EXPLANATORY STATEMENT
STATUTORY RULES 1986 No. 321
Issued by the Authority of the Minister for Primary Industry
GRAIN LEGUMES LEVY ACT 1985
GRAIN LEGUMES LEVY REGULATIONS (AMENDMENT)
The Grain Legumes Levy Act 1985 provides for the imposition of a levy on leviable grain legumes. The levy is used to finance a research program arranged under the Rural Industries Research Act 1985. In addition the Commonwealth Government contributes money to the program on a dollar for dollar basis.
At present leviable grain legumes include only lupins and field peas. The grain legumes industry, through the Grains Council of Australia, has requested that the grain legume Vicia faba, (which includes mainly those crops commonly known as faba beans, field beans and broad beans), be included as a leviable grain legume. Production of Vicia faba in Australia has now reached a level where it is appropriate and practical for the species to be included under the grain legumes research arrangements.
The proposed regulations provide for the inclusion of Vicia faba as a leviable grain legume from 1 December 1986. The additional levy income will not become available for expenditure until 1987/88 and matching Government funds will apply in that year.
Overview
The Grain Legumes Levy Regulations (Amendment) 1986, issued under the authority of the Minister for Primary Industry, amends the Grain Legumes Levy Regulations 1986 to address an identified gap in the current legislative framework governing the imposition of levies on grain legumes. The Grain Legumes Levy Act 1985 was enacted to facilitate the funding of a research program for specific grain legumes through a financial levy, with the Commonwealth Government matching these funds dollar for dollar under the Rural Industries Research Act 1985. Initially, the scope of leviable grain legumes was limited to lupins and field peas. However, with the increasing production of Vicia faba in Australia, the grain legumes industry, represented by the Grains Council of Australia, advocated for the inclusion of Vicia faba, including crops known as faba beans, field beans, and broad beans, within the levy system. The policy objective of this amendment is to enhance the funding available for research and development within the grain legumes sector by broadening the base of leviable grain legumes to better reflect current industry practices and production levels.
Scope and Application
The Grain Legumes Levy Act 1985 applies to the imposition of a levy on specified grain legumes, specifically lupins, field peas, and from 1 December 1986, Vicia faba, which includes faba beans, field beans, and broad beans. This Act facilitates the funding of a research program administered under the Rural Industries Research Act 1985, with the Commonwealth Government matching the levy income on a dollar-for-dollar basis. The levy applies to all entities involved in the production of these specified grain legumes within Australia, extending across the Commonwealth jurisdiction. These regulations are designed to ensure that the research program benefits from the contributions of all relevant sectors of the grain legumes industry. The Act does not specify exclusions or exemptions, but the scope of the levy is contingent on the inclusion of certain grain legumes, which can be amended through subordinate instruments as requested by the Grains Council of Australia.
Key Provisions
The Grain Legumes Levy Act 1985, as amended by the Grain Legumes Levy Regulations (Amendment) 2004, introduces significant changes to the scope of the levy imposed on grain legumes. Under section 5 of the Act, the levy is a financial charge placed on certain grain legumes, which are currently limited to lupins and field peas. The proceeds from this levy are intended to fund a research program under the Rural Industries Research Act 1985, with additional funding from the Commonwealth Government matched dollar-for-dollar. The amendment, effective from 1 December 1986, expands the definition of leviable grain legumes to include Vicia faba, which encompasses faba beans, field beans, and broad beans. This inclusion is a direct response to the growth in Vicia faba production, making it both appropriate and practical to incorporate this species into the levy scheme.
The obligations under the amended Act for parties involved in the grain legumes industry are primarily administrative and financial. Producers of the newly included Vicia faba must now declare and pay the levy on these legumes, as outlined in section 6 of the Act. This involves ensuring that the necessary data is reported accurately to the relevant authorities, facilitating the calculation and collection of the levy. Additionally, the Grains Council of Australia, as the representative body for the grain legumes industry, has a role in ensuring compliance with the new regulations and facilitating the payment process. The Commonwealth Government, through its matching fund contributions, also has the obligation to allocate funds to the research program in accordance with the increased levy income.
Failure to comply with the provisions of the Grain Legumes Levy Act 1985 or the amended regulations can result in significant legal consequences. Section 23 of the Act stipulates that non-compliance, including the failure to declare or pay the levy, may be subject to penalties. These penalties can be substantial and are designed to ensure adherence to the legislative requirements. The maximum penalties for breaches of the Act include fines and potential legal action, underscoring the seriousness with which the law treats non-compliance. The regulatory framework aims to maintain the integrity of the funding mechanism for the research program, ensuring that all relevant parties contribute appropriately.