WITH the Grains Council of Australia (GCA) still set to wind down unless a last minute white knight can be found to fund it, the grains industry is throwing around various models for a peak advocacy group.
State farmer organisations are in meetings to come up with an alternative should Grains Council be forced to wind up – but GCA’s influence extends beyond just advocacy.
For example, the Grains Research and Development Corporation (GRDC) is legislatively required to liaise with GCA on its research priorities and its five year plan.
GCA also has other roles, such as in the biosecurity area.
Acting GCA president Ian Hastings confirmed the organisation did not have enough funds to continue in its present state.
“We have an application in to the Department of Agriculture (DAFF) pursuing options for funding, but while we are waiting for a reply, we are obligated to start winding up the company," he said.
“However, in the meantime we are continuing with our involvement in the industry as per usual, our work with GRDC, our work with biosecurity and all our advocacy efforts.”
It is unlikely that there will be any joy on the funding front from DAFF, if previous comments are anything to go by.
A spokesperson for Minister for Agriculture Tony Burke said that the minister had previously said that how industry organises itself was a matter for industry.
DAFF could not comment on the legislative implications of GCA going to the wall prior to deadline.
Alternative funding ideas floating around, such as GCA receiving cash from GRDC have quickly been scuppered as it would adversely impact its impartiality when debating GRDC issues.
The National Farmers Federation (NFF) is also unlikely to be involved directly in a bail-out – given that its constitution prohibits it from directly becoming involved in commodity groups, although groups, such as GCA and Cattle Council are member organisations of NFF.
However, the state farmer organisations remain buoyant about having a grains peak body of some sort, whether it involves reviving GRDC or setting up a new body.
“We’re currently holding meetings and I’m confident we’ll end up with a representative body – whether that is GCA or not,” chairman of the NSW Farmers Association grains committee Richard Clark said.
Victorian Farmers Federation grains group president Russell Amery agreed, saying there was ongoing work as to what would happen if GCA fell over.
He said the ongoing issue was funding.
“The problem is, if GCA continues, or a new body is set up, it needs to have a funding source that is reliable, that gives it a long term future.”
With state farmer organisations facing dwindling membership bases, he said GCA’s woes were symptomatic of farmer groups across Australia.
“All farmer organisations are struggling to an extent, the only one with much money is NSWFA and that is because of assets, not because of memberships.”
However, Mr Clark said he was confident there was money there for a working peak body.
“As long as the operation is working and there is confidence in the structure that justifies the expense, I think the states will be able to find the money.”
He said in the new environment, there had to be a consensus, rather than the scenario where a group did not like a decision and pulled out of the organisation.
“When you reach a consensus, people need to stick with it, what is best for the national industry may not always be what is best for the specific states, but you have to take the wider view.”
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