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DAIRY PRODUCE MARKET SUPPORT LEVY BILL 1985 DAIRY LEGISLATION AMENDMENT BILL 1985DAIRY PRODUCE MARKET SUPPORT BILL 1985DAIRY INDUSTRY STABILIZATION LEVY AMENDMENT BILL 1985

Order of the Day read for the adjourned debate on the motion of the Minister for Community Services (Senator Grimes)-That these Bills be now read a second time.

Debate resumed.

Question-put and passed.

Bills read a second time.

The Senate, according to Order, resolved itself into Committee for the consideration of the Bills.

In the Committee

Ordered-That the Bills be considered separately.

DAIRY PRODUCE MARKET SUPPORT LEVY BILL 1985- Bill, by leave, taken as a whole.

Senator Macklin, by leave, moved the following requests together: That the House of Representatives be requested to make the following amendments: Page 3, sub-clause 6 (1), line 2, leave out ''Subject to this section,''.

Page 3, sub-clauses 6 (2) and (3), lines 5 to 14, leave out the sub-clauses.

Page 3, sub-clause 8 (2), line 25, leave out ''sub-section 6 (1)'', insert ''section 6''.

Debate ensued.

Question-That the requests be agreed to-put and negatived.

Bill agreed to.

DAIRY LEGISLATION AMENDMENT BILL 1985- Bill, by leave, taken as a whole.

Senator Collard, by leave, moved the following amendments together: Page 5, clause 13, line 30, leave out ''20AA and 20AB''.

Page 5, after clause 13, insert the following new clause: ''13A. Sections 20AA and 20AB of the Principal Act are repealed and the following sections substituted:

Export of certain dairy products prohibited unless exporter party to arrangement '20AA. (1) A person, other than the Corporation, shall not export, or cause to be exported, dairy products as specified in section 20AB from Australia unless the person is a party to an arrangement with the Corporation entered into under section 20AB that relates to those dairy products. Penalty: $1,000.

'(2) The regulations may provide that this section does not apply in relation to dairy products of a prescribed class.

Export sales pooling arrangements '20AB. (1) In this section- ''exporter'', for the purposes of this section, means a person, a partnership or a body corporate, accepted by the Corporation as being engaged in the sale of dairy products to overseas markets;

''principal markets'' means markets or groups of markets prescribed for the purposes of this section by the regulations;

''pool'' means a separate account set up and maintained by the Corporation in respect of the dairy products, and for the periods, specified in sub-section (2).

'(2) The Corporation shall establish and maintain pools for the purpose of this section as follows- (a) butter and the commercial butter equivalent of butter oil exported between 1 July 1985 and 30 June 1986 but manufactured after 30 June 1985;

(b) cheddar cheese and the natural equivalent of processed cheddar exported between 1 July 1985 and 30 June 1986 but manufactured after 30 June 1985;

(c) butter and the commercial butter equivalent of butter oil exported between 1 July 1986 and 30 June 1987 but manufactured after 30 June 1985;

(d) cheddar cheese and the natural equivalent of processed cheddar exported between 1 July 1986 and 30 June 1987 but manufactured after 30 June 1985.

'(3) The Corporation shall, from time to time, for the purposes of this section, fix an average price for each of the dairy products in respect of which a pool is maintained by the Corporation under sub-section (2), being a price that the Corporation considers will be the average export price for those dairy products.

'(4) The Corporation may, from time to time, for the purposes of this section, fix assessed export prices for each principal market for each of the dairy products in respect of which a pool is maintained by the Corporation under sub-section (2), being prices that the Corporation considers appropriate at the time and in the circumstances.

'(5) The Corporation may, with the approval of the Minister, make to persons engaged in the production, storage, distribution, sale, export or promotion of dairy products payments to meet expenses incurred in the storage, distribution, sale, export or promotion of dairy products to which this section applies and, where any such payment is made, the amount of the payment shall be debited to the appropriate pool.

'(6) Where an exporter makes sales of dairy products, in respect of which a pool is maintained by the Corporation under sub-section (2), to a principal market and the assessed price for the relevant principal market at the time of a sale is greater than the average price for the product determined under sub-section (3), the exporter shall be required to pay to the Corporation for the purposes of the relevant pool the difference between the average price for the product and the assessed price for the product in the relevant principal market.

'(7) Where an exporter makes sales of dairy products, in respect of which a pool is maintained by the Corporation under sub-section (2), to a principal market and the assessed price for the relevant principal market at the time of a sale is less than the average price for the product determined under sub-section (3), the Corporation shall pay to the exporter from the funds available for the purposes of the relevant pool the difference between the average price for the product and the assessed price for the product in the relevant principal market.

'(8) Where, at the end of each financial year, the Corporation is satisfied that no more amounts will be credited or debited to any of the pools established pursuant to sub-section (2), the Corporation may- (a) if the funds in the relevant pool are in credit, divide the amount of the credit amongst exporters who have contributed funds to the pool in accordance with sub-section (6) in the year in question, in proportion to their respective contributions to the pool; or

(b) if the funds in the relevant pool are in deficit, transfer an amount equal to the deficit from the Supplementary Market Support Trust Fund established under section 28 of the Dairy Market Support Act 1985.

'(9) Where the Corporation engages in the export of dairy products of the kinds specified and during the periods specified in sub-section (2) it shall, for the purposes of sub-sections (6), (7) and (8) be considered to be an exporter.'.''.

Debate ensued.

Question-That the amendments be agreed to-put.

The Committee divided-

AYES, 35

Senators- Archer Baume Bjelke-Petersen Boswell Brownhill Carrick, Sir John Chaney Chipp Collard Crichton-Browne Durack Guilfoyle, Dame Margaret Haines Hamer Harradine Hill Jessop Kilgariff Knowles Lajovic Lewis MacGibbon Macklin Mason Missen Puplick Rae, Peter Reid (Teller) Scott Sheil Short Teague Townley Vigor Watson

NOES, 30

Senators- Aulich Black Bolkus Button Childs Coates Colston Cook Cooney Crowley Devlin Elstob Evans, Gareth Foreman Georges Giles Hearn Jones McClelland McIntosh McKiernan Maguire Primmer Reynolds Richardson Robertson (Teller) Ryan Sibraa Walsh Zakharov

Amendments agreed to accordingly.

Bill, as amended, agreed to.

DAIRY PRODUCE MARKET SUPPORT BILL 1985- Bill, by leave, taken as a whole.

Senator Collard, by leave, moved the following amendments together: Page 9, sub-clause 19 (1), lines 2 to 11, leave out the sub-clause, insert the following sub-clauses: ''(1) Where dairy produce that is exported from Australia was, at the commencement of the marketing year during which it is so exported, dairy produce of a kind that was, in accordance with the provisions of sub-sections (1A) and (1B), prescribed dairy produce for the purposes of this Act, the rate at which market support payments are payable in respect of dairy produce of that kind is the amount per unit of that dairy produce that is equal to the difference between the export target price in relation to each such unit of dairy produce of that kind in respect of that marketing year and the estimated average price in force in relation to each such unit of dairy produce of that kind that is so exported during that marketing year at the time when that unit of dairy produce is so exported.

''(1A) For the purposes of this section, and notwithstanding anything contained elsewhere in this Act, 'prescribed dairy produce', unless otherwise determined in accordance with the provisions of sub-section (1B), means butter, cheddar cheese, skimmed milk powder and casein.

''(1B) The definition of 'prescribed dairy produce' for the purposes of this section provided in sub-section (1A) may only be varied by instrument in writing signed by the Minister.

''(1C) The Minister shall not sign an instrument under the provisions of sub-section (1B) unless it is fully in accordance with a recommendation, in writing, of the Corporation.

''(1D) The Corporation shall not make a recommendation under sub-section (1C) to the Minister unless it has consulted with the conference on the matter.''.

Page 11, sub-clause 19 (6), line 19, leave out ''declared by the regulations'', insert ''determined in accordance with sub-sections (1A) and (1B)''.

Pages 11 and 12, clause 20, line 39 (page 11) to line 3 (page 12), leave out the clause, insert the following new clause: ''20. Where dairy produce that is exported from Australia was not, at the commencement of the marketing year during which it is so exported, dairy produce of a kind that was prescribed dairy produce for the purposes of section 19, the rate at which market support payments are payable in respect of dairy produce of that kind is such amount per unit of dairy produce of that kind as the Corporation determines in writing, from time to time, to be appropriate having regard to the rates of market support payments that are applicable to dairy produce of kinds that were, at the commencement of that marketing year, so declared to be prescribed dairy produce.''.

Page 16, after paragraph 29 (2) (e), insert the following new paragraph: ''(ea) money repaid to the Supplementary Fund, being money that was lent out of the Supplementary Fund to the Corporation for the purposes of the operation of the pools established pursuant to sub-section 20 AB (2) of the Dairy Produce Act 1924;''.

Page 18, after paragraph 32 (d), insert the following new paragraph: ''(da) in making loans out of the Supplementary Fund to the Corporation for the purposes of the operation of the pools established pursuant to sub-section 20 AB (2) of the Dairy Produce Act 1924;''.

Debate ensued.

Question-That the amendments be agreed to-put.

The Committee divided

AYES, 34

Senators- Archer Baume Bjelke-Petersen Boswell Brownhill Carrick, Sir John Chipp Collard Crichton-Browne Durack Guilfoyle, Dame Margaret Haines Hamer Harradine Hill Jessop Kilgariff Knowles Lajovic Lewis MacGibbon Macklin Mason Missen Puplick Rae, Peter Reid (Teller) Scott Sheil Short Teague Townley Vigor Watson

NOES, 29

Senators- Aulich Black Bolkus Button Childs Coates Colston Cook Cooney Crowley Devlin Elstob Foreman Georges Giles Hearn Jones McClelland McIntosh (Teller) McKiernan Maguire Primmer Reynolds Richardson Ryan Sibraa Tate Walsh Zakharov

Amendments agreed to accordingly.

Bill, as amended, agreed to.

DAIRY INDUSTRY STABILIZATION LEVY AMENDMENT BILL 1985- Bill, by leave, taken as a whole.

Senator Collard moved a request, viz: That the House of Representatives be requested to make the following amendment:

Pages 3 and 4, clause 7, proposed sub-sections 7 (2) to 7 (10), line 1 (page 3) to line 13 (page 4), leave out the proposed sub-sections, insert the following sub-sections: '' '(2) The rate at which levy is imposed on dairy products of a particular kind being dairy products that are produced on or after 1 July 1985 and sold during the year commencing 1 July 1986 is equal to the rate determined by the Minister for the purpose on the day before the commencement of that year.

'(3) The rate at which levy is imposed on dairy products of a particular kind, being dairy products that are produced on or after 1 July 1985 and sold during the year commencing on 1 July 1987, is a rate that is calculated on a day determined by the Minister for the purpose, being a day occurring before the commencement of that year, by multiplying the rate of levy applicable to dairy products of that kind that are sold in the year ending 30 June 1987 by .75.

'(4) The rate at which levy is imposed on dairy products of a particular kind, being dairy products that are produced on or after 1 July 1985 and sold during the year commencing on 1 July 1988, is a rate that is calculated on a day determined by the Minister for the purpose, being a day occurring before the commencement of that year, by multiplying the rate of levy applicable to dairy products of that kind that are sold in the year ending 30 June 1987 by .5.

'(5) The rate at which levy is imposed on dairy products of a particular kind, being dairy products that are produced on or after 1 July 1985 and sold during the year commencing on 1 July 1989, is a rate that is calculated on a day determined by the Minister for the purpose, being a day occurring before the commencement of that year, by multiplying the rate of levy applicable to dairy products of that kind that are sold in the year ending 30 June 1987 by .25.

'(6) No levy under this section shall be payable in respect of dairy products that are produced after 30 June 1990.'.''.

Debate ensued.

Question-That the request be agreed to-put.

The Committee divided-

AYES, 34

Senators- Archer Baume Bjelke-Petersen Boswell Brownhill Carrick, Sir John Chipp Collard Crichton-Browne Durack Guilfoyle, Dame Margaret Haines Hamer Harradine Hill Jessop Kilgariff Knowles Lajovic Lewis MacGibbon Macklin Mason Missen Puplick Rae, Peter Reid (Teller) Scott Sheil Short Teague Townley Vigor Watson

NOES, 29

Senators- Aulich Black Bolkus Button Childs Coates Colston Cook Cooney Crowley Devlin Elstob Evans, Gareth Foreman Georges Giles Hearn Jones McClelland McIntosh (Teller) McKiernan Maguire Primmer Reynolds Ryan Sibraa Tate Walsh Zakharov

And so it was resolved in the affirmative.

Bill agreed to with a request.

Dairy Produce Market Support Levy Bill 1985 to be reported without requests.

Dairy Legislation Amendment Bill 1985 and Dairy Produce Market Support Bill 1985 to be reported with amendments.

Dairy Industry Stabilization Levy Amendment Bill 1985 to be reported with a request.

The Acting Deputy-President (Senator Tate) resumed the Chair; and the Chairman of Committees (Senator Hamer) reported accordingly.

On the motion of the Minister for Finance (Senator Walsh) the Report from the Committee was adopted.

On the motion of Senator Walsh the Dairy Produce Market Support Levy Bill 1985, the Dairy Legislation Amendment Bill 1985 and the Dairy Produce Market Support Bill 1985 were read a third time.