Chapter 4.1
Importance of the relationship between the Commonwealth and State
and Territory Governments
4.22 For those programs designed to promote and support value-adding
in agricultural production that are shared between Commonwealth, State and Territory
authorities it is essential that cooperation between the relevant government bodies be of
a high standard if the programs concerned are to achieve their goals.
4.23 The Victorian Government submitted to the Committee:
Coordination of policies and programs (is) essential if real progress
is to be made in the facilitation of competitive production in Australian
in general and value adding in particular. The Commonwealth Government
needs to ensure that any Federal programs established are linked with
State programs and to involve the States in the delivery of these programs.
[32]
4.24 In evidence to the inquiry the Victorian Government noted that:
The Commonwealth has a whole range of programs which it would like
to bring to bear on improving the competitiveness of the rural industries.
The states have the infrastructure, the contacts on the ground and the
local knowledge to adapt those programs and make them work in practice.
[33]
4.25 A number of joint programs and initiatives related to
value-adding that the Victorian Government viewed as being successful was listed in its
submission of 1995 to the inquiry, including:
- the Agribusiness Programs;
- the National Industry Extension Service's Enterprises Improvement
Programs;
- the Clean Food Export strategy; and
- Rural Industry Research and Development Corporations. [34]
4.26 In evidence to the inquiry the Tasmanian Government noted that agribusiness
forums organised by the Commonwealth Department of Primary Industries
and Energy and attended by the States “helps each state understand
what each other is doing, which is very important.” [35]
4.27 The Australian Cotton Foundation, in evidence to the inquiry, emphasised
the importance of establishing a “one-stop shop” to provide
investors with information concerning all government procedures, Commonwealth,
State and local that have to be completed to establish a value-adding
enterprise. The Foundation stated that “the cotton industry strongly
believes that such a move could facilitate and expedite value added developments
without seeking to override the due processes of law and the various pieces
of legislation.” [36] The Cotton
Foundation went on to assert that if an investor was able to receive a
list of requirements and Acts that apply when he or she is first investigating
the establishment of a value-adding company this type of investment is
more likely to go ahead. [37]In the view of the Foundation “we believe
that the one-stop shop is more important than any financial incentive
that government could offer.” [38]In
evidence to the inquiry the West Australian Government also stressed the
importance of the “one-stop shop” to potential investors in
value-adding industries stating that investors “do not really care
what goes on behind the scenes, providing they can deal with somebody
who knows what the system is”. [39]
4.28 The Tasmanian Government told the inquiry that it has provided a
“first-stop shop” for investors by bringing together various
small government agencies under the body titled Tasmania Development and
Resources (TDR). According to the Tasmanian Government “if people
want to go value adding in Tasmania, either from overseas or companies
in Tasmania, they come to us first, and we can sit down with them and
work out the `where to from here'.” [40]
4.29 On 28 June 1995 Prime Minister Keating and the then Minister for
Industry, Science and Technology, Mr Peter Cook, launched an organisation
to boost exports called “AusIndustry”. This organisation was
to provide information to companies concerning all assistance schemes
available to them from the Commonwealth and State Governments to support
export activities. It was claimed that for the first time companies would
“have a one-stop shop for all the government services they might
need.” [41]
4.30 Despite concerns regarding the lack of coordination between the
levels of government in dealing with investors in value adding industries, the Australian
Cotton Foundation stated that:
The agencies of government that we have dealt with have done everything
within their power to assist investors. ... Nobody is setting out to
be, on a government level, obstructionist.” [42]
Conclusions and recommendations
4.31 As noted in this chapter there is a wide range of diverse
programs and bodies, both Commonwealth and State, which in whole or in part, support
value-adding to Australia's agricultural production. The Committee is fully in agreement
with the views of the Victorian Government that coordination of policies and programs
between the States and Commonwealth authorities is essential if progress is to be made in
the facilitation of value- adding activities in Australia. The Committee recommends that
Commonwealth authorities ensure that Commonwealth programs are linked with State programs,
where possible. The Committee further recommends that State authorities be involved in the
delivery of Commonwealth programs, if appropriate.
4.32 It is appreciated that the existence of a large number of
programs and bodies has caused confusion among companies and individuals seeking support
for their value-adding activities. The Committee, therefore, warmly welcomes the
establishment of the AusIndustry organisation which will provide information on
Commonwealth and state assistance programs dealing with exports. AusIndustry should
provide value-adding enterprises with a one stop facility directing them to the most
appropriate body and program to meet their requirements.
Footnotes
[32] Evidence, Victorian
Government, p. 29.
[33] Evidence, Victorian
Government, p. 56.
[34] Evidence, Victorian
Government, p. 30.
[35] Evidence, Tasmanian
Government, p. 824.
[36] Evidence, Australian Cotton
Foundation Ltd., p. 439.
[37] Evidence, Australian Cotton
Foundation Ltd., p. 439. For examples of cases where investments did not go ahead in
Australia due to uncoordinated red tape see Evidence, Australian Cotton Foundation
Ltd., pp. 439-440.
[38] Evidence, Australian Cotton
Foundation Ltd., p. 448.
[39] Evidence, West Australian
Government, p. 703.
[40] Evidence, Tasmanian
Government, p. 828.
[41] ABC radio program, PM, 28 June 1995.
[42] Evidence, Australian Cotton
Foundation Ltd., p. 443.