ABOVE: A strong and sustainable biosecurity funding system is critical to protecting Australia’s economy, environment and way of life.
Contribution of industry sectors to total Biosecurity Protection Levy revenue, based on the proportional share of total gross value of production are now available for download.
The proposed Biosecurity Protection Levy rates are being published in a staged approach.
While the first tranche of commodities is available for download, additional commodities will continue to be added in coming weeks.
Click here for the DAFF sustainable biosecurity funding webpage.
Strengthening our biosecurity system
A strong and sustainably funded biosecurity system is critical to protecting Australia’s economy, environment and way of life.
Biosecurity is a shared responsibility, including contributing to the cost of safeguarding Australia from potentially devastating pest and disease outbreaks.
Australia has never had sustainable and predictable biosecurity funding.
The Australian Government has already increased funding from taxpayers and returned fees and charges for importers to full cost recovery.
Importers are already making a much larger direct contribution to biosecurity costs and will contribute around $95 million more to these costs in 2024-25 compared to 2021-22.
In addition to the increased cost recovery of biosecurity activities, new funding arrangements announced in the 2023-24 Federal budget included permanently increased funding for the Commonwealth biosecurity system.
The package includes more than $1 billion over the next four years, and $267 million per year from 2027-28 onwards to support:
- Biosecurity operations, policy and technical functions on a sustainable basis, including continuation of the Indigenous biosecurity ranger program in northern Australia
- An improved digital biosecurity clearance system for cargo – the Simplified Targeting and Enhanced Processing System – to drive effectiveness and efficiency in the movement of goods.
In addition to increased funding, the budget also introduced a fairer system to pay for biosecurity, that shares the cost between taxpayers, importers, producers and Australia Post.
From 1 July 2024, the Australian Government will introduce a new Biosecurity Protection Levy payable by producers – subject to passage of the bills through Parliament and approval of regulations by the Governor-General in Federal Executive Council – a new biosecurity clearance charge on low-value imports and more cost reflective arrangements with Australia Post.
After these changes come into effect, total Commonwealth biosecurity funding would be:
- Taxpayers – contributing around 44 percent
- Importers – contributing around 48 percent
- Producers – contributing around 6 percent
- Australia Post – contributing around 2 percent.
Biosecurity Protection Levy legislation
The bills that would provide for the imposition, collection and administration of biosecurity protection levy and charge (Biosecurity Protection Levy) were introduced to Parliament on February 28, 2024, see the:
- Agriculture (Biosecurity Protection) Levies Bill 2024
- Agriculture (Biosecurity Protection) Charges Bill 2024
- Agriculture (Biosecurity Protection) Levies and Charges Collection Bill 2024.
Primary producers, whether growing for the domestic market or exporting into premium overseas markets, benefit considerably from our strong biosecurity status.
This is reflected in the high returns being secured from our export markets, with over 70 percent of all Australian agricultural production being exported.
The Biosecurity Protection Levy would ensure that those who directly benefit from Australia’s strong biosecurity make a modest and direct contribution to ensure the biosecurity system is sustainably funded into the future.
The government recognises that many primary producers already invest in biosecurity through on-farm biosecurity activities.
Producers also support Australia’s biosecurity system through investment in research and development, membership fees for Animal Health Australia and Plant Health Australia, and contributions to emergency responses under deed arrangements.
While these investments are important, they do not directly fund the cost of biosecurity activities undertaken at the border that prevent pest and disease incursions into Australia.
These investments are not being replaced or duplicated by Commonwealth activities funded through the Biosecurity Protection Levy.
The levy is intended to generate around $50 million per year to fund those biosecurity activities undertaken at the border.
The Australian Government engaged widely through a public consultation process from August to October 2023, and meetings with industry representative bodies and stakeholders, and the valuable feedback received was carefully considered.
A summary paper is available, which provides a summary of the issues raised through consultation and an overview of how the government is addressing the issues raised.
The Department of Agriculture, Fisheries and Forestry has published written responses received through the public consultation where it has permission to do so.
These can be accessed on the Have Your Say website.
A more equitable design
The government has listened to industry feedback and is addressing the key concerns with the proposed design regarding:
- Equity and fairness of levy and charge rates
- Whether implementation of the BPL would be in the existing agricultural levies system
- Multiple imposition points for some commodities across the supply chain.
Changes to the design of the levy have taken these issues into account.
Rates will be set using a common and equitable basis for all industry sector products and goods and will not be set by reference to 2020-21 agricultural levy rates.
The levy is intended to be tailored to individual products and goods to remove multiple imposition points across a product’s supply chain.
The policy intent, key policy parameters and contribution to Commonwealth funding remain the same as announced in the budget package.
The Biosecurity Protection Levy is intended to:
- Be payable in relation to agriculture, fisheries and forestry products or goods whether produced for the domestic or overseas markets
- Be imposed in the most effective and efficient way for each individual product, taking into account any relevant collection and remittance arrangements under the existing agricultural levies system
- Have rates set on the basis of each industry sector’s proportional share of total gross value of production
- Apply to certain agriculture, fisheries and forestry products and goods, whether or not they are currently levied under the existing agricultural levy system
- Be subject to review by the department every three years in relation to rates and a review of the operation of the proposed Acts no later than three years after commencement.
Gross value of production data and industry sector contributions
The department has published industry sector GVP proportions and contributions to the Biosecurity Protection Levy.
These are available for download from the gross value of production section, scan the QR code below.
Biosecurity Cost Recovery arrangements for low value goods
From July 1, 2024, a new cost recovery charge will be introduced for goods imported by air or sea, valued at up to $1000.
The charge will cover the cost of biosecurity clearance on imported goods not currently subject to cost recovery.
Currently taxpayers are paying this cost.
This arrangement is expected to raise $27 million annually.
The charge is likely to be in the order of 40 cents per parcel.
Visit the DAFF website self-assessed clearances costs recovery page for more details.
Transparency and accountability
Following consultation on the Biosecurity Protection Levy, the government continues to listen carefully and, where appropriate, respond to feedback on implementation of the Sustainable Biosecurity Funding model.
On February 28, 2024, the Minister for Agriculture, Fisheries and Forestry Murray Watt announced that the government was extending its commitment to transparency and
accountability with the creation of a new Sustainable Biosecurity Funding Advisory Panel.
Details of the announcement are available in the minister’s media release.
A new Sustainable Biosecurity Funding Advisory Panel has been created to provide a boost to transparency for producers and importers by giving them a say on biosecurity
priorities and showing how Commonwealth biosecurity funding is used.
The Sustainable Biosecurity Funding Advisory Panel will allow the government to meet regularly with those who have a stake in Australia’s strong biosecurity system.
Membership of the advisory panel is drawn from major agriculture, fisheries and forestry sectors, importers and research organisations.
Further details on panel arrangements, including the membership and key documents is available on the DAFF webpage.
Reform of border fees and charges
Work is also being undertaken to ensure current fees and charges applied to importers and other key system participants at the border meet the actual costs associated with managing biosecurity risk and are fit for purpose.
The government will work with industries to provide advice on potential changes to these fees and charges and examine other options to address the biosecurity risk created by imports.
Any new levy would need to be consistent with Australia’s international trade law obligations.
For further information on the Biosecurity Protection Levy visit the DAFF website.
To find out more about Sustainable Biosecurity Funding, email secretariatbsf@aff.gov.au
Department of Agriculture, Fisheries and Forestry
