The Victoria Government has updated their On-Farm Drought Resilience Grant Program for Victorian farmers.

A grant of $10,000 (up from $5,000) per farm business is now available to assist eligible farm businesses.

Eligible farm businesses can now apply for the following;

• Up to $5,000 for business decision making activites.
• Up to $5,000 for infrastructure investments.

What local government areas are covered in the scheme?

• Wellington and East Gippsland
• Far North West Victoria – Millewa
• Goulburn Murray Irrigation District

What if I have already received an On-Farm Drought Resilience Grant?

Farmers who have already received the On-Farm Drought Resilience Grant can reapply for a further funding top up that totals $5,000 for business decision making activites and $5,000 for infrastructure investments.

What are the details of eligible activities covered under the grant?

Business Decision making activities

These activities will help manage drought conditions, reposition the farm business, improve on-farm practices or make significant business changes. To be eligible the activity must be purchased and undetaken on or after 2 October 2019.

The following activites are covered;

• Prepare, review or update strategic business plans
• Undertake a whole farm plan
• Undertake business risk assessment
• Engage agronomic services for the purpose of converting the farm to be more drought resilient (e.g. pasture restoration or improvement plan, feed budgets for drought, managing soils)
• Undertake business benchmarking
• Undertake financial management assessment and planning
• Undertake succession planning

Infrastructure Investment

These investments will improve drought preparedness and better position the farm business into the future. The activities must be purchased and undertaken on or after 2 October 2019.

Improvements include the following;

• Items to construct a new or upgrade an existing Stock Containment Area (SCA) – such as fencing, gates, troughs, piping, tanks, pumps and livestock feeders. SCAs have specific design and siting requirements that must be met.
• Reticulated water systems using pumps, piping, tanks and troughs for livestock
• Irrigation system upgrades (e.g. automated systems, irrigation pumps)
• Drilling of new stock water bores and associated power supply such as generators or desalination plants
• Desilting works of existing stock and domestic dams
• Farm development to improve drought management efficiencies to farm production systems (e.g. soil moisture monitoring, weather stations, telemetry sensor equipment)
• Adoption of reduced tillage practices, including purchase and/or modification of equipment
• Grain and fodder storage (e.g. silos, silage bunkers, hay sheds)
• Internal re-fencing to better match property layout with land capability
• Fencing for the exclusion of wildlife to protect and manage crops and pastures
• Pasture restoration (e.g. associated seed and fertiliser costs)
• Establishment of ground cover (e.g. fodder crops) as a remedial action before pastures can be established
• Addition of shelter belts for shade, wind breaks and erosion control
• Upgrading of areas (e.g. laneway upgrades, repairs or expansion) to deliver lasting benefits directly linked to productivity and profitability
• Feeding system upgrades (e.g. feed pads or feed troughs)
• Improving waste water and effluent management systems
• Permanent milk vat upgrades (e.g. electronics)
• Adoption of precision farming techniques (e.g. auto-steer tramlining, yield mapping and weed-seeker technology)
• Mechanical seeding (e.g. hire or purchase of seeding machines, roller).
• Items to improve mobile phone connectivity, such as permissible antennas and mobile phone repeaters, to support farmers to access internet-based information and support services.
• Weed control, such as purchase of registered herbicide, to support maintenance of healthy pastures and to protect environmental assets.
• Soil moisture probes as an explicit investment under soil moisture monitoring activities.

The details of the Government’s 1 billion dollar drought plan aren’t available yet but the following loans are available to farmers.

Farm Innovation Fund – NSW Residents Only

• Borrow up to a maximum of $1mil to build on farm infrastructure
• Interest rate 2.5%
• Term is up to 20 years.
• Security: Statutory Charge and registered caveat over the property.

https://www.raa.nsw.gov.au/loans/farm-innovation-fund

Drought Assistance Fund – NSW Residents Only

• Up to $50k interest free loan.
• Transport of livestock, fodder or water
• Water and fodder infrastructure
• Activities which promote profitability and resilience
• Term: two years repayment free from the date loan is drawn down and then up to five years of principle only repayments
• Security: Statutory Charge and registered caveat over the property.

https://www.raa.nsw.gov.au/loans/drought-assistance-fund

Drought Loan with Regional Investment Corporation (RIC)

• Up to $2mil for refinancing (restructuring existing debt), accessing new debt for operation expenses and capital expenditure.
• Interest rate: 3.11% variable rate
• Term: 10 years – first 5 years interest only, then principal and interest for the remainder of the 10 year term.

https://www.ric.gov.au/sites/default/files/SiteCollectionDocuments/drought-loan-guidelines.pdf

On-Farm Emergency Water Infrastructure Rebate Scheme

A rebate is available to drought affected farmers who invest, or have invested since 1st July 2018, in urgently-needed on-farm water infrastructure that addresses animal welfare needs and improves resilience to drought. The scheme provides a one off 25 per cent rebate up to $25,000 to eligible primary producers.

Eligible water infrastructure includes:

• Pipes
• Water storage devices such as tanks and troughs associated with stock watering
• Water pumps
• Permanent repairs to fixed infrastructure (e.g. repair piping)
• Drilling of new stock water bores and associated power supply such as generators, desalination plants
• Desilting works of existing stock and domestic dams, where you can demonstrate that area of the property does not have access to suitable groundwater
• Other materials or equipment necessary to install the above excluding purchase of machinery
• Any freight component to purchase and install the equipment
• The professional installation costs to install the water infrastructure.

The Scheme is available for the purchase and installation of emergency water infrastructure for livestock located in the following local Government Areas:

Alpine, Benalla, Buloke, Campaspe, East Gippsland, Gannawarra, Greater Bendigo, Greater Shepparton, Hindmarsh, Horsham, Indigo, Loddon, Mildura, Moira, Northern Grampians, Strathbogie, Swan Hill, Towong, Wangaratta, Wellington, Wodonga, Yarriambiack.

Export Market Development Grants (EMDG)

The EMDG scheme is a key Australian Government financial assistance program for aspiring and current exporters. The Scheme encourages small- and medium-sized Australian businesses to develop export markets and reimburses up to 50 per cent of eligible export promotion expenses above $5,000 provided that the total expenses are at least $15,000.