The Victorian Government is politicising the struggles of dairy framers and “dithering” on providing them support, says Deputy Prime Minister Barnaby Joyce.
As the Herald Sun reports, the Victorian Government wrote to Joyce requesting amendments to the support package it announced for dairy farmers in May.
The changes suggested by Victorian Minister for Agriculture Jaala Pulford included making all dairy farmers, not just those that supply Fonterra and Murray Goulburn, eligible for assistance and providing Victoria with $750,000 to initially administer the loans.
In addition, the Victorian Government wants the loans to be offered at a 1.7 per cent interest rate, not at 2.71 per cent as Joyce announced.
The disagreement has delayed implementation of the assistance package and, as a result, no farmer has yet received a loan.
“While they dither, farmers are waiting,” Joyce (pictured) said.
Dairy farmers are dealing with the recent dramatic drop in the amount they are being paid by milk processors. Murray Goulburn cut its price from $5.65 to between $4.75-$5.00 kgMS, while the other major dairy processor Fonterra cut its price from $5.60 per kgMS to $5.00 per kgMS.