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The statutory onion levy is money gathered from growers across Australia to fund research and development (R&D) projects with the objective to improve efficiency, product quality, sustainability. Research and Development also includes advancing communication networks such as this website.
The levy has recently changed, with new legislation coming into effect from July 1, 2014.
The levy is payable on all commercially grown onions. It is calculated on a per tonne basis. The previous R&D levy was set at $1.60 per tonne. The levy is collected for either the domestic or export markets. There was a separate National Residue Survey Levy (NRS) or .40cents per tonne collected at the same time as R&D.
The new levy has a R&D component of $2.90, with $0.10 for a Plant Health Australia levy, and $1.00 for marketing. There is also an Emergency Pest Plant Response levy set at $0.00.
The levy is collected from the grower at the first point of sale by the Levies Revenue Service (LRS). This is usually at a wholesale market or processing company. During 2011 Onions Australia reviewed these current levy arrangements. A vote on changes to the statutory levy will take place in May 2011. To read more download the Overview or Full documents by clicking over the highlighted areas.
Horticulture Innovation Australia Limited (HIAL) is responsible for managing industry funds and the Australian Government matches the levy dollar-for-dollar.