Senator LIGHTFOOT (2:04 PM) —My question is directed to the Minister representing the Minister for Agriculture, Fisheries and Forestry, Senator the Hon. Ian Macdonald. Will the minister outline what additional actions the Howard government is taking to assist farmers who are facing hardship in drought stricken parts of Australia?

Senator IAN MACDONALD (Minister for Fisheries, Forestry and Conservation) —Senator Lightfoot raises an issue which is of very great concern to all senators, I know, and which is certainly about a phenomenon that is crippling much of rural and regional Australia at the present time. This crippling drought needs attention in two ways: (1) to try and help those most severely affected with immediate help and (2) of course, we have to prepare for the time when the drought breaks, as it ultimately must, so that when it does break farmers can look forward to a future. The government has responded with additional measures for farmers, particularly those in New South Wales, and also with new measures for small business. Importantly, as well, there are new measures for workers whose jobs are at stake because of the impacts of the drought.

The Prime Minister announced this morning an additional package of some $368 million, and that is on top of the $360 million already committed for drought relief. Previously, the government had announced income support in areas where a prima facie EC, exceptional circumstances, case had been made. We have also previously announced the reduction of the 12-month waiting period for farm management deposit withdrawals. We had mentioned, in new initiatives over the last couple of weeks, an additional $2 million for counselling services; $10 million for a drought recovery Australian Government Envirofund program; $1 million for pest management to help farmers in those areas affected; $5 million for the Farmhand appeal; and $1 million to the Country Women's Association.

Today the Prime Minister announced that, for farmers having a one in 20-year rainfall deficiency over the nine months between March and November of this year, there would be interim income support. That is at around $600 per fortnight for a family. If more than 80 per cent of farmers in a state fall into this category of the one in 20 over the nine months then every farmer in the state will automatically be involved—that is, of course, what has happened in New South Wales. That will happen, should that statistic occur, in other states as well. All farmers in New South Wales are now eligible for interim income support.

As well, there is an interest rate relief subsidy of five per cent, or 50 per cent of the rate being paid by the individual farmer, on new or additional loans of up to $100,000. That applies not only to farmers caught up by this new program but also to people receiving existing and prima facie relief payments. Importantly, in this relief the government has recognised that small business also suffers. A range of measures has been introduced for small business in drought affected areas, and the details of that are on the government's web site. As well, workers have not been forgotten. Where they have lost their job because of the impacts of drought, they will be involved in a new Work for the Dole program. They will be given access to a lot of facilities that are not usually available quickly. It is a good package. I ask the Labor Party to support it. I know that they need some support from the state Labor governments and we need our colleagues over the road here to get the states to help. We want them to make an effort to help. (Time expired)