Originally published by Matthew Denholm of The Australian
06.03.2026
Fresh food industries are in revolt over 40 per cent increases in regulatory fees, accusing the Albanese government of “taxing” exports and warning some trade will cease as a result.
The government is transitioning to fully recover the cost of export regulation services – documentation, assessments, inspections and audits – which have soared 44 per cent in five years.
Key export industries – including meat, seafood, grain, dairy, and fruit and vegetables – are pleading with Canberra to reconsider, ahead of the expiry of a March 20 consultation deadline.
They warn some exporters – already struggling with increased tariffs and rising fuel, fertiliser and other input costs – will cease exports due to the impact of the hikes on their margins.
The Coalition will next week move in the Senate to demand modelling on the fees and is backing industry calls for an audit of the services provided by the Department of Agriculture, Fisheries and Forestry. Concerned they are being forced to pay for inefficiency, Australia’s meat industry is also calling for consideration of privatising the export services along a European model.
“It’s hundreds of thousands of dollars (in extra costs) for our business,” Tom Maguire, group general manager at beef producer Greenham, told The Australian.
“When all of these costs are piled up together they are inflationary. That’s what I don’t think this government understands.
“You put a cost on business and that’s either going to impact cattle producers in terms of how much we can pay them or it results in higher prices.”
The Australian Meat Industry Council says the industry is bracing for a 38 per cent increase in export regulatory services from $92m in 2025-26 to $127m in 2029-30.
“Between 2021 and 2024-25, their (DAFF’s) expenses have gone up 44 per cent and inflation has gone up 16 per cent in that time, so something is amiss – and we want to get to the bottom of it,” said Mr Maguire, who is also AMIC chair.
“In business, if we think a service is too expensive, we go get another one. We can’t in this case, because it’s a monopoly service and we’re required to have it to supply international markets. It’s effectively a tax.”
Competitors in South America had the services largely provided free by their governments, the US charged its producers for only some services, and in Europe exporters could “shop around” for them.
The AUSVEG industry body told The Australian that some vegetable exports might no longer be viable under full-cost recovery.
“Relative to many competitor countries, Australia’s production costs are already high, and even what the government may consider a modest fee increase will diminish the competitiveness of Australian vegetables in international markets,” said AUSVEG chief executive Michael Coote.
“An exporting grower’s margin on an entire container of onions may be as little $500-$1000, so even an additional $100 charge could see 20 per cent of that margin go.
“For an exporter of leafy salad produce, the expense and logistics of necessary airfreight may no longer stack up, with broccoli and asparagus exports also potentially affected.”
The National Farmers Federation is calling for a rethink. “The timing of these changes is very challenging,” NFF president Hamish McIntyre told The Australian.
“In a period of global uncertainty, with US tariffs and the conflict in the Middle East set to push fuel and fertiliser costs sky high, adding higher export charges only increases the pressure on margins throughout the value chain.”
The services were essential but “often inefficient, complex and cumbersome”.
“Members have also raised concerns about export cost recovery … being used to support the broader departmental cost base,” Mr McIntyre said.
“We’re asking the government to carefully consider the impact on exporters and producers, to ensure changes don’t erode competitiveness of Australian agriculture in export markets at a time when we can least afford to do so.”
Agriculture Minister Julie Collins, who held talks on the issue with some exporters this week, defended the move to full-cost recovery.
“We are working with the agriculture industry on the phased transition to full-cost recovery for export regulatory services, ensuring we can continue to export more of our world-class food and fibre, and meet importing country requirements,” Ms Collins told The Australian.
The government insists fees levied on industries for export services do not fund broader departmental work and that only the minimum necessary is charged. It argues consultation has been extensive.
Coalition agriculture spokesman and Nationals leader David Littleproud backed an independent audit and flagged a move in the Senate to force the production of modelling and other documentation on cost blowouts.
“It is very concerning that the Albanese Labor government has allowed the department’s costs to provide export services to blow out – and now expects the agricultural industry to pay,” Mr Littleproud told The Australian.
“Increases … will have a significant impact on Australian exporters, businesses and farmers. The ruler needs running over this.”
