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Woolgrowers decide wool levy to be 1.5%

WoolProducers Australia has responded to the announcement of the WoolPoll results today, with growers determining that 1.5% will be the levy paid for the next strategic cycle of wool research, development and marketing.


WoolProducers President Mr Ed Storey said, “Growers have had the opportunity to have their say on what amount of levy they wish to pay for the next three years, and they have comprehensively determined that 1.5% is appropriate.”


WoolProducers decided to advocate for 1.5% after careful consideration of the figures and projected reserves and forecasts provided by Australian Wool Innovation (AWI) in the Voter Information Memorandum (VIM).


“WoolProducers felt that 1.5% provides adequate money for AWI to conduct their current business as well as invest in relevant new areas”.


AWI outlined a number of key areas in which they wish to invest in during their 2% campaign, including R&D for the flystrike vaccine, lobbying the EU for fair labelling laws for wool, shearer and wool handler training, increasing wool’s use and marketing campaigns for the Northern Hemisphere.


“WoolProducers believes that 1.5% will still enable AWI to deliver on these important initiatives on behalf of Australian growers”.


“The reported reserves in this year’s AWI Annual Report of $111 million, including the $35 million discretionary reserve, will mean that industry priority areas can still be served in terms of research, development and marketing.” Mr Storey said.


WoolProducers’ decision to advocate a lower levy was not a protest decision or linked to governance or operational concerns.


WoolProducers also notes that 64% of voters opted to retain the 3-year WoolPoll cycle instead of increasing it to 5 years.


“While WoolProducers recommended an increase in WoolPoll frequency to 5 years in the hope of achieving strategic period alignment with other RDCs, we acknowledge that growers did not feel comfortable with this recommendation and having a shorter strategic period enables flexibility in levy adjustments as needed”. Mr Storey said.


ENDS

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WoolProducers Australia contacts:

Jo Hall, CEO

02 6110 2067

Ed Storey, President

0438 309 500

About WoolProducers’ Australia WoolProducers plays a critical role in working closely with companies and entities funded by woolgrower funds including compulsory levies or fees for service.

Its mission is to develop constructive and profitable outcomes for woolgrowers nationally.

The agency is responsible for appointing a director to each of the Australian Wool Exchange and the Australia Wool Testing Authority, promoting good corporate governance and ensuring that the interests of growers are met.

WoolProducers maintains a working relationship with Australian Wool Innovation as the voice of woolgrower shareholders. It aims to contribute to AWI’s programs for the benefit of growers, promoting responsible use of levy funds and ensuring good corporate governance.


WoolProducers is the sole wool industry member of Animal Health Australia, and as such, carries a significant responsibility for decision making on behalf of the industry in the event of an emergency animal disease outbreak.


As the only wool grower organisation with membership of the National Farmers’ Federation, WoolProducers is responsible for providing key policy advice on behalf of our members, and other wool growers, to Australia’s peak farm body.


WoolProducers also works closely with the Federal Government Departments on key issues such as animal health and welfare, biosecurity, pest management control, natural resource management, drought preparedness, emergency animal disease outbreak preparedness and industry development, including research, trade and logistics.