Commonwealth Consolidated Acts

DAIRY ADJUSTMENT ACT 1974 - SECT 16

             (1)  The arrangements may provide for the making of loans by the State or an authority of the State to the owners of dairy factories, being loans for the purpose of meeting, in the case of a particular factory, the whole or a part of the costs incurred by the owner of the factory after 1 July 1974 in connexion with any alterations (including structural alterations) made, vehicles purchased and plant and equipment purchased and installed after that date, being alterations, vehicles, plant and equipment:

                     (a)  that were required to provide adequate facilities:

                              (i)  for the supply of wholemilk as refrigerated bulk milk to the factory; or

                             (ii)  for the receipt, storage or processing of the wholemilk at the factory;

                            in consequence of suppliers of wholemilk to the factory having recently commenced, whether before or after the commencement of this Act, to supply wholemilk to the factory as refrigerated bulk milk; or

                     (b)  that the State Minister concerned or the authority of the State is satisfied are required to provide adequate facilities of a kind specified in paragraph (a) for the purpose of enabling suppliers of wholemilk to the factory to commence to supply wholemilk to the factory as refrigerated bulk milk.

             (2)  Where the arrangements make provision in accordance with subsection (1), the arrangements shall further provide that assistance for alterations, plant and equipment for the processing of wholemilk shall be given, in the case of a particular dairy factory, only with respect to alterations, plant and equipment required, in accordance with that subsection, for the processing of wholemilk so supplied preparatory to the manufacture of any product derived from the wholemilk, unless the giving of the assistance is approved by:

                     (a)  the Minister or a person authorized by the Minister for the purpose; and

                     (b)  the State Minister concerned.

             (3)  Where the arrangements make provision in accordance with subsection (1), the arrangements shall further provide that the assistance specified in that subsection shall not be given unless the State is satisfied that the owner to be assisted has been unable to obtain a loan on reasonable terms from normal financial sources for the purposes for which the assistance is to be given.

             (4)  In this section, a reference to the processing of wholemilk includes a reference to:

                     (a)  cooling, testing, grading or pasteurising wholemilk or treating wholemilk in any other manner;

                     (b)  putting wholemilk into bottles, cartons or other containers; and

                     (c)  the manufacture of any product derived from wholemilk.