PRIM AUTAIAISTE
FOR PRESS: PAM. No 79/ 1972
TASMANIAN APPLE AND PEAR INDUSTRY
Statement by the Prime minister, the Rt. Hon.
William Mctiahon,
The Prime Minister, Mr. McMahon, said in Canberra today
that he was very concerned at the Position of the Tasmanian
apple and pear industry. He said market access problems and
rising costs of production were mainly to blame for the situation.
" The Commonwealth Government was taking several steps to
help ease the problems facing the industries," Mr. McMahon said.
" Since the United Kingdom devalued sterling in 1967 the
government has provided substantial sums of money to the industry
to offset the effects of the devaluation. In the three years
1968-69-70, payments of devaluation compensation to the industry
were $ 2.4 million, $ 2.1 tillion and milliontmaking a total
of $ 7.1 million. " Besides this initiative the Commonwealth has implemented
the apple and pear stabilisation scheme which commenced wit the
1971 season. In this season $ 2.6 million was Paid by the government
to the Australian apple and Pear industry, which Tasmania dominates.
In this week's Budget a further $ 3.15 million has been prcvided
for the 19072/ 73 season. The amount in this week's Budget includes
a special allowance totalling $ 0.4 million as a special provision
for the 1972/ 73 season.
Following a move instituted by the Commonwealth Government
earlier this year, the Australian Agricultural Council set up a
special committee to examine and report on the transport and
marketing problems of the apple and pear industry. This committee
which has been actively pursuing its enquiries into these problems
will be meeting again in the very near future. Besides all these
steps the Commonwealth Government has offered, and the states have
accepted, a proposal that the Commonwealth finance a fruit growing
reconstruction scheme which will initially cover fresh-apples
andpears as well as the canning Peaches and pears industry. The
assistance provided under this proposal will be additional to the
large sums already made available under the rural reconstruction
scheme. ./ 2
2.
Of the $ 4.6 million which the ConmonwealtC. h is providing for the
fruit growing reconstruction schemrC, $ 2.3 million is to be allocated
to the fresh annle ana near industries and the
balance to the canning peaches and pears industry. Most of the
$ 2.3 million for the fresh apple and near industry will be
received by Tasmanian producers.
This scheme will apply in two types of circumstances.
Firstly to those producers who are in severe financial diffipulties
and wish to clear fell their properties and leave the industry,
and secondly it will apply to those producers who do not have
adequate financial resources to remove surplus trees without
assistance, but whose enterprise could contin'e to be viable if
redundant trees were removed and the land put to other uses.
in each state the scheme will be administered by the state
directed rural reconstruction authority.
A draft application form for assistance under the schemre
has been prepared by Tasmanian officials and applications will be
considered postdated to 14 July 1972.
In the determination of the rate of assistance, the
reconstruction authority will -take into account the age, the
variety and yield of the trees. The avorage assistance paid will
be about $ 200 per acre but maximum rates could be higher.
Earlier I made reference to the study by the special
committee of the Australian Agricultural Council into the problems
of the industry. The complexity of these problems means that it
could be some time before specific proposals coulAd be available for
consideration by governments. Because of thlis, the Commonwealth
Government has decided that some special measure of assistance
should be provided to the apple and pear industries pending the
completion of the studies. I-* am hopeful that the result of the
studies will lead to some permanent solution to the industry's
problems. However, while this study is being completed the
Commonwealth Government has decided, as as announced in the Budget
spneech, that leqislation will be brought down immediately to lift
the maximum tonnage of apples and pears eligible for payment under
the stabilisation scheme from 4.4 million bushels as at present
provided under the legislation to 4.9 million in respect of the
1972 crop. This will. add an amount of $ 400,000 to the maximum
Commonwealth commitment under the stabilisation scheme for the
current season. This move, together with all the other policies of
assistance the Co-mmonwealth Government has adopted with respect
to the Tasmanian apple and pear industry, will give the industry
greater security and stability.
CANBERRA, 18 August, 1972.