GrainGrowers yesterday backed the National Farmers' Federation (NFF) and called on the Federal Government to save the $20 000 instant asset write-off in the 2017/2018 Budget.
David McKeon, General Manager Policy & Innovation said the measure was a well targeted small scale investment by the government which had already achieved big returns in terms of increased farmer confidence and renewed investment in their businesses, with positive flow-on effects for regional small businesses and employment.
“This injection has been widely applauded in the grains industry for being a practical and well defined measure which has stimulated growth in farm infrastructure at just the right time – when Australia is celebrating a record grains harvest in volume but faced with low grain prices,” Mr McKeon said.
Last week, GrainGrowers’ National Policy Group (NPG) meet in Sydney to discuss the issue.
Among NPG Members who commented favourably was Mark Hoskinson, a grain grower from Kikoira in central New South Wales.
Mr Hoskinson said that the $20,000 instant asset write-off enabled farmers in his district to undertake much needed repairs to their farms which would not have otherwise been possible because of the economic downturn caused by long years of drought.
He said investments in such items as much needed farm machinery and silos had enabled growers to look to and prepare for the future sooner than would have been the case otherwise.
“It also has had a flow on positive effect on local businesses which have been able to hire more workers as a result of an increase in sales.
“HE Silos at Forbes, for example, was able to sell many more silos for on-farm field storage as a result of the asset write-off measure and the record harvest. The company is now a finalist in this year’s Excellence in Business Awards in May, organised by the NSW Business Chamber, following the company’s significant growth, which has been admirable, coming as it does on the back of the drought.”
GrainGrowers has called upon farmers and rural businesses to support the NFF's campaign #SaveTheWriteOff with further information about how to participate at: https://www.farmers.org.au/savethewriteoff.