Ahead of today's National Cabinet meeting, the National Farmers' Federation is urging the Federal Government to deliver three key outcomes as the situation continues to escalate:
- An agriculture-specific plan to secure fuel supply for farmers and fishers, including clear 'trigger points' for government action to safeguard food production in both the short and medium term.
- Clear direction on fertiliser supply into the medium term, including the establishment of a dedicated fertiliser roundtable and the Government underwriting the purchase of fertiliser by the private sector, as it has does for fuel.
- Targeted small business support for those across the supply chain facing acute financial pressure.
NFF President Hamish McIntyre said the sector was already feeling the impact on the ground.
"Farmers are making tough calls right now, including rationing fuel, delaying operations, and in some cases weighing up whether they can plant or harvest at all," Mr McIntyre said.
"Growers are deciding whether they can afford to buy fertiliser, fuel the tractor and sow a crop. Many will need to make that call before Anzac Day, and some in horticulture are already there. Without certainty on fuel and fertiliser, some will scale back, and that has real consequences for food production and prices."
The NFF last week met with the Treasurer to raise the extreme solvency challenges, with some parts of the supply chain under extreme financial strain.
"Government must consider all options, including temporary tax relief and targeted support measures, to keep businesses operating through this period."
Mr McIntyre said the situation was being driven by both availability and cost pressures, with farmers having little capacity to absorb further increases.
"Farming is always a gamble, but right now too much is out of farmers' control. Our reliance on imported inputs is again being exposed, and it's putting farm businesses under serious strain."
The NFF said National Cabinet must prioritise practical, immediate action.
"We need a clear plan for agriculture now, not just broad measures. Farmers and fishers must be front of mind in decisions about fuel supply, distribution and pricing," Mr McIntyre said.
"If conditions worsen and emergency powers are considered, maintaining food production must be treated as a national priority.
"And if conditions worsen and emergency powers are considered, maintaining food production must be treated as a national priority.
"At the end of the day, if farmers can't access fuel and fertiliser, they can't produce food. It's as simple as that."