National Grain Grower Representation
Update April 2010...
Grain Producers Australia now has its own web-site: http://www.gpau.com.au/ .
If you have questions or comments about the Grain Producers Australia proposal, contact the Implementation Committee spokesman Pete Mailler: 0427 265 707 or sittara@bigpond.com.
Update: March 2010...
A document entitled "Grain Producers Australia" has been released. It can be downloaded HERE.
Within the past six months, the Grains Council of Australia (GCA) initiated two open industry Roundtables to consider the issue of the establishment of a new national grain grower representative body. The output of the discussions was the creation of an independent Steering Committee to develop a working model for the grower representative body. The February Roundtable meeting agreed that the proposal developed by the independent Steering Committee would incorporate the principles outlined in Alan Umbers’ “NATIONAL GROWER REPRESENTATION - OPERATIONAL AND FUNDING PLAN - Considerations for the Business Plan for a national grower body”, which had been commissioned by GCA for the Roundtable process.
The Steering Committee has developed and released the "Grain Producers Australia" proposal for industry consideration as an extension of the Roundtable process. While still accepting comments from industry, the Steering Committee is now working through the process of establishing the Grain Producers Australia (GPA) organization with the expectation that it will be in place by June.
If you have questions or comments about the proposal, contact the Steering Committee spokesman
Pete Mailler: 0427 265 707 or sittara@bigpond.com.
Update: February 2010...
Core Issue - Research investment
Grain growers and the Commonwealth Government jointly invest in grains RD&E: grain growers contributing about 67% of funds through their levies, and the Commonwealth contributing about 33%. In 2008-09, under this joint investment model, grain growers invested $89.1m and the Commonwealth invested $43.9m*. The Grains Research and Development Corporation is responsible for administering these funds.The Primary Industries and Energy Research and Development Act 1989 (PIERD Act) prescribes the accountability model for GRDC: GRDC are accountable to both grain growers and the Commonwealth for the expenditure of their (industry and Government) funds. DAFF essentially performs the Government's accountability checks. For grain growers, the Grains Council of Australia (GCA) has had that responsibility. Its imminent closure leaves an accountability gap for growers. A levy payers' association offers the opportunity to have an independent grower advocate who knows from its grassroots what growers require; can scrutinize GRDC’s internal processes and wider engagement with industry; and can give growers the responsive accountability system they need.
Background
Since GRFL released a Discussion Paper in July 2009, work has progressed on the development of a new national grain grower representative body. In October 2009, the Grains Council of Australia (GCA) put together a Working Party to develop a business plan for the new organization. The Working Party, led by Alan Umbers, has distributed a draft operational and funding plan, which will be discussed by interested parties at the next GCA Roundtable meeting in Melbourne on 17 February. A copy of the plan is available from the GCA website.GRFL commends Alan Umbers for his efforts to date in preparing the draft plan, and for his work in providing the industry with a draft document that sets the stage for the next round of discussions.
GRFL has continued to put the case for grain growers having a National representative body with a direct membership of all grains levy payers. GRFL’s area of interest and expertise is grains research, so we particularly want to ensure that the new National body will deliver a robust mechanism for RD&E advocacy and accountability for grain growers. RD&E is GRFL’s focus, and this underpins GRFL's position. Clearly the National body also needs to fulfil the other legislated and non-legislated functions of GCA, so the ideas GRFL puts forward also satisfies that requirement.
GRFL has prepared a two-page National Grain Grower Representation Check List. It has been compiled after reading the draft operational and funding plan prepared by Alan Umbers and in light of ongoing discussions with industry. Although the Check List is concise, it captures the key components of the Umbers’ document and makes a number of modifications. The Check List is essential reading if you are preparing to attend the GCA Roundtable meeting in Melbourne on 17 February or, if you are new to the discussion and want to familiarize yourself with the possible options for a new national grain grower representative body.
Additional comments
[Note: as the new organization is yet to be named, it will be referred to here as LPA, since it will operate as a levy payers’ association]
1) The focus needs to be on developing a National peak industry body for grain growers. This should be reflected in any plans that are developed and kept in mind as the discussions proceed. There are three parts to this:
a) National – the organization must have a National focus since there are many National issues requiring attention. Growers’ interests will be best served by maintaining the National focus while being aware of, but not lost in, regional and state issues. The purpose of the LPA is to provide a strong National voice, thereby enabling regional and state-based groups to focus on their areas of skill and expertise without the burden of funding and running the National body. This, in turn, will strengthen the functioning of the regional and state-based organizations. If State or Regional issues are put to the LPA, they should be referred back to the relevant State Farm Organization or other grower organization.
b) Peak industry body – the body created at the end of the process will be the peak industry body for grain growers. It is therefore reasonable to expect it be accorded the respect shown to other peak industry bodies.
c) For grain growers - individual grain growers will be funding the LPA and it will be their organization, so it needs to unequivocally meet grain growers’ needs. Any plan should primarily demonstrate the benefits and shortcomings of any proposed model for grain growers, and the interests of others should be addressed as a secondary concern. It is reasonable for the plan to define how the LPA will interact with governments, statutory authorities and others in the grains industry, but this should not be the focus of the plan.
2) The LPA model is about creating a strong grain grower advocate and giving it the resources to perform its duties fully and effectively.
3) There are a number of fundamental points relating to the Research and Development policy committee operations:
a) The LPA needs to be independent of, and at arm’s length to GRDC if it is to fulfil its role. The Primary Industries and Energy Research and Development Act 1989 (PIERD Act) prescribes the GRDC accountability model: GRDC are accountable to both grain growers and the Government for the expenditure of their (industry and Government) funds. DAFF essentially performs the Minister’s accountability checks. For grain growers, the LPA offers the opportunity to have an independent grower advocate who knows from its grassroots what growers require; can scrutinize GRDC’s internal processes and wider engagement with industry; and can give growers the responsive accountability system they need.
b) The LPA should let GRDC do their job (as the Commonwealth does), but ensure there are rigorous processes for accountability and responsiveness to grain growers.
c) The LPA R&D policy committee should make policy and let others (e.g. GRDC Panels, RACs, other farmer groups, etc.) do their existing jobs when it comes to setting regional research priorities. It is not within the preserve of the LPA to restructure or take over the GRDC Panels or the RACs. The LPA R&D policy committee is meant to have a National focus, so it is unnecessary for it to duplicate the existing regionally focused GRDC Panels or the even more locally focused RACs. The Panels, RACs and grower groups can feed into the LPA R&D policy committee, as can others.
d) The LPA could be seen as an ombudsman to the industry for matters relating to R&D investment, but this does not require costly duplication of existing R&D networks.
The purpose of establishing a Levy Payers’ Association is to change the culture and efficacy of the grains industry and in particular, from GRFL’s perspective, the National body must deliver a robust mechanism for RD&E advocacy and accountability for grain growers. The LPA, as defined in the Check List, certainly provides a clear path for ensuring accountability and responsiveness of GRDC to grain growers.
The points outlined above need to be addressed on the way to developing a National peak industry body for grain growers. GRFL looks forward to working with the Roundtable participants and others to ensure there will be a National peak industry body for grain growers.[* source: GRDC Annual Report 2008-09, p.1]