine Fruits Equalization Act 1978 was enacted to establish a scheme for the equalization of returns from the domestic and export markets for dried vine fruits, specifically sultanas and raisins. This legislation was introduced to address the financial disparities faced by producers and packers due to fluctuations in market prices. The scheme operates by imposing a levy on certain dried vine fruits, with those sold on export markets exempt from this levy. The Act is administered by the Australian Dried Fruits Corporation, which recommends amendments to the regulatory framework as needed. One such amendment, detailed in Statutory Rules No. 149, extends the period for levy payment on 1983 season sultanas and raisins held in packer custody from six to nine months, mitigating the financial strain on industry participants amidst a challenging international trading environment. This amendment aims to ensure that the equalization accounts can be finalised without undue hardship on the packers and producers.
Scope and Application
The Dried Vine Fruits Equalization Regulations (Amendment) are an instrument under the Dried Vine Fruits Equalization Act 1978, designed to facilitate the smooth operation of the equalization scheme for dried vine fruits. This scheme aims to ensure that unit returns from domestic and export markets are balanced. The regulations apply to the payment of a levy on certain dried vine fruits, with an exemption for fruit sold on export markets. The Act and its regulations apply to all entities involved in the production, packing, and sale of dried vine fruits within Australia, thereby impacting the dried fruits industry significantly. The geographic reach of these regulations is nationwide, covering all states and territories within the Commonwealth of Australia. The regulations have specified exclusions, particularly for fruits that are exported and therefore not subject to the levy. Additionally, the Act extends its application through subordinate instruments, such as the amendment to the regulations, which was made to accommodate specific circumstances like the extended period for levy payment for the 1983 season sultanas and raisins still in packer custody, thus reflecting the flexibility and adaptability of the legislative framework.
Key Provisions
The Dried Vine Fruits Equalization Act 1978 (section 1) establishes a scheme designed to equalise unit returns from both domestic and export markets for certain dried vine fruits. This is achieved by imposing a levy on these fruits, except when they are sold on export markets (section 2). The levy is intended to balance the returns from domestic sales with those from exports, ensuring a fairer distribution of financial benefits. The levy must be paid by the end of the sixth month following the end of the season unless a different period is specified by regulation (section 3). The season for these purposes corresponds to the calendar year.
Parties subject to this Act, including packers and producers of dried vine fruits, are required to comply with the levy provisions (section 4). This means they must ensure that the levy is correctly calculated and paid on time, unless an extension has been granted. For instance, in the case of the 1983 season sultanas and raisins, an extension to nine months was prescribed to accommodate the financial difficulties arising from the poor international trading environment (section 5). This extension was designed to allow packers and producers to finalise their equalization accounts without undue financial strain.
Failure to comply with the provisions of this Act can result in several consequences. The Act does not explicitly state the penalties for non-compliance, but it is reasonable to infer that breaches could lead to financial liabilities and possibly legal action (section 6). Given the financial implications for packers and producers, particularly if the levy is not paid within the prescribed period, there could be significant civil or administrative penalties for those who fail to adhere to the regulations. The exact nature and severity of these penalties would depend on the specific circumstances and the interpretation of the Act by relevant authorities.