Policy Area: Agriculture

Statement of General Direction:

Through maintaining a sound economic framework, enable the agricultural sector to extract the maximum sustainable value from the international marketplace, and return to the farm gate an increased share of that value, and bring confidence and vigour to the farming sector. To ensure that rural communities have access to the full range of good quality essential services.

Key Initiatives of Policy:

A number of initiatives are covered in the Economic, Trade, Research, Science and Technology and Taxation policy areas.These include Fiscal Policy, Reserve Bank Act, Export Credit Guarantee Scheme, Venture Capital Fund, Technology Transfer Agency and Taxation Issues.

Sales of rural land to foreigners. (See Policy Area: Foreign Investment)

Ensure focused case put before Public Good Science Fund for research funding, assist with dissemination of information from research right along the value chain from the supermarket to the soil including organic farming.

Support Producer Boards for as long they retain supplier support, provide enforcement procedures for Biosecurity Act, align agricultural compounds legislation with the new Hazardous Substances and New Organisms Act (HASNO), update meat legislation and address animal welfare issues.

National Pest Management Strategy for the Control of Bovine TBand associated possum control research.

Customs and Border Control resources to counter importation of biological threats to farming industry.

Green Package for Weed and Pest Control (including possum control research), and Sustainable Land Management Package including Land CareTrust. Community work for unemployed.

Commitment to consult with rural communities on social services - hospital access, rural schools and rural mail.

Rural mail delivery free and 0800 telephone service to key government services.

Farm Debt Mediation Act.

Summit on kiwifruit industry.

Hold a summit on the meat industry.

Fiscal Implications of this Policy Agreement:

Prepared to invest up to $30 million over three years on organic farming research in the context of the overall Science Policy setting process.

Possum control research - $10 million perannum ($3.75 million more than National policy).

(All funding proposals subject to being considered within the agreed spending policy parameters.)

Legislative Implications of this Policy Agreement:

ProducerBoard Acts Reform Bill - retains Meat and Wool Board providing for close relationships between producers and exporters.

Agricultural Compounds Bill - links in with HASNO legislation.

Biosecurity Amendment Bill No 4 - provides enforcement provisions for Biosecurity Act.

Meat Amendment Bill - picks up all the issues of meat inspection.

Farm Debt Mediation Bill - establishes mediation process between farmer and financial institutions.