Wool (Contributory Charge) Act (No. 2) 1950

Legislation au C1950A00008 Not in force Act

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WOOL (CONTRIBUTORY CHARGE) (No. 2).

 

No. 8 of 1950.

An Act to impose a Contributory Charge upon certain Wool produced in Australia and exported from Australia.

[Assented to 1st July, 1950.]

BE it enacted by the King’s Most Excellent Majesty, the Senate, and the House of Representatives of the Commonwealth of Australia, as follows:—

Short title.

1. This Act may be cited as the Wool (Contributory Charge) Act (No. 2) 1950.

Commencement.

2.—(1.) Subject to this section, this Act shall be deemed to have come into operation on the first day of July, One thousand nine hundred and forty-six.

(2.) Section seven of this Act shall come into operation on a date to be fixed by Proclamation.

Act to be read with Assessment Act.

3. The Wool (Contributory Charge) Assessment Act 1945–1950 shall be read as one with this Act.

Imposition of charge.

4. Subject to the provisions of the Wool (Contributory Charge) Assessment Act 1945–1950 for preventing charge from being payable on any wool both under this Act and under the Wool (Contributory Charge) Act (No. 1) 1950, a contributory charge is imposed on all wool produced in Australia and, on or after the date of commencement of this section, exported from Australia.

Previous rates adopted.

5. The rate of the charge shall be—

(a) on and after the first day of July, One thousand nine hundred and forty-six, up to and including the thirty-first day of July, One thousand nine hundred and forty-seven—five per centum of the sale value of the wool;

(b) on and after the first day of August, One thousand nine hundred and forty-seven, up to and including the thirtieth day of June, One thousand nine hundred and forty-eight—three-quarters of one per centum of the sale value of the wool; and

(c) subject to section seven of this Act, on and after the first day of July, One thousand nine hundred and forty-eight, up to and including the day immediately before the commencement of regulations prescribing a percentage under the next succeeding section—one-half of one per centum of the sale value of the wool.


Rate of charge.

6. Subject to this Act the rate of the charge, shall be such percentage as is prescribed from time to time of the sale value of the wool, being a percentage not exceeding the percentage which, in the opinion of the Governor-General, after taking into consideration any advice tendered to the Minister by the Australian Wool Realization Commission, is necessary in order to produce, together with the amount likely to be produced under the Wool (Contributory Charge) Act (No. 1) 1950 if the same percentage is prescribed under section six of that Act, an amount equal to the sum of the following amounts:—

(a) the amounts required to meet the share of the industry in the operating expenses of the Joint Organization as provided in paragraph three of Part III. of the Disposals Plan, being the plan a copy of which is set forth in the Schedule to the Wool Realization Act 1945;

(b) the amounts required for payment of interest, at such rate as the Treasurer determines, upon the amount from time to time expended by the Commonwealth in purchases of wool in pursuance of the Disposals Plan and unrecouped; and

(c) the amounts required for payment into the Wool Use Pro-motion Fund in pursuance of section sixteen of the Wool Use Promotion Act 1945, as affected by the Wool (Contributory Charge) Assessment Act 1945–1950.

Increased rate of charge.

7.—(1.) Subject to the next succeeding section, the regulations may from time to time prescribe a percentage, distinct from the percentage (if any) prescribed for the purposes of the last preceding section, being a percentage-not exceeding the percentage which, in the opinion of the Governor-General, after taking into consideration any views on the matter which have been expressed to the Minister” of State for Commerce and Agriculture by the Australian Wool Realization Commission, the Australian Woolgrowers’ Council, the Australian Wool and Meat Producers’ Federation and the Australian Primary Producers’ Union, is necessary in order to produce, together with the amount likely to be produced under the Wool (Contributory Charge) Act (No. 1) 1950 if the same percentage is prescribed under section seven of that Act, an amount equal to the sum of the amounts required, or likely to be required, to be contributed by the wool industry to the cost of establishing a scheme of reserve prices for wool after the Disposals Plan ceases to operate and to the cost of operating that scheme.

(2.) Where regulations are in operation proscribing a percentage under this section, the rate of the charge shall be a percentage of the sale value of the wool equal to the percentage so prescribed or, where a percentage is also prescribed under the last preceding section, equal to the sum of the percentages proscribed under this section and the last preceding section.


Maximum rate.

8. The rate of the charge shall not at any time exceed ten per centum of the sale value of the wool.

Regulations.

9. The Governor-General may make regulations, not inconsistent with this Act, for prescribing the percentage required or permitted to be prescribed for the purposes of section six or seven of this Act.

 

Overview

The Wool (Contributory Charge) Act (No. 2) 1950 was enacted to address the need for financial support for the wool industry, specifically to cover the operating expenses of the Joint Organization and other related costs as stipulated in the Disposals Plan and other relevant legislation. This Act, passed by the Parliament of Australia, introduced a contributory charge on wool produced in Australia and exported from the country to generate necessary revenue. The policy objective of this Act was to ensure that the wool industry contributed its share towards the expenses incurred by the Commonwealth, including interest on wool purchases and contributions to the Wool Use Promotion Fund. The Act was designed to be read in conjunction with the Wool (Contributory Charge) Assessment Act 1945–1950, which provided the framework for assessing and implementing the charge. The Act established a variable rate of charge, initially set at five percent for a specific period and subsequently reduced to three-quarters of one percent and then one-half of one percent, contingent upon the regulations set forth by the Governor-General. Additionally, the Act allowed for the imposition of higher rates if necessary to support the establishment and operation of a reserve price scheme for wool. The maximum rate of the charge was capped at ten percent of the sale value of the wool, ensuring that the financial burden on wool producers remained within reasonable limits.

Scope and Application

The Wool (Contributory Charge) Act (No. 2) 1950 applies to all wool produced in Australia and exported from the country, imposing a contributory charge on such wool. This Act is read in conjunction with the Wool (Contributory Charge) Assessment Act 1945–1950, and its provisions ensure that the charge is applied uniformly across the industry. The charge is levied to fund specific activities and costs related to the wool industry, such as meeting the industry's share in operating expenses of the Joint Organization, interest on Commonwealth expenditures for wool purchases under the Disposals Plan, and contributions to the Wool Use Promotion Fund. The geographic scope of this Act is national, as it pertains to the entire Commonwealth of Australia. The Act allows for the imposition of varying rates of charge, subject to a maximum of ten percent of the sale value of the wool, and these rates can be adjusted through regulations made by the Governor-General, ensuring flexibility in managing industry contributions.

Key Provisions

The Wool (Contributory Charge) Act (No. 2) 1950 imposes a contributory charge on all wool produced in Australia and exported from Australia, effective from 1 July 1946 (Section 4). The charge is intended to cover specific financial needs of the wool industry, including the operating expenses of the Joint Organization, interest on funds expended by the Commonwealth in purchasing wool under the Disposals Plan, and contributions to the Wool Use Promotion Fund (Section 6). The charge rates were initially set at 5% (Section 5(a)), then reduced to 0.75% (Section 5(b)), and finally to 0.5% (Section 5(c)), subject to further adjustments by regulations. Regulations may also prescribe an increased charge rate necessary for establishing and operating a reserve price scheme for wool (Section 7). The maximum allowable charge rate is capped at 10% of the sale value of the wool (Section 8). Entities governed by this Act, primarily wool producers and exporters, must comply with the stipulated charge rates and any additional regulations made under the authority of the Act. Producers and exporters are required to account for the contributory charge in their transactions and remit the appropriate amount to the relevant authorities (Sections 4 and 6). Additionally, they must ensure that their practices align with the objectives of the charge as outlined in the Act, which includes supporting the financial requirements of the wool industry as per the Disposals Plan and other related legislation. Failure to comply with the charge provisions or remit the required contributions can result in legal consequences. While the Act does not explicitly detail penalties for non-compliance, breaches of related provisions under other acts, such as the Wool (Contributory Charge) Assessment Act 1945–1950, may attract penalties. Typically, such penalties could include fines and potential legal actions to recover unpaid amounts. Additionally, ongoing non-compliance may lead to further regulatory scrutiny and enforcement actions by the relevant authorities.

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Sourced from the Federal Register of Legislation at 26 August 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au.