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Government delays full cost recovery for export services

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The Australian government has deferred the transition to full cost recovery for export regulatory services by one year, now set to begin on 1 July 2027.

The Australian government is continuing to work with farmers, fishers and producers to manage rising costs and supply disruptions that are placing pressure on the sector.

The transition was originally scheduled to commence on 1 July 2026. The deferral is intended to provide greater certainty for farmers and producers facing higher input costs.

A Fertiliser Supply Working Group will be established, including representatives from government agencies and industry organisations Fertiliser Australia and the National Farmers Federation.

The group builds on existing efforts to improve fertiliser availability, including:

  • Amending legislation to support private sector purchase of fuel and fertiliser;
  • Working with the ACCC to monitor and coordinate fertiliser supply;
  • Engaging with alternative fertiliser suppliers.

The government said support remains available for farmers and producers facing hardship.

Since July 2022, more than $1.29 billion has been allocated to rural support and resilience, with over $980 million directed to producers.

A new Drought Hardship Loan has opened for farmers affected by prolonged drought, delivered through the Regional Investment Corporation. Additional funding has also been made available through the Rural Financial Counselling Service.

“We recognise the disruption the conflict in the Middle East has had on our farmers and producers, which is why we are deferring the commencement of the phased transition to full cost recovery for export regulatory services for one year,” said minister for agriculture, fisheries and forestry Julie Collins.

“Our government will never leave farmers behind who are facing hardship.”

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