Friday, 23 January 2015 12:48

Government assistance for drought not a hand out

Written by 
Katie Milne, Federated Farmers adverse events spokesperson Katie Milne, Federated Farmers adverse events spokesperson

Federated Farmers believes that if the government made a medium-scale adverse event declaration for some South Island provinces, it would give support to famers, which is more emotional than financial.

 "Adverse event declarations don't make rainfall, but they do put a label on a serious situation, providing some comfort and support to affected farmers," says Katie Milne, Federated Farmers adverse events spokesperson.

"While the drought, in some parts of the country, has some farmers calling for a drought declaration, it has sparked questions in the media of whether farmers should be getting what is termed 'hand-outs' from the government. It needs to be clarified what exactly a drought declaration means."

The government goes through a rigorous process to classify a medium-scale adverse event. This includes assessing the options available for farmers based on their ability to prepare for the event, the likelihood and scale of the physical impact, and the ability of the local community to cope both socially and economically to such and event. Milne says that with nearly all parts of Canterbury, Marlborough, and North Otago already in drought and most parts of the country drier than usual according to NIWA soil moisture maps, classifying the event allows the government to decide what support and recovery measures are needed.

"If the government declares a medium-scale adverse event, much of the support made available to affected farmers will be similar to the support made to any business or family in adversity. In this case, a Rural Assistance Payment programme is activated, which farmers are able to apply for. If successful it assists them with essential living costs, such as feeding their family and getting them to school."

According to Milne, qualifying for this assistance is not easy. The 2013 drought affected an estimated 20,000 plus farmers, yet only 146 farmers qualified for the Rural Assistance Payment. The payment, which is only available at the time of the event, is the equivalent to the current rate of jobseeker support says Milne.

"What means the most to farmers is the supporting information put out by industry bodies, the ability to delay tax payments, and the activation of the Rural Support Trust, which are already in action. We don't need a medium-scale adverse event declaration to know we need to be providing support and neither do the banks, which have already opened up other avenues of providing funding to tide farmers over."

Federated Farmers and the Rural Support Trust are meeting with the Ministry for Primary Industries at the end of the month, to update them on the situation.

Milne finished by saying "If there are farm and non-farm businesses out there who are struggling, I encourage you to talk to your accountant, bank, and farm advisor if you have one. It is time to make the big calls before it's too late."

More like this

2015 what a year!

The end of the year is fast approaching so some end of year thoughts on a few of the significant developments of the year to wrap things up!

Ewes give landslide the slip

It was a Saturday afternoon and it had been raining for two days; Taranaki farmer Graham Fergus decided to move his ewes on a hilly paddock.

Featured

NZEI unhappy with funding cut for teachers

Education union NZEI Te Riu Roa says that while educators will support the Government’s investment in learning support, they’re likely to be disappointed that it has been paid for by defunding expert teachers.

EU regulations unfairly threaten $200m exports

A European Union regulation ensuring that the products its citizens consume do not contribute to deforestation or forest degradation worldwide threatens $200m of New Zealand beef and leather exports.

Bionic Plus back on vet clinic shelves

A long-acting, controlled- release capsule designed to protect ewes from internal parasites during the lambing period is back on the market following a comprehensive reassessment.

National

Machinery & Products

New Holland combines crack 50 years

New Holland is celebrating the 50th anniversary of the introduction its Twin Rotor threshing and separation technology, which has evolved…

Iconic TPW Woolpress turns 50!

The company behind the iconic TPW Woolpress, which fundamentally changed the way wool is baled in Australia and New Zealand,…

» Latest Print Issues Online

The Hound

Double standards

OPINION: Imagine if the Hound had called the Minister of Finance the 'c-word' and accused her of "girl math".

Debt monster

OPINION: It's good news that Finance Minister Nicola Willis has slashed $1.1 billion from new spending, citing "a seismic global…

» Connect with Rural News

» eNewsletter

Subscribe to our weekly newsletter