Commonwealth Numbered Regulations - Explanatory Statements

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PRIMARY INDUSTRIES LEVIES AND CHARGES (NATIONAL RESIDUE SURVEY LEVIES) AMENDMENT REGULATIONS 2000 (NO. 3) 2000 NO. 285

STATUTORY RULES 2000 No. 285

Issued by Authority of the Parliamentary Secretary to the Minister for Agriculture, Fisheries and Forestry

National Residue Survey (Excise) Levy Act 1998

Primary Industries Levies and Charges (National Residue Survey Levies) Amendment Regulations 2000 (No. 3)

Section 8 of the National Residue Survey (Excise) Levy Act 1998 provides that the Governor-General may make regulations prescribing matters required or permitted to be prescribed by the Act, or necessary or convenient to be prescribed for carrying out or giving effect to the Act.

The purpose of the regulations is to increase the National Residue Survey Levy on horses slaughtered for human consumption from $2.50 per head to $4.20 per head.

The National Residue Survey implements chemical residue monitoring programs and recovers the costs of the programs from participating industries. These programs form the basis for documentation that enables the Australian Government to certify that raw food products bound for export and domestic consumption are free from significant chemical contamination.

The horse meat for human consumption program's finances have been directly affected by a drop in throughput numbers and the inclusion of testing for a banned growth promotant (Trenbolone) in the monitoring program.

There are only two companies involved in the slaughter of horses for human consumption and both service the niche horsemeat for human consumption markets in the European Union, mainly in France and Belgium.

Industry sources advise that throughput numbers are unlikely to rise in the short to medium term due to the lower prices being offered for surplus domestic horses and the prohibitive costs now involved in the capture and transport of feral horses under new animal welfare requirements.

The regulations to increase the horse slaughter levy rate will commence on 1 November 2000. The levy is the preferred mechanism by which the horse meat industry chooses to meet the cost of its compulsory residue monitoring program that gives horse meat access to international markets.