EXPLANATORY STATEMENT
STATUTORY RULES 1989 NO 41
Issued by the Authority of the Minister for Primary Industries and Energy.
HORTICULTURAL EXPORT CHARGE ACT 1987
HORTICULTURAL EXPORT CHARGE COLLECTION ACT 1987
HORTICULTURAL EXPORT CHARGE REGULATIONS (AMENDMENT)
The proposed Regulations will:
(a) increase the operative rate of export charge payable for grapefruit (not in bulk) from a total of 1.67 cents per box to 2 cents per box;
(b) provide for a standard form of warrant to be issued to persons authorised to enter premises under the Horticultural Export Charge Collection Act 1987 (the Collection Act);
(c) enable exporting agents and certain owners whose annual liability for charge is small, to lodge annual returns rather than monthly returns.
Section 6 of the Horticultural Export Charge Act 1987 (the Charge Act) imposes a charge on certain horticultural products produced in Australia that are exported.
Sections 8 and 9 of the Charge Act provides that regulations may fix rates of charge destined for the Australian Horticultural Corporation (AHC) and the Horticultural Research and Development Corporation (HRDC) in relation to these horticultural products. The present operative rates for grapefruit (not in bulk) are 1.25 cents and 0.42 cents per box respectively or 1.67 cents in total. The new rates will commence on 1 April 1989.
Subsections 14(3) and 14(4) of the Charge Act require that before making regulations for the purposes of sections 8 and 9, the Governor-General shall take into consideration any relevant recommendation made to the Minister by the AHC and HRDC respectively. The AHC, on behalf of the HRDC, after consulting with the Australian Citrus Growers’ Federation, has recommended that the operative rates be increased to 1.5 cents and 0.5 cents per box or 2 cents per box in total. The main reason for seeking the change is to facilitate the collection of the charge by reducing the number of decimal places within the rates of charge.
Section 13 of the Collection Act provides for a warrant to be issued to authorised persons to enter premises for the purposes of the Act. Regulation 13 of the Regulations presently provides that the form of warrant may be in the form in Schedule 4 of the Regulations. This amendment will require that the form of warrant must be in the form provided in the Schedule.
Regulation 9 of the Regulations requires exporting agents and certain owners of chargeable horticultural products to lodge monthly returns. A considerable number of these returns are for quite small amounts of charge. To reduce the cost of collection it is proposed that agents and owners whose annual liability for charge is less than $1,000 (or such other prescribed amount) be given the opportunity to lodge annual returns.
Overview
The Horticultural Export Charge Act 1987 was enacted to impose a charge on certain horticultural products exported from Australia, with the aim of generating revenue for the Australian Horticultural Corporation and the Horticultural Research and Development Corporation. This Act was introduced to address the need for funding dedicated to the horticultural industry's export activities and research. The Horticultural Export Charge Collection Act 1987 was also enacted to establish the mechanisms for the collection of these charges. The Parliament of Australia enacted these Acts to ensure that the horticultural sector could be supported through the collection of export charges. The policy objective of these Acts is to facilitate the funding of the horticultural industry’s export functions and research initiatives by imposing a charge on the export of certain horticultural products.
Scope and Application
The Horticultural Export Charge Act 1987 applies to the imposition of charges on certain horticultural products produced in Australia and exported, with the rates of these charges being fixed through subsidiary regulations. This Act encompasses the horticultural industry, specifically targeting the export of products like grapefruit, and applies to entities such as exporting agents and owners of chargeable horticultural products. The geographic reach of this legislation is national, applying across Australia as it deals with exports. The Act provides a framework for the Horticultural Export Charge Regulations, which in turn dictate the specific rates and collection methods, including the amendment of the charge rate for grapefruit and the introduction of a standard warrant form for authorised persons to enter premises. Additionally, the Regulations offer flexibility in the frequency of return lodging for those with lower annual liabilities, allowing them to opt for annual rather than monthly submissions to streamline the collection process. The legislative scope is extended through these regulations, which modify and specify the application of the Act in practical terms.
Key Provisions
The Horticultural Export Charge Regulations (Amendment) propose several key changes to the existing framework for the collection of export charges on certain horticultural products exported from Australia. Under Section 6 of the Horticultural Export Charge Act 1987, a charge is imposed on certain horticultural products produced in Australia that are exported. The amendment to the operative rate of export charge payable for grapefruit (not in bulk) will increase from 1.67 cents per box to 2 cents per box, effective from 1 April 1989. This change is detailed in the amendment's provision (a) and will update the rates in line with recommendations from the Australian Horticultural Corporation (AHC) and the Horticultural Research and Development Corporation (HRDC), as mandated by Subsections 14(3) and 14(4) of the Charge Act.
In terms of the obligations and requirements imposed by these regulations, authorised persons under Section 13 of the Horticultural Export Charge Collection Act 1987 will now be required to use a standard form of warrant when entering premises to collect the export charge. This change, outlined in provision (b), aims to standardise the process and ensure consistency in the collection process. Additionally, exporting agents and certain owners of chargeable horticultural products who have an annual liability of less than $1,000 (or another prescribed amount) will be permitted to lodge annual returns rather than monthly returns. This amendment, detailed in provision (c), is designed to reduce the administrative burden and costs associated with the collection process for smaller liabilities.
Failure to comply with the requirements set out in these Regulations may result in various penalties or consequences. Under the Horticultural Export Charge Act 1987 and the Horticultural Export Charge Collection Act 1987, there may be both civil and criminal consequences for non-compliance. Although the specific penalties are not detailed in the provided excerpt, it is common for breaches of these Acts to result in fines and, in severe cases, imprisonment. The precise penalties would be determined based on the nature and severity of the breach, in accordance with the relevant sections of the Acts and any additional provisions outlined in subsequent legislation or regulations.