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Primary Industries (Customs) Charges Bill 1998

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1998

 

 

 

THE PARLIAMENT OF THE COMMONWEALTH OF AUSTRALIA

 

 

 

 

 

 

HOUSE OF REPRESENTATIVES

 

 

 

 

 

 

PRIMARY INDUSTRIES (CUSTOMS) CHARGES BILL 1998

 

 

 

 

 

 

EXPLANATORY MEMORANDUM

 

 

 

 

 

 

 

 

 

 

(Circulated by authority of the Minister for Agriculture, Fisheries and Forestry,

the Hon Mark Vaile MP)



PRIMARY INDUSTRIES (CUSTOMS) CHARGES BILL 1998

 

GENERAL OUTLINE

 

This Bill is part of a package of five Bills designed to consolidate 40 levy/charge imposition Acts into two main Acts - the Bills for which are the Primary Industries (Customs) Charges Bill 1998 and Primary Industries (Excise) Levies Bill 1998 .

 

The other Bills in the Primary Industries Levies Amalgamation legislation are the Primary Industries Levies and Charges (Consequential Amendments) Bill 1998 , the National Residue Survey (Customs) Levy Amendment Bill 1998 and the National Residue Survey (Excise) Levy Amendment Bill 1998 .

 

The effect of the Bills will be to simplify Parliamentary processes without reducing the normal opportunities for consideration of substantive issues.  Under present arrangements separate consideration may be needed for individual charges and levies even if they are all part of a single scheme.

 

The current schemes for imposing charges are retained.  These Bills will not create any new administrative burdens for industry.  Transitional provisions are included to ensure smooth continuation of any charge processes in train at the commencement dates.

 

The purpose of this Bill is to set the guidelines under which the imposition of export charges may be made on produce of primary industry.  The Schedules of this Bill will replace provisions for the imposition of the charges contained in the Acts listed below, and will not impose any new or additional charge on those products.

 

The Bill allows for the operative charge rate to be increased or decreased by the Governor-General by regulation on the advice of the Minister.  The Minister must consider any relevant recommendations on rates of charge made by the relevant organisation for each industry.

 

The operative charge rate cannot be increased beyond the maximum charge rate and the maximum charge rate can only be changed by amending the Primary Industries (Customs) Charges Act 1988 .

 

The new arrangement will commence on 1 July 1999, except for the wine industry, where the commencement will be on 1 January 2000, to conform with the calendar year operation of those arrangements.  The power to specify a charge rate is intended to include a power to specify a zero rate

 

The Bill will replace provisions for the imposition of the charge contained in the:

 

Buffalo Export Charge Act 1997

 

Cattle (Exporters) Export Charge Act 1997

 

Cattle (Producers) Export Charges Act 1997

 

Dairy Produce Levy (No. 2) Act 1986

 

Deer Export Charge Act 1992

 

Deer Velvet Export Charge Act 1992

 

Forest Industries Research Export Charge Act 1993

 

Forest Industries Research Import Charge Act 1993

 

Honey Export Charge Act 1973

 

Horticultural Export Charge Act 1987

 

Live-stock (Exporters) Export Charge Act 1997

 

Live-stock (Producers) Export Charge Act 1997

 

Wine Export Charge Act 1997

 

 

FINANCIAL IMPACT STATEMENT

 

As the intent of the Bill is to provide more efficient charging processes for primary industries charges, and although the Bill will provide a framework for future charges to be imposed by regulation, there are no immediate financial implications for the Commonwealth, other than the savings involved when changes need to be made, unless and until new charges are imposed under this Act.

 

 



NOTES ON CLAUSES

 

Clause 1:          Short Title

 

This clause provides for the Act to be called the Primary Industries (Customs) Charges Collection Act 1998 .

 

Clause 2:          Commencement

 

This clause provides for the Act to come into effect on 1 July 1999 as provided for in the Primary Industries (Excise) Levies Act 1998 .

 

Clause 3:          Simplified Outline

 

This clause provides a simplified outline of the Act indicating that it imposes charges that are duties of excise and provides for specification of the maximum and operative rates of charges, the person liable to pay charges and exemptions from charge.

 

Clause 4:          Definitions

 

This clause provides that unless the contrary intention appears, the definitions in Section 4 of the Primary Industries Levies and Charges Act 1991 apply in interpretation of this Act.

 

Clause 5:          Act to bind Crown

 

This clause provides for all Australian States, the ACT, Northern Territory and Norfolk Island to be bound by the legislation, but not for the Commonwealth to be bound by the legislation as the Commonwealth cannot tax itself.

 

Clause 6:          Duties of customs

 

This clause restricts the application of the Act to the duties of customs as defined in the Australian Constitution.

 

Clause 7:          Imposition of Charges

 

This clause provides that the levies are imposed by the Schedules to this Act.

 

Clause 8:          Regulations

 

This clause provides for the Governor-General to make regulations for the purposes of this legislation.

 



Schedule 1 - Buffaloes

 

OUTLINE

 

The purpose of this Schedule is to provide for the continued imposition of a charge on the export of live buffaloes from Australia.  The Schedule will replace the provisions for the imposition of levies contained in the Buffalo Export Charge Act 1997 and will not impose any new or additional charge on the export of buffaloes.  The Buffalo Export Charge Act 1997 will be repealed on the same day as the Act commences.

 

While the operative charge rate can be varied by regulation, it cannot be increased beyond the maximum charge rate.  The maximum levy rate can only be changed by amending the Primary Industries (Customs) Charges Act 1998 .

 



NOTES ON CLAUSES

 

Clause 1:          Imposition of charge

 

This clause provides for imposing charges on the export of live buffaloes, while permitting a general exemption by regulation.

 

Clause 2:          Rate of charge

 

This clause sets the operative and maximum rates of charge imposed.  The operative rate of charge may be increased or decreased by regulation, although the amount of charge prescribed in the regulation cannot exceed the maximum rate set by this clause.

 

The clause provides for a rate with two components, as the charge provides a contribution for the Rural Industries Research and Development Corporation and for the National Cattle Disease Eradication Reserve.

 

Clause 3:          Who pays the charge

 

This clause defines who is liable to pay the charge.  It provides that the producer is liable to pay the charge.

 

Clause 4:          Transitional - regulations

 

This clause provides that regulations made under the Buffalo Export Charge Act 1997 in respect of a particular provision in that Act, and which are in force immediately before the commencement of this clause, continue to have effect as if they had been made for the purposes of the corresponding provision in this Schedule.

 

The intention of this clause is to ensure the continued application of existing regulations made under the Buffalo Export Charge Act 1997 where appropriate.

 



Schedule 2 - Cattle (exporters)

 

OUTLINE

 

The purpose of this Schedule is to provide for the imposition of a charge on the export of cattle from Australia.  The Schedule recognises the non-statutory nature of contributions by exporters and provides for charge to be set at zero in regulations The Schedule will replace the provisions for the imposition of the charges contained in the Cattle (Exporters) Export Charge Act 1997 and will not impose any new or additional charges.  The Cattle (Exporters) Export Charge Act 1997 will be repealed on the same day as the Act commences.

 

The Schedule allows for the operative charge rate to be increased or decreased by the Governor-General by regulation on the advice of the Minister.  The Minister must consider any relevant recommendations on rates of charge made by the relevant industry organisation where they are a body specified in a declaration by the Minister published in the Gazette .

 

While the operative charge rate can be varied by regulation, it cannot be increased beyond the maximum charge rate.  The maximum levy rate can only be changed by amending the Primary Industries (Customs) Charges Act 1998 .

 



NOTES ON CLAUSES

 

Clause 1:          Definitions

 

This clause provides stock and industry definitions for the purposes of this Schedule.

 

Clause 2:          Imposition of charge

 

This clause provides for the imposition charges on the export of live cattle other than dairy cattle, while permitting a general exemption by regulation.

 

Clause 3:          Rate of charge

 

This clause provides for the rate of charge to be prescribed by regulation and sets out maximum rates of charge imposed.  The operative rate of charge may be increased or decreased by regulation, although the amount of charge prescribed in the regulation cannot exceed the maximum rate set by this clause.

 

The clause provides for a rate with two components, as the charge provides a contribution for marketing body and for research.  The clause also provides for the method of calculation by weight.

 

Clause 4:          Who pays the charge

 

This clause defines who is liable to pay the charge.  It provides that the exporter is liable to pay the charge.

 

Clause 5:          Regulations

 

This clause requires the Minister to take into consideration any relevant recommendation made by a declared body before the Governor-General makes regulations concerning the rate of charge.

 

Clause 6:          Transitional - regulations

 

This clause provides that regulations made under the Cattle (Exporters) Export Charge Act 1997 in respect of a particular provision in that Act, and which are in force immediately before the commencement of this clause, continue to have effect as if they had been made for the purposes of the corresponding provision in this Schedule.

 

The intention of this clause is to ensure the continued application of existing regulations made under the Cattle (Exporters) Export Charge Act 1997 where appropriate.

 

Clause 7:          Transitional - declarations

 

This clause provides that declarations made under the Cattle (Exporters) Export Charge Act 1997 in respect of a particular provision in that Act, and which are in force immediately before the commencement of this clause, continue to have effect as if they had been made for the purposes of the corresponding provision in this Schedule.

 

The intention of this clause is to ensure the continued application of existing declarations made under the Cattle (Exporters) Export Charge Act 1997 where appropriate.

 



Schedule 3 - Cattle (producers)

 

OUTLINE

 

The purpose of this Schedule is to provide for the imposition of a charge on beef cattle producers on the export of cattle from Australia.  The charge is only payable if a levy under Schedule 3 is the Primary Industries (Excise) Levies Act 1998 has not been paid and is not payable, or if cattle for export or held for time in excess of those reasonable to cover any quarantine requirements. The Schedule will replace the provisions for the imposition of a charge contained in the Cattle (Producers) Export Charges Act 1997 and will not impose any new or additional charges.  The Cattle (Producers) Export Charges Act 1997 will be repealed on the same day as the Act commences.

 

The Schedule allows for the operative charge rate to be increased or decreased by the Governor-General by regulation on the advice of the Minister.  The Minister must consider any relevant recommendations on rates of charge made by the relevant industry organisation where it is a body specified in a declaration by the Minister published in the Gazette .

 

While the operative charge rate can be varied by regulation, it cannot be increased beyond the maximum charge rate.  The maximum levy rate can only be changed by amending the Primary Industries (Customs) Charges Act 1998 .

 



NOTES ON CLAUSES

 

Clause 1:          Definitions

 

This clause provides stock and industry definitions for the purposes of this Schedule.

 

Clause 2:          Imposition of charge

 

This clause provides for the imposition of charges on the export of cattle (other than dairy cattle) where a charge is not imposed under Schedule 3 to the Primary Industries (Excise) Levies Act 1998 or the repealed Cattle Transaction Levy Act 1997 .

 

Clause 3:          Rate of charge

 

This clause sets maximum rates of charge imposed.  The operative rate of charge may be increased or decreased by regulation, although the amount of charge prescribed in the regulation cannot exceed the maximum rate set by this clause.

 

Clause 4:          Who pays the charge

 

This clause defines who is liable to pay the charge.  It provides that the producer is liable to pay the charge.

 

Clause 5:          Regulations

 

This clause empowers the Minister to declare a body as the representative body for the industry for the purpose of making recommendations to the Minister on the operational charge rates to be prescribed by the regulations.

 

To make such a declaration, the Minister must publish a written notice in the Gazette .

 

This clause also limits the power of the Governor-General to make regulations prescribing the operational charge rate payable. If a declaration is in place, the Governor-General may only exercise this power when acting on the advice of the Executive Council, following its consideration of recommendations made to the minister by a body declared to be the body representing the industry for that component of the charge.

 

Clause 6:          Transitional - regulations

 

This clause provides that regulations made under the Cattle (Producers) Export Charge Act 1997 in respect of a particular provision in that Act, and which are in force immediately before the commencement of this clause, continue to have effect as if they had been made for the purposes of the corresponding provision in this Schedule.

 

The intention of this clause is to ensure the continued application of existing regulations made under the Cattle (Producers) Export Charges Act 1997 where appropriate.

 

Clause 7:          Transitional - declarations

 

This clause provides that declarations made under the Cattle (Producers) Export Charge Act 1997 in respect of a particular provision in that Act, and which are in force immediately before the commencement of this clause, continue to have effect as if they had been made for the purposes of the corresponding provision in this Schedule.

 

The intention of this clause is to ensure the continued application of existing declarations made under the Cattle (Producers) Export Charges Act 1997 where appropriate.

 



Schedule 4 - Dairy produce

 

OUTLINE

 

The purpose of this Schedule is to provide for the imposition of a levy on the re-importation of exported dairy produce and an import offset levy.  The Schedule will replace the provisions for the imposition of levies contained in the Dairy Produce Levy (No. 2) Act 1986 and will not impose any new or additional levies.  The Dairy Produce Levy (No. 2) Act 1986 will be repealed on the same day as the Act commences.

 

Under this Schedule, a levy is imposed on re-imports of Australian dairy produce in the same (or substantially the same) form as that which received a rebate of the manufacturing milk levy on the milk fat and protein content of the exported produce.   This rebate could be an offset against the manufacturing milk liability or a direct export rebate to a downstream manufacturer.  This levy is imposed to ensure that exported dairy produce, for which an export rebate has been claimed, is not subsequently re-imported so as to receive the domestic consumer transfer generated through the domestic market support arrangements, without penalty.

 

The import offset levy is imposed on imports of dairy products but only up to the level of the levy payer’s export credits (if any) ie a reduction of manufacturing milk levy liability or an export rebate.  This levy and the acquisition offset levy imposed in Schedule 6 to the Primary Industries (Excise) Levies Act 1998 are designed to prevent exporters from manipulating the market support arrangements for financial gain.  They are offsets against export credits or export rebates rather than general import duties and will not affect normal trade. 

 



NOTES ON CLAUSES

 

Clause 1:          Definitions

 

This clause defines prescribed exporter and a relevant export for the purpose of this Schedule.

 

The clause also provides for the words and expressions which appear in this Schedule to have the same meaning as in Schedule 6 to the Primary Industries (Excise) Levies Act 1998 and for the question of whether companies are related to be resolved by reference to the appropriate provisions of the Corporations Law.

 

It is also noted that a charge imposed by this schedule can be referred to as either a levy or a charge.

 

Clause 2:          Imposition of charge - re-imposition of exported dairy produce

 

This clause provides for the imposition of a levy on dairy produce imported into Australia that was previously exported in the same (or substantially the same) form, where the export of that dairy produce has attracted a benefit or for which a benefit is entitled.  That benefit could be a reduction of a manufacturer’s liability to manufacturing milk levy imposed by Schedule 6 to the Primary Industries (Excise) Levies Act 1998 or subsection 7(2) of the repealed Dairy Produce Levy (No. 1) Act 1998 ; or a market support payment or a rebate of manufacturing milk levy provided under section 94 or 108E, respectively, of the Dairy Produce Act 1986 .

 

Clause 3:          Imposition of charge - import offset

 

This clause provides for the imposition of a levy on the total quantity of dairy produce imported by a prescribed exporter or a related company (which is not a prescribed exporter) during a particular financial year, less that amount on which a charge is imposed by Clause 2 of Schedule 4 to the Primary Industries (Customs) Charges Act 1998.

 

Clause 4:          Rate of charge

 

Clauses 4(1), 4(2) and 4(5) provide for the charge on the re-importation of exported dairy produce and the import offset levy to be levied by applying the milk fat and protein rates prescribed for the manufacturing milk levy under Schedule 6 to the Primary Industries (Excise) Levies Act 1998 (applying at the time of importation) to the milk fat and protein content of the imported dairy produce.  Clauses 4(3) and 4(4) provide that the maximum amount of import offset levy which a prescribed exporter is required to pay (in relation to a particular financial year) is that amount which does not exceed the total amount of benefit (reduction of manufacturing milk levy liability or rebate of manufacturing milk levy) to which that prescribed exporter is entitled (in relation to the same financial year), net of any amount of levy imposed on that prescribed exporter by clause 2 (in relation to the same financial year).

 

Clause 5:          Who pays the charge

 

This clause provides that the person re-importing dairy produce is liable to pay the levy imposed on the re-importation of dairy produce.  The prescribed exporter which imports (or is related to the company which imports) dairy produce in relation to the importation of which import offset levy is imposed, is liable to pay the import offset levy.

 

Clause 6:          Charge may be referred to as a levy

 

This clause provides that charges imposed under Dairy Produce Levy (No. 2) Act 1986 were referred to as levies.  This clause provides for the terms charge and levies to have the same meaning in this Schedule.



Schedule 5 - Deer

 

OUTLINE

 

The purpose of this Schedule is to provide for the imposition of a charge on the export of live deer from Australia.  The Schedule will replace the provisions for the imposition of levies contained in the Deer Export Charge Act 1992 and will not impose any new or additional levies.  The Deer Export Charge Act 1992 will be repealed on the same day as the Act commences.

 

The Schedule allows for the operative charge rate to be increased or decreased by the Governor-General by regulation on the advice of the Minister.  The Minister must consider any relevant recommendations on rates of charge made by the relevant industry organisation.

 

While the operative charge rate can be varied by regulation, it cannot be increased beyond the maximum charge rate.  The maximum levy rate can only be changed by amending the Primary Industries (Customs) Charges Act 1998 .

 



NOTES ON CLAUSES

 

Clause 1:          Definitions

 

This clause defines representative industry organisation for the purposes of this Schedule.

 

Clause 2:          Imposition of charge

 

This clause provides for the imposition of charges on live deer exports after this Schedule commences.

 

Clause 3:          Rate of charge

 

This clause sets the operative and maximum rates of charge imposed.  The operative rate of charge may be increased or decreased by regulation, although the amount of charge prescribed in the regulation cannot exceed the maximum rate set by this clause.

 

Clause 4:          Who pays the charge

 

This clause defines who is liable to pay the charge.  It provides that the producer is liable to pay the charge.

 

Clause 5:          Regulations

 

This clause requires the Minister to take into consideration any relevant recommendation made by a representative industry organisation before the Governor-General makes regulations concerning the rate of charge.

 

Clause 6:          Transitional - regulations

 

This clause provides that regulations made under the Deer Export Charge Act 1992 in respect of a particular provision in that Act, and which are in force immediately before the commencement of this clause, continue to have effect as if they had been made for the purposes of the corresponding provision in this Schedule.

 

The intention of this clause is to ensure the continued application of existing regulations made under the Deer Export Charge Act 1992 where appropriate.

 



Schedule 6 - Deer velvet

 

OUTLINE

 

The purpose of this Schedule is to provide for the imposition of a charge on the export of deer velvet from Australia.  The Schedule will replace the provisions for the imposition of levies contained in the Deer Velvet Export Charge Act 1992 and will not impose any new or additional levies.  The Deer Velvet Export Charge Act 1992 will be repealed on the same day as the Act commences.

 

The Schedule allows for the operative charge rate to be increased or decreased by the Governor-General by regulation on the advice of the Minister.  The Minister must consider any relevant recommendations on rates of charge made by the relevant industry organisation.

 

While the operative charge rate can be varied by regulation, it cannot be increased beyond the maximum charge rate.  The maximum levy rate can only be changed by amending the Primary Industries (Customs) Charges Act 1998 .

 



NOTES ON CLAUSES

 

Clause : Definitions

 

This clause defines deer velvet, designated organisation, representative industry organisation and senior officer for the purposes of this Schedule.

 

Clause 2:          Imposition of charge

 

This clause provides for the imposition of charges on the export of deer velvet where a charge has not already been imposed as a levy by Schedule 8 to the Primary Industries (Excise) Levies Act 1998 or by the repealed Deer Velvet Levy Act 1992 .

 

Clause 3:          Rate of charge

 

This clause sets the operative and maximum rates of charge imposed.  The operative rate of charge may be increased or decreased by regulation, although the amount of charge prescribed in the regulation cannot exceed the maximum rate set by sub clause 3(5).

 

The clause provides that the charge will be a percentage of the declared value of the deer velvet.  For the purpose of Schedule the declared value is taken as the value of the velvet described in export documentation, such as bills of lading. 

 

The clause provides for the Secretary to determine the value of the deer velvet if he believes that the declared value is not fair and reasonable.  The clause lists the factors which the Secretary can take account of in determining value of deer velvet.

 

The Secretary may delegate the power to determine the declared value of deer velvet to a senior officer of the Department (as defined in clause 1). Such delegation must be in writing.

 

Clause 4:          Who pays the charge

 

This clause defines who is liable to pay the charge.  It provides that the producer is liable to pay the charge.

 

Clause 5:          Regulations

 

This clause requires the Minister to take into consideration any relevant recommendation made by a representative industry organisation before the Governor-General makes regulations concerning the rate of charge.

 

Clause 6:          Transitional - regulations

 

This clause provides that regulations made under the Deer Velvet Export Charge Act 1992 in respect of a particular provision in that Act, and which are in force immediately before the commencement of this clause, continue to have effect as if they had been made for the purposes of the corresponding provision in this Schedule.

 

The intention of this clause is to ensure the continued application of existing regulations made under the Deer Velvet Export Charge Act 1992 where appropriate.

 

Clause 7:          Transitional - delegation

 

This clause provides that delegations made under the Deer Velvet Export Charge Act 1992 in respect of a particular provision in that Act, and which are in force immediately before the commencement of this clause, continue to have effect as if they had been made for the purposes of the corresponding provision in this Schedule.

 

The intention of this clause is to ensure the continued application of existing delegations made under the Deer Velvet Export Charge Act 1992 where appropriate.



Schedule 7 - Forest Industries (export)

 

OUTLINE

 

The purpose of this Schedule is to provide for the imposition of a charge on logs produced in Australia and exported,  for the purpose of funding the Forest and Wood Products Research and Development Corporation (“the Corporation”). The charge applies to logs produced in Australia and exported from Australia. The charge is payable by the exporter of the logs.

 

The Schedule will replace provisions for the imposition of charge contained in the Forest Industries Research Export Charge Act 1993 .  The Forest Industries Research Export Charge Act 1993 will be repealed on the same day as the Act commences. However, the Schedule allows for the continued functioning of regulations made under the Forest Industries Research Export Charge Act 1993 where relevant.

 

The rate of charge imposed on logs that are produced in Australia and exported by this Schedule is equal to the rate of levy (if any) that would have been imposed under Schedule 10 of the Primary Industries (Excise) Levies Act 1998 if the logs had been delivered to a mill in Australia.

 



NOTES ON CLAUSES

 

Clause 1:          Definitions

 

This clause defines industry, logs and mill for the purposes of the Schedule.

 

Clause 2:          Imposition of charge

 

This clause imposes a charge on logs produced in Australia and exported.

 

The clause provides that the charge imposed under this Schedule is not imposed on logs on which the domestic levy or the export charge has already been paid and also provides that the regulations may exempt a specified class (or classes) of logs from charge imposed under this Schedule.

 

Clause 3:          Rate of charge

 

This clause provides that the rate of charge on logs which are to be exported is to be the same as the rate which is to apply  under Schedule 10 of the Primary Industries (Excise) Levies Act 1998 to logs that are delivered to a mill in Australia for processing.

 

The clause provides that the regulations may provide that charge is not payable if the amount to be collected is less than an amount specified in the regulations.

 

Clause 4:          Who pays the charge

 

This clause defines who is liable to pay the charge.  It provides that the exporter is liable to pay the charge.

 

Clause 5:          Regulations

 

The clause requires the Minister to take into consideration any relevant recommendation made by an industry body (as defined in Clause 1) before the Governor-General makes regulations for the purposes of this Schedule.

 

Clause 6:          Transitional - regulations

 

This clause provides that regulations made under the Forest Industries Research Export Charge Act 1993 in respect of a particular provision in that Act, and which are in force immediately before the commencement of this clause, continue to have effect as if they had been made for the purposes of the corresponding provision in this Schedule.

 

The intention of this clause is to ensure the continued application of existing regulations made under the Forest Industries Research Export Charge Act 1993 where appropriate.

 



Schedule 8 - Forest Industries (import)

 

OUTLINE

 

The purpose of this Schedule is to provide for the imposition of a charge on forest products imported into Australia for the purpose of funding the Forest and Wood Products Research and Development Corporation (“the Corporation”). The charge applies to unprocessed wood and certain prescribed primary processed wood products imported into Australia.

 

The Schedule will replace the provisions for the imposition of the charge contained in the Forest Industries Research Import Charge Act 1993 .  The Forest Industries Research Import Charge Act 1993 will be repealed on the same day as the Act commences. However, the Schedule allows for the continued functioning of regulations and determinations made under the Forest Industries Research Import Charge Act 1993 where appropriate.

 

If the forest products imported are logs, the charge is the same as the rate of levy which is payable for domestic logs under Schedule 10 of the Primary Industries (Excise) Levies Act 1998 . Otherwise the rate for imported products is calculated by multiplying the rate of levy (which would have applied to the imported product’s domestic log class equivalent under the Primary Industries (Excise) Levies Act 1998) by a conversion factor determined by the Minister under this Schedule.



NOTES ON CLAUSES

 

Clause 1:        Definitions

 

This clause defines forest products, industry body, logs and mill for the purposes of this Schedule.

 

Clause 2:        Imposition of charge

 

This clause imposes a charge on forest products that are imported into Australia, and also provides for the exemption, by regulation, of a specified class (or classes) of forest products from charge imposed under this Schedule.

 

Clause 3:        Rate of charge

 

This clause provides that, if the forest products are logs, the rate of charge  is to be the same as the rate of levy  under Schedule 10 of the Primary Industries (Excise) Levies Act 1998 .  There is a maximum levy rate  in that Schedule.

 

The clause provides that if the forest products are not logs, the rate of charge is to be calculated by multiplying the equivalent rate set under the Primary Industries (Excise) Levies Act 1998 for the class of logs from which the forest product was derived (eg. sawn timber would be derived from a sawlog) by the conversion factor for that class of forest product. The conversion factor for a class of forest product is to be determined by the Minister.

 

The clause enables the Minister to determine different conversion factors for different classes of forest products. Each conversion factor will be set at a rate which reasonably approximates the amount of unprocessed wood required to produce the prescribed class of forest product in Australia using normal wood processing practices. The intention is that imported products are levied on equivalent terms to locally produced wood.

 

The clause ensures that any relevant industry views are to be taken into account in  determining the conversion factor. The clause also provides that a determination made by the Minister about conversion factors is a disallowable instrument and  is  subject to the Parliamentary disallowance processes.

 

The clause also provides that the regulations may provide that charge is not payable if the amount due to be paid is less than an amount specified in the regulations.

 

Clause 4:        Who pays the charge

 

This clause defines who is liable to pay the charge.  It provides that the importer is liable to pay the charge.

 

Clause 5:        Regulations

 

This clause requires the Minister to take into consideration any relevant recommendation made by an industry body (as defined in Clause 1) before the Governor-General makes regulations for the purposes of this Schedule.

 

Clause 6:          Transitional - regulations

 

This clause provides that regulations made under the Forest Industries Research Import Charge Act 1993 in respect of a particular provision in that Act, and which are in force immediately before the commencement of this clause, continue to have effect as if they had been made for the purposes of the corresponding provision in this Schedule.

 

The intention of this clause is to ensure the continued application of existing regulations made under the Forest Industries Research Import Charge Act 1993 where appropriate..

 

Clause 7:          Transitional - determinations

 

This clause provides that determinations made under the Forest Industries Research Import Charge Act 1993 in respect of a particular provision in that Act, and which are in force immediately before the commencement of this clause, continue to have effect as if they had been made for the purposes of the corresponding provision in this Schedule.

 

The intention of this clause is to ensure the continued application of existing determinations made under the Forest Industries Research Import Charge Act 1993 where appropriate.

 



Schedule 9 - Honey

 

OUTLINE

 

The purpose of this Schedule is to provide for the imposition of a charge on the export of honey from Australia.  The Schedule will replace the provisions for the imposition of charges contained in the Honey Export Charge Act 1973 and will not impose any new or additional charges.  The Honey Export Charge Act 1973 will be repealed on the same day as the Act commences.

 

The Schedule allows for the operative charge rate to be increased or decreased by the Governor-General by regulation on the advice of the Minister.  The Minister must consider any relevant recommendations on rates of charge made by the relevant producer’s organisation.

 

While the operative charge rate can be varied by regulation, it cannot be increased beyond the maximum charge rate.  The maximum levy rate can only be changed by amending the Primary Industries (Customs) Charges Act 1998 .

 



NOTES ON CLAUSES

 

Clause 1:          Definitions

 

This clause defines Corporation, honey producer’s organisation, Research and Development authority, Research and Development Corporation, Research and Development Council and Research and Development Fund for the purposes of this Schedule.

 

Clause 2:          Imposition of charge

 

This clause provides for charges to be imposed on the export of honey unless it is exempted by the regulations, an equivalent levy applies or the monthly export total is less than 50 kilograms.

 

Clause 3:          Rate of charge

 

This clause sets the operative and maximum rates of charge imposed.  The operative rate of charge may be increased or decreased by regulation, although the amount of charge prescribed in the regulation cannot exceed the maximum rate set by this clause.

 

The charge is used to fund research and development conducted by the Rural Industries Research and Development Corporation (RIRDC).

 

Clause 4:          Who pays the charge

 

This clause defines who is liable to pay the charge.  It provides that the person who owned the product immediately prior to export is liable to pay the charge.

 

Clause 5:          Regulations

 

This clause requires the Minister to take into consideration any relevant recommendation made by the producers’ organisation and the RIRDC before the Governor-General makes regulations concerning the rate of charge.

 

Clause 6:          Transitional - regulations

 

This clause provides that regulations made under the Honey Export Charge Act 1973 in respect of a particular provision in that Act, and which are in force immediately before the commencement of this clause, continue to have effect as if they had been made for the purposes of the corresponding provision in this Schedule.

 

The intention of this clause is to ensure the continued application of existing regulations made under the Honey Export Charge Act 1973 where appropriate.

 



Schedule 10 - Horticultural Products

 

OUTLINE

 

The purpose of this Schedule is to provide for the imposition of a charge on the export from Australia of horticultural produced in Australia.  The Schedule will replace the provisions for the imposition of levies contained in the Horticultural Export Charge Act 1987 and will not impose any new or additional levies.  The Horticultural Export Charge Act 1987 will be repealed on the same day as the Act commences.

 

The Schedule allows for the operative levy rate to be increased or decreased by regulation.  The Minister must consider any relevant recommendations made by the relevant industry organisation, the Australian Horticultural Corporation, the Horticultural Research & Development Corporation and Product Boards of the Australian Horticultural Corporation, as appropriate.

 

While the operative charge rate can be varied by regulation, it cannot be increased beyond the maximum charge rate.  The maximum levy rate can only be changed by amending the Primary Industries (Customs) Charges Act 1998 .

 



NOTES ON CLAUSES

 

Clause 1:          Definitions

 

This clause defines chargeable horticultural products, cut flowers and foliage, fruits, horticultural products, nursery products, nuts and vegetables for the purposes of this Schedule.

 

Clause 2:          Imposition of charge

 

This clause imposed charges on exported horticultural products that are not exempt, or where an equivalent levy does not apply.

 

Clause 3:          Rates of charge

 

This clause provides for the operative rate to be fixed by regulation.  The operative rate of charge may be increased or decreased by regulation, although the amount of charge prescribed in the regulation cannot exceed the maximum rate set by this clause.

 

This clause sets out the mechanisms for determining the rates of charge for different classes of horticultural products.  The charges may differ depending on whether they are destined for the Australian Horticultural Corporation, a Product Board, the Horticultural Research and Development Corporation or destined for some other purposes.  Different products may also attract different rates, including differences for each destination.

 

Clause 4:          Who pays the charge

 

This clause defines who is liable to pay the charge.  It provides that the producers of the products is liable to pay the charge.

 

Clause 5:          Regulations

 

This clause identifies the ways in which leviable horticultural products may be described in the regulations and identifies the ways in which products presumed to be produced in Australia may be described in the regulations.

 

The clause also requires the Minister to take into consideration any relevant recommendation made by the Australian Horticultural Corporation and the Horticultural Research and Development Corporation before the Governor-General makes regulations under clause 2(4) exempting horticultural products produced by specified classes of producers or types of horticultural products from levy imposed by clause 2(1) and 2(2) of this Schedule.

 

The clause also requires the Minister to take into consideration any relevant recommendation made by the Australian Horticultural Corporation, a Product Board of the Australian Horticultural Corporation or the Horticultural Research and Development Corporation before the Governor-General makes regulations concerning the rate of a levy destined for the Australian Horticultural Corporation, a Product Board of the Australian Horticultural Corporation or the Horticultural Research and Development Corporation under clauses 4(1), 4(2) or 4(3) respectively. 

 

In addition, the clause requires the above corporations to consult with the eligible industry body for each leviable horticultural product before making a recommendation to the Minister on exemptions from levy imposed by this Schedule or on the rate of levy and to provide the Minister with the written views of the eligible industry bodies at the time of making a recommendation. 

 

Clause 6:          Transitional - regulations

 

This clause provides that regulations made under the Horticultural Export Charge Act 1997 in respect of a particular provision in that Act, and which are in force immediately before the commencement of this clause, continue to have effect as if they had been made for the purposes of the corresponding provision in this Schedule.

 

The intention of this clause is to ensure the continued application of existing regulations made under the Horticultural Export Charge Act 1997 where appropriate.



Schedule 11 - Live-stock (exporters)

 

OUTLINE

 

The purpose of this Schedule is to continue the capacity for the imposition of a charge on the export of sheep, lambs and goats from Australia.  The Schedule recognises the non-statutory nature of contributions by exporters and provides for charges to be set at zero in regulations.  The Schedule will replace the provisions for the imposition of the charge contained in the Live-stock (Exporters) Export Charge Act 1997 and will not impose any new or additional charges.  The Live-stock (Exporters) Export Charge Act 1997 will be repealed on the same day as the Act commences.

 

The Schedule allows for the operative charge rate to be increased or decreased by the Governor-General by regulation on the advice of the Minister.  The Minister must consider any relevant recommendations on rates of charge made by the relevant industry organisation being a body specified in a declaration by the Minister published in the Gazette ..

 

While the operative charge rate can be varied by regulation, it cannot be increased beyond the maximum charge rate.  The maximum levy rate can only be changed by amending the Primary Industries (Customs) Charges Act 1998 .

 



NOTES ON CLAUSES

 

Clause 1:          Definitions

 

This clause defines lamb, live-stock, marketing body, research body and sheep for the purposes of this Schedule.

 

Clause 2:          Imposition of charge

 

This clause imposes charges on the export of sheep, lambs and goats, unless an exemption as provided for in this clause applies permanently or for a specified period.

 

Clause 3:          Rates if charges - sheep

 

This clause sets the operative and maximum charge rates payable for specified purposes.  The operative charge rate may be set by regulation provided it does not exceed the maximum rate.

 

Clause 4:          Rate of charges - lambs

 

This clause sets the operative and maximum charge rates payable for specified purposes.  The operative charge rate may be set by regulation provided it does not exceed the maximum rate.

 

Clause 5:          Rate of charges - goats

 

This clause sets the operative and maximum charge rates payable for specified purposes.  The operative charge rate may be set by regulation provided it does not exceed the maximum rate.

 

Clause 6:          Who pays the charge

 

This clause defines who is liable to pay the charge.  It provides that the exporter is liable to pay the charge.

 

Clause 7:          Regulations

 

This clause requires the Minister to take into consideration any relevant recommendation made by a declared industry organisation before the Governor-General makes regulations concerning the rate of charge.

 

Clause 8:          Transitional - regulations

 

This clause provides that regulations made under the Live-stock (Exporters) Export Charge Act 1998 in respect of a particular provision in that Act, and which are in force immediately before the commencement of this clause, continue to have effect as if they had been made for the purposes of the corresponding provision in this Schedule.

 

The intention of this clause is to ensure the continued application of existing regulations made under the Live-stock (Exporters) Export Charge Act 1998 where appropriate.

 

Clause 9:          Transitional - declarations

 

This clause provides that declarations made under the Live-stock (Exporters) Export Charge Act 1998 in respect of a particular provision in that Act, and which are in force immediately before the commencement of this clause, continue to have effect as if they had been made for the purposes of the corresponding provision in this Schedule.

 

The intention of this clause is to ensure the continued application of existing declarations made under the Live-stock (Exporters) Export Charge Act 1998 where appropriate.

 

Clause 10:        Transitional - authorisations

 

This clause provides that authorisations made under the Live-stock (Exporters) Export Charge Act 1998 in respect of a particular provision in that Act, and which are in force immediately before the commencement of this clause, continue to have effect as if they had been made for the purposes of the corresponding provision in this Schedule.

 

The intention of this clause is to ensure the continued application of existing authorisations made under the Live-stock (Exporters) Export Charge Act 1998 where appropriate.



Schedule 12 - Live-stock (producers)

 

OUTLINE

 

The purpose of this Schedule is to provide for the imposition of a charge on sheep, lamb and goat producers on the export of sheep, lambs and goats from Australia.  The charge is only payable if a levy under Schedule 18 to the Primary Industries (Excise) Levies Act 1998 has not been paid, and is not payable.  The Schedule will replace the provisions for the imposition of a charge contained in the Live-stock (Producers) Export Charge Act 1997 and will not impose any new or additional charge.  The Live-stock (Producers) Export Charge Act 1997 will be repealed on the same day as the Act commences.

 

The Schedule allows for the operative charge rate to be increased or decreased by the Governor-General by regulation on the advice of the Minister.  The Minister must consider any relevant recommendations on rates of charge made by the relevant industry organisation being a body specified in a declaration by the Minister published in the Gazette .

 

While the operative charge rate can be varied by regulation, it cannot be increased beyond the maximum charge rate.  The maximum levy rate can only be changed by amending the Primary Industries (Customs) Charges Act 1998 .

 



NOTES ON CLAUSES

 

Clause 1:          Definitions

 

This clause defines lamb, live-stock, marketing body, research body and sheep for the purposes of this Schedule.

 

Clause 2:          Imposition of charge

 

This clause imposes charges on the export of sheep, lamb and goats where they were purchased by the exporter a specified period before export, or where a charge is not imposed under Schedule 18 to the Primary Industries (Excise) levies Act 1998 , or under the repealed Live-stock Transaction Levy Act 1997 .

 

Clause 3:          Rates of charges - sheep

 

This clause sets the maximum rates of charge payable in respect of each component on the export of sheep, lambs and goats.  The operative charge rates may be set by regulation provided they do not exceed the maximum rates.

 

Clause 4:          Rates of charges - lambs

 

This clause sets the maximum rates of charge payable in respect of each component on the export of sheep, lambs and goats.  The operative charge rates may be set by regulation provided they do not exceed the maximum rates.

 

Clause 5:          Rates if charges - goats

 

This clause sets the maximum rates of charge payable in respect of each component on the export of sheep, lambs and goats.  The operative charge rates may be set by regulation provided they do not exceed the maximum rates.

 

Clause 6:          Who pays the charge

 

This clause defines who is liable to pay the charge.  It provides that the producer of the live-stock is liable to pay the charge.

 

Clause 7:          Regulations

 

This clause requires the Minister to take into consideration any relevant recommendation made by a declared industry organisation before the Governor-General makes regulations concerning the rate of charge.

 

Clause 8:          Transitional - regulations

 

This clause provides that regulations made under the Live-stock (Producers) Export Charge Act 1997 in respect of a particular provision in that Act, and which are in force immediately before the commencement of this clause, continue to have effect as if they had been made for the purposes of the corresponding provision in this Schedule.

 

The intention of this clause is to ensure the continued application of existing regulations made under the Live-stock (Producers) Export Charge Act 1997 where appropriate.

 

Clause 9:          Transitional - declarations

 

This clause provides that declarations made under the Live-stock (Producers) Export Charge Act 1997 in respect of a particular provision in that Act, and which are in force immediately before the commencement of this clause, continue to have effect as if they had been made for the purposes of the corresponding provision in this Schedule.

 

The intention of this clause is to ensure the continued application of existing declarations made under the Live-stock (Producers) Export Charge Act 1997 where appropriate.



Schedule 13 - Wine

 

OUTLINE

 

The purpose of this Schedule is to provide for the imposition of a charge on the export of wine from Australia.  The Schedule will replace the provisions for the imposition of levies contained in the Wine Export Charge Act 1997 and will not impose any new or additional levies.  The Wine Export Charge Act 1997 will be repealed on the same day as the Act commences.

 

The Schedule allows for the operative charge rate to be increased or decreased by the Governor-General by regulation on the advice of the Minister.  The Minister must consider any relevant recommendations on rates of charge made by the relevant industry organisation and the Australian Wine and Brandy Corporation.

 

While the operative charge rate can be varied by regulation, it cannot be increased beyond the maximum charge rate.  The maximum levy rate can only be changed by amending the Primary Industries (Customs) Charges Act 1998 .

 



NOTES ON CLAUSES

 

Clause 1:          Definitions

 

This clause defines the corporation and wine for the purposes of this Schedule.

 

Clause 2:          Imposition of charge

 

This clause imposes a charge on exported wine, unless an exemption as provided for in this clause applies to the exporter or the product.

 

Clause 3:          Rate of charge

 

This clause provides for the operative charge rate to be worked out in accordance with the regulations.  The operative rate of charge may be increased or decreased by regulation, although the amount of charge prescribed in the regulation cannot exceed the maximum rate set by this clause.

 

Clause 4:          Who pays the charge

 

This clause defines who is liable to pay the charge.  It provides that the wine producer is liable to pay the charge.

 

Clause 5:          Regulations

 

This clause requires the Minister to take into consideration any relevant recommendation made by the Australian Wine and Brandy Corporation and any relevant matter notified under Section 29ZA of the Australian Wine and Brandy Corporation Act 1980 before the Governor-General makes regulations concerning the rate of charge under clause 7(1)(a) of this Schedule.  The Corporation’s recommendation must be endorsed at an annual general meeting within the meaning of the Australian Wine and Brandy Corporation Act 1980 before the Corporation may make this recommendation to the Minister.

 

Clause 6:          Transitional - regulations

 

This clause provides that regulations made under the Wine Export Charge Act 1997 in respect of a particular provision in that Act, and which are in force immediately before the commencement of this clause, continue to have effect as if they had been made for the purposes of the corresponding provision in this Schedule.

 

The intention of this clause is to ensure the continued application of existing regulations made under the Wine Export Charge Act 1997 where appropriate.

.



Schedule 14 - Regulations may impose primary industries charges

 

OUTLINE

 

The purpose of this Schedule is to provide for the imposition of a charge on primary products not presently subject to charge if such a charge is requested of the Commonwealth Government by a majority producers of a particular industry and if the Primary Industry Levy Principles approved by Cabinet in 1996 have all been satisfied.

 

The Schedule allows for the operative charge rate to be increased or decreased by the Governor-General by regulation on the advice of the Minister.  The Minister must accept the recommendations on rates of charge made by designated industry organisations.

 

While the operative charge rate can be varied by regulation, it cannot be increased beyond the maximum chargeable rate.  The maximum levy rate can only be changed by amending the Primary Industries (Customs) Charges Act 1998 .

 



NOTES ON CLAUSES

 

Part 1 - Definitions

 

Clause 1 - Definitions

 

This clause defines animal, animal product, charge, designated body, forest operations, horticultural products, horticulture, plant, plant product, produce of a primary industry and product for the purpose of this Schedule.

 

Part 2 - Regulations may impose levies on primary industry products

 

Clause 2:        Imposition of charge

 

This clause provides for the imposition of a charge on the produce of a primary industry.

 

Clause 3:        Imposition of 2 or more levies

 

This clause provides for the imposition of two or more levies on the produce of a primary industry.

 

Clause 4:        Additional levies

 

This clause provides that Part 2 of this Schedule does not prevent the imposition of a charge on a particular product if another Schedule of this Act applies to this product.

 

Part 3 ¾ Rate of charge

 

Clause 5:        Rate of charge

 

This clause provides that the rate of charge is set out in the regulations.

 

Clause 6:        Composite rate of charge

 

This clause provides for a charge to consist of several components and to be expressed as the sum of those components.

 

Clause 7:        Flexibility in relation to rates of charge

 

This clause provides for different rates of the same charge to be prescribed for different kinds of products.

 

Clause 8:        Maximum rate of charge for animal products

 

This clause sets the maximum charge rate imposed by this Schedule for animal products, whether or not any operations, such as slaughter or processing, have been performed in relation to the products. 

The clause sets the maximum charge rate for animal products at $5.00 per unit, 35 cents per kilogram or 7% of value. 

 

The maximum charge rate can only be changed by amending the Primary Industries (Customs) Charges Act 1998 .

 

Clause 9:        Maximum rate of charge for plant products

 

This clause sets the maximum charge rate imposed by this Schedule for plant products, whether or not any operations, have been performed in relation to the products. 

 

The clause sets the maximum charge rate for plant products at $5.00 per unit or 5% of value. 

 

The maximum charge rate can only be changed by amending the Primary Industries (Customs) Charges Act 1998 .

 

Part 4 ¾ Miscellaneous

 

Clause 10:      Person liable to pay charge

 

This clause defines who is liable to pay the charge.  It provides that the person ascertained in accordance with the regulations is liable to pay the charge.

 

Clause 11:      Exemptions from charge

 

This clause provides for exemptions from charge to be made by regulation.

 

Clause 12:      Designated bodies

 

This clause provides for the Minister to declare an industry organisation to be a designated body in relation to one or more specified products for the purposes of this Schedule.  The declaration must be in writing, comes into force at a time specified in the declaration and has effect accordingly.  The intention of this clause is to allow the Minister to recognise a particular industry organisation as being the representative of that industry for the purpose of consultation with Government in relation to this Schedule.

 

Clause 13:      Regulations

 

This clause requires the Minister to take into consideration any relevant recommendation made by a designated body in relation to a particular product before the Governor-General makes a regulation in relation to the product.  The designated body must consult with other bodies specified in the regulations before making a recommendation to the Minister.

 

The clause also requires that, if there are two or more designated bodies in relation to a particular product, the Minister must take into consideration any relevant recommendation made by these bodies before the Governor-General makes regulations in relation to the product (other than a regulation that has the effect of reducing the rate of charge) so long as each body has make a relevant recommendation and the relevant recommendations are all the same.

 

The purpose of the clause is to allow for consultation with industry before regulations are made for a particular product.  The designated body or bodies for an industry would usually be the peak industry organisation which represents that industry.