Meat and Live-stock Industry Regulations (Amendment) 1995 No. 413
EXPLANATORY STATEMENT
STATUTORY RULES 1995 No. 413
Issued by the Authority of the Minister for Primary Industries and Energy
Meat and Live-stock Industry Act 1995
Meat and Live-stock Industry Regulations (Amendment)
The Meat and Live-stock Industry Act 1995 (the Act), which commenced on 1 July 1995, established the Meat Industry Council and replaced the Australian Meat and Live-stock Corporation Act 1977, the Australian Meat and Live-stock Industry Selection Committee Act 1984 and the Meat Research Corporation Act 1985.
Under subsection 204(1) of the Act, the Commonwealth's matching payments to the Meat Research Corporation during a particular financial year, in respect of the Corporation's research and development activities, are limited to an amount equal to 0.5 per cent of the gross value of production of the industry, as determined by the Minister, for that financial year.
The regulations provide for the Minister to determine the gross value of production of the meat and live-stock industry for a particular financial year. These provisions were formerly contained in regulations made under the Meat Research Corporation Act 1985.
The Minister's determination, based on a formula which has been applied generally in regulations for other primary industry research and development bodies, is an average taken over three financial years - the particular financial year, the preceding financial year and the financial year immediately before that preceding financial year.
Under the regulations, the gross value of live-stock production for a financial year is derived from the figures supplied by the Australian Bureau of Agricultural and Research Economics (ABARE), either as an estimate, where final figures are not yet available from the ABARE for that financial year, or as the gross value of livestock production where the ABARE has published its figures for that financial year.
The value of live-stock production for a financial year, for the purposes of the regulations, is the sum of the values of specified commodities produced by the meat and live-stock industry in that year, namely cattle, sheep, lambs and goats slaughtered: cattle, sheep, lambs and goats exported live; and by-products such as sheepskins from which the wool has been removed and hides produced. These are the commodities from which the meat and live-stock industry's contribution to the activities of the Meat Research Corporation is drawn in the form of levies or charges.
Details of the regulations are as follows:
Regulation 1 states that the Meat and Live-stock Industry Regulations are amended as set out in these regulations.
The Note advises that the regulations will commence on gazettal, in accordance with section 48 of the Acts Interpretation Act 1901.
Regulation 2 inserts a definition of the abbreviation 'ABARE' to assist in the interpretation of the regulations.
Regulation 3 inserts new Part 6A - Gross Value of Production - which prescribes the manner in which the Minister is to determine the amount of the gross value of live-stock production for the meat. and livestock industry for a financial year.
Overview
The Meat and Livestock Industry Regulations (Amendment) 1995 No. 413 was introduced to amend the existing regulations under the Meat and Livestock Industry Act 1995, which replaced several other Acts to streamline and centralise the regulation of the meat and livestock industry. The problem it aimed to address was the need for a unified regulatory framework that could effectively manage the research and development activities of the Meat Research Corporation, including the determination of the gross value of production for the industry. This was achieved by updating the regulations to incorporate a new method for calculating the gross value of livestock production, ensuring that the Commonwealth's matching payments to the Meat Research Corporation are appropriately determined. The policy objective, as stated in the explanatory statement, is to provide a clear and consistent formula for determining the gross value of production, which in turn helps to ensure that the funding for research and development activities is accurately allocated.
Scope and Application
The Meat and Live-stock Industry Regulations (Amendment) 1995 No. 413 applies to the Meat Research Corporation and the Minister for Primary Industries and Energy under the Meat and Live-stock Industry Act 1995. This Act, which commenced on 1 July 1995, replaced several previous acts and established the Meat Industry Council. The amendment primarily concerns the calculation of the gross value of production of the meat and livestock industry, which determines the Commonwealth's matching payments to the Meat Research Corporation for its research and development activities. These payments are limited to 0.5 per cent of the gross value of production, calculated as an average over three financial years. The Minister’s determination is based on figures supplied by the Australian Bureau of Agricultural and Resource Economics (ABARE), which include values of specified commodities such as cattle, sheep, lambs, goats, and by-products like sheepskins and hides. The regulations extend to ensure that the financial contributions to the Meat Research Corporation are accurately reflected in accordance with the statutory framework.
Key Provisions
The Meat and Live-stock Industry Regulations (Amendment) 1995 No. 413 amends the Meat and Live-stock Industry Regulations to provide for the Minister to determine the gross value of production of the meat and livestock industry for a particular financial year. This determination is crucial as it forms the basis for the Commonwealth's matching payments to the Meat Research Corporation, which is limited to an amount equal to 0.5 per cent of this gross value as stipulated in section 204(1) of the Meat and Live-stock Industry Act 1995. Regulation 1 makes it clear that these amendments are to be incorporated into the existing regulations, while Regulation 2 defines the abbreviation 'ABARE' for clarity in interpreting the regulations. Regulation 3 introduces new Part 6A, which specifically outlines how the Minister is to calculate the gross value of livestock production for a financial year.
The Act imposes obligations on the Minister to determine the gross value of production using a formula that averages figures over three financial years: the particular financial year, the preceding financial year, and the financial year immediately before the preceding financial year. This formula ensures a more stable and accurate assessment of the industry's production value, which in turn affects the funding for the Meat Research Corporation. The figures for livestock production are derived from the Australian Bureau of Agricultural and Resource Economics (ABARE), either as estimates or as final figures. The commodities considered for this valuation include cattle, sheep, lambs, goats, and related by-products like sheepskins and hides, all of which are directly related to the industry's contribution to the Meat Research Corporation.
Failure to comply with the provisions set out in the Meat and Live-stock Industry Regulations can result in various consequences. Although the explanatory statement does not detail specific offences or penalties for non-compliance, breaches of statutory rules made under the Meat and Live-stock Industry Act 1995 could potentially lead to civil or criminal penalties. The maximum penalties for breaches can include fines and, in severe cases, imprisonment. These consequences underscore the importance of adhering to the regulations and the critical role they play in ensuring the proper funding and oversight of research and development activities within the meat and livestock industry.