Creating more opportunities for co-investment and building greater accountability are just two key drivers behind the transition to a new model for delivery of the sheep and cattle industry funds.
The Cattle Industry Fund and Sheep Industry Fund, previously administered by the State Government on advice from centrally-appointed advisory groups, will transition to peak industry body Livestock SA.
Minister for Primary Industries and Regional Development Tim Whetstone said the livestock industry has driven a proposal to change management of the fund to gain greater benefit for the sector.
"This new process has been recommended by industry and will see the responsibility for recommending expenditure of the Sheep Industry Fund and Cattle Industry Fund under the Primary Industry Funding Schemes Act 1998, as well as the responsibility for disbursing these funds accordingly, fall under peak industry body Livestock SA," said Minister Whetstone.
"The SA Sheep Advisory Group and SA Cattle Advisory Group have served both industry and government well in providing advice on expenditure of farmers' funds but it is now appropriate for the democratic farmer-run Livestock SA to take on this role.
"This new arrangement will benefit all Sheep and Cattle Industry Fund contributors as it places more responsibility directly with the industry body who represents sheep and cattle producers and will ensure greater accountability as to how industry funds are spent.
"This new process will open the door for greater industry investment in the state's $4.3 billion livestock industry, and brings the process in line with industry funds management in other sectors."
Livestock SA President Joe Keynes said the transition was a positive step forward for the industry.
"As the representing body for the sheep and cattle industry in South Australia, it makes sense for Livestock SA to have accountability for the industry," said Mr Keynes.
"Livestock SA will work in conjunction with the SA Dairyfarmers' Association to ensure all cattle producers are represented as part of the Cattle Industry Fund.
"It's great to have our feedback and recommendations on the management of these funds heard. I welcome this change and the benefits this new process will bring to help make the most of producers' investment in the fund."
The new process will see Livestock SA establish three subcommittees: a selection committee to make recommendations regarding membership and cattle and sheep industry fund boards to recommend expenditure of the funds.
Livestock SA will make recommendations to the Minister for Primary Industries and Regional Development for approval. For the Cattle Industry Fund, Livestock SA will work in conjunction with the SA Dairyfarmers' Association to ensure all cattle producers are represented in setting expenditure priorities.
"This is another way the Marshall Liberal Government is strengthening the farming sector in South Australia," said Minister Whetstone.
The transition, including regulatory changes, will occur during the 2019–20 financial year.