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This is a Bill, not an Act. For current law, see the Acts databases.
Queensland
DAIRY INDUSTRY
AMENDMENT BILL 1998
Queensland
DAIRY INDUSTRY AMENDMENT BILL
1998
TABLE OF PROVISIONS
Section Page
1 Short title . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4
2 Commencement . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4
3 Act amended . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4
4 Amendment of s 3 (Definitions) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4
5 Amendment of s 12 (Functions of the authority) . . . . . . . . . . . . . . . . . . . . . 5
6 Amendment of s 13 (General powers of the authority) . . . . . . . . . . . . . . . . . 5
7 Replacement of ss 16A16J . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6
16A Authority is statutory body under the Financial
Administration and Audit Act 1977 . . . . . . . . . . . . . . . . . . . . . . . . . . 6
16B Authority is statutory body under the Statutory Bodies
Financial Arrangements Act 1982 . . . . . . . . . . . . . . . . . . . . . . . . . . . 6
8 Amendment of s 28 (Price fixing) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6
9 Insertion of new s 28A . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7
28A Specific authorisation for making pricing orders and
imposing pricing conditions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7
10 Amendment of s 29 (Obligation to comply with order) . . . . . . . . . . . . . . . . 7
11 Insertion of new ss 29A and 29B . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8
29A Specific authorisation for things done because of pricing orders . . . 8
29B Expiry of div 1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9
12 Amendment of s 38 (Classes of licences) . . . . . . . . . . . . . . . . . . . . . . . . . . . 9
13 Insertion of new s 40A . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9
40A Specific authorisation of non-competitive conditions . . . . . . . . . . . . 9
14 Omission of s 42 (Special trading rights for processors' licences) . . . . . . . 10
2
Dairy Industry Amendment
15 Amendment of s 45 (Offences related to licences) . . . . . . . . . . . . . . . . . . . 10
16 Omission of s 46 (Expiry of licensing provisions) . . . . . . . . . . . . . . . . . . . . . 10
17 Omission of pt 3, div 5 (Restructuring of distribution) . . . . . . . . . . . . . . . . . 10
18 Omission of s 48 (Application of this division) . . . . . . . . . . . . . . . . . . . . . . . 10
19 Amendment of s 49 (Market milk entitlements) . . . . . . . . . . . . . . . . . . . . . . 10
20 Amendment of s 50 (Transactions affecting entitlement) . . . . . . . . . . . . . . 10
21 Amendment of s 52 (Supply management schemes and market
milk access) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11
22 Replacement of s 53 (Annual review of market milk consumption) . . . . . . 11
53 Amount of each class of market milk supplied . . . . . . . . . . . . . . . . . 11
53A Determination of monthly adjustments of market milk sales . . . . . . 12
53B Specific authorisation for monthly adjustments of market
milk sales . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14
23 Amendment of s 56 (Gazettal of entitlements etc.) . . . . . . . . . . . . . . . . . . . 14
24 Insertion of new s 56A . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14
56A Expiry of div 6 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14
25 Amendment of s 61 (Testing and analysis) . . . . . . . . . . . . . . . . . . . . . . . . . . 14
26 Amendment of s 106 (Appeals to the tribunal) . . . . . . . . . . . . . . . . . . . . . . . 14
27 Amendment of s 107A (Stay of operation of order etc.) . . . . . . . . . . . . . . . . 15
28 Amendment of s 107B (Powers of tribunal on appeal) . . . . . . . . . . . . . . . . . 15
29 Insertion of new s 115 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15
115 Numbering and renumbering of Act . . . . . . . . . . . . . . . . . . . . . . . . . . 15
30 Replacement of s 116 (Sections 16D and 16E subject to order
under s 47) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15
116 Grant of new market milk entitlements . . . . . . . . . . . . . . . . . . . . . . . 16
117 Gazettal of all market milk entitlements . . . . . . . . . . . . . . . . . . . . . . 17
31 Insertion of new s 120 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17
120 Expiry of pt 8 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17
1998
A BILL
FOR
An Act to amend the Dairy Industry Act 1993
s1 4 s4
Dairy Industry Amendment
The Parliament of Queensland enacts-- 1
title 2
Short
Clause 1. This Act may be cited as the Dairy Industry Amendment Act 1998. 3
4
Commencement
Clause 2.(1) Sections 3, 4(2), 7 and 30 commence on assent. 5
(2) The remaining provisions of this Act commence on 1 January 1999. 6
amended 7
Act
Clause 3. This Act amends the Dairy Industry Act 1993. 8
of s 3 (Definitions) 9
Amendment
Clause 4.(1) Section 3, definitions "carrier", "farmgate price", "lease", "milk 10
run", "rent" and "vendor"-- 11
omit. 12
(2) Section 3, definitions "financial arrangements" and "revenue"-- 13
omit. 14
(3) Section 3-- 15
insert-- 16
s5 5 s6
Dairy Industry Amendment
` "competition legislation" means the Trade Practices Act 1974 (Cwlth), 1
section 51(1)(b),1 or section 512 of the Competition Code of 2
Queensland.3 3
"pricing order" see section 28(1).'. 4
(4) Section 3, definition "processor", from `but does'-- 5
omit. 6
of s 12 (Functions of the authority) 7
Amendment
Clause 5.(1) Section 12(c), `system'-- 8
omit, insert-- 9
`scheme'. 10
(2) Section 12(e), `, distribution'-- 11
omit. 12
of s 13 (General powers of the authority) 13
Amendment
Clause 6. Section 13-- 14
insert-- 15
`(2A) Without limiting subsection (2), the authority may, under the 16
subsection, require a processor to give it a certificate by an independent 17
auditor verifying the processor's returns about market milk sales.'. 18
1 Trade Practices Act 1974 (Cwlth), section 51 (Exceptions)
2 Section 51 states that in deciding whether a person has contravened the
Competition Code, Part IV, certain things must be disregarded. Section 51 of
the Code provides that the following must be disregarded--
(a) ...
(b) anything done in a State, if the thing is specified in, and specifically
authorised by:
(i) an Act passed by the Parliament of that State.
3 The Code applies as a law of Queensland under the Competition Policy Reform
(Queensland) Act 1996, part 2.
s7 6 s8
Dairy Industry Amendment
of ss 16A16J 1
Replacement
Clause 7. Sections 16A to 16J-- 2
omit, insert-- 3
is statutory body under the Financial Administration and 4
`Authority
Audit Act 1977 5
`16A. To remove any doubt, it is declared that the authority is a statutory 6
body under the Financial Administration and Audit Act 1977. 7
is statutory body under the Statutory Bodies Financial 8
`Authority
Arrangements Act 1982 9
`16B.(1) Under the Statutory Bodies Financial Arrangements Act 1982, 10
the authority is a statutory body. 11
`(2) The Statutory Bodies Financial Arrangements Act 1982, part 2B4 12
sets out the way in which the authority's powers under this Act are affected 13
by the Statutory Bodies Financial Arrangements Act 1982.'. 14
of s 28 (Price fixing) 15
Amendment
Clause 8.(1) Section 28(1)-- 16
omit, insert-- 17
`28.(1) If the Minister approves, the authority may, by written order (a 18
"pricing order"), fix the minimum price to be paid by a processor for the 19
purchase of milk from a producer or another processor for processing as 20
market milk.'. 21
(2) Section 28(2) and (3)-- 22
omit, insert-- 23
`(2) A pricing order may-- 24
(a) apply generally to all transactions involving the purchase of milk 25
or to a class of the transactions stated in the order; or 26
4 Statutory Bodies Financial Arrangements Act 1982, part 2B (Powers under this
Act and relationship with other Acts)
s9 7 s 10
Dairy Industry Amendment
(b) fix different prices that vary according to the composition, grade 1
or quality of milk; or 2
(c) apply generally irrespective of the circumstances in which the 3
transactions take place, or be limited to circumstances described 4
in the order.'. 5
(3) Section 28(4), from `An' to `to the authority'-- 6
omit, insert-- 7
`A pricing order may be made on condition that a specified proportion of 8
the minimum price fixed under the order, be paid by a processor to the 9
authority'. 10
(4) Section 28(4)(b), from `market milk' to `a supply'-- 11
omit, insert-- 12
`milk under the supply'. 13
(5) Section 28(6) to (8)-- 14
omit, insert-- 15
`(6) A pricing order is subordinate legislation.'. 16
of new s 28A 17
Insertion
Clause 9. After section 28-- 18
insert-- 19
authorisation for making pricing orders and imposing 20
`Specific
pricing conditions 21
`28A. The following things are specifically authorised for the 22
competition legislation-- 23
(a) the making of a pricing order; 24
(b) the imposition of a condition under section 28(4)(a) on the 25
making of a pricing order.'. 26
of s 29 (Obligation to comply with order) 27
Amendment
Clause 10.(1) Section 29, heading-- 28
s 11 8 s 11
Dairy Industry Amendment
omit, insert-- 1
`Obligation to comply with pricing order'. 2
(2) Section 29(1)-- 3
omit, insert-- 4
`29.(1) A producer or processor must not receive or pay a price for milk, 5
for processing as market milk, that is less than the price fixed under a 6
pricing order. 7
Maximum penalty--180 penalty units.'. 8
(3) Section 29(2) and (3), `farmgate' to `division'-- 9
omit, insert-- 10
`minimum price fixed under a pricing order'. 11
(4) Section 29(3), after `the milk'-- 12
insert-- 13
`used to produce the market milk'. 14
of new ss 29A and 29B 15
Insertion
Clause 11. After section 29-- 16
insert-- 17
authorisation for things done because of pricing orders 18
`Specific
`29A. The following things are specifically authorised for the 19
competition legislation-- 20
(a) the payment by a processor to a producer or another processor of 21
the minimum price fixed for market milk under a pricing order; 22
(b) the receipt by a producer from a processor of the minimum price 23
fixed for market milk under a pricing order; 24
(c) the receipt by a processor from another processor of the 25
minimum price fixed for market milk under a pricing order. 26
s 12 9 s 13
Dairy Industry Amendment
of div 1 1
`Expiry
`29B. This division expires on 31 December 2003.'. 2
of s 38 (Classes of licences) 3
Amendment
Clause 12. Section 38(1)(c) and (d)-- 4
omit. 5
of new s 40A 6
Insertion
Clause 13. After section 40-- 7
insert-- 8
authorisation of non-competitive conditions 9
`Specific
`40A.(1) The non-competitive conditions subject to which the authority 10
has granted or grants a producer's or a processor's licence are specifically 11
authorised for the competition legislation. 12
`(2) This section expires on 31 December 2003. 13
`(3) In this section-- 14
"non-competitive condition" means-- 15
(a) for a producer's licence, a condition-- 16
(i) prohibiting the transfer of dairy produce between dairies; or 17
(ii) specifying or restricting the source of acquisition of dairy 18
produce obtained or sold by the holder of the licence; or 19
(iii) specifying or restricting the persons or places to whom or to 20
which dairy produce may be supplied by the holder of the 21
licence; or 22
(b) for a processor's licence, a condition-- 23
(i) specifying or restricting the source of acquisition of dairy 24
produce obtained or sold by the holder of the licence; or 25
(ii) specifying or restricting the persons or places to whom or to 26
which dairy produce may be supplied by the holder of the 27
licence.'. 28
s 14 10 s 20
Dairy Industry Amendment
of s 42 (Special trading rights for processors' licences) 1
Omission
Clause 14. Section 42-- 2
omit. 3
of s 45 (Offences related to licences) 4
Amendment
Clause 15. Section 45(3) and (4)-- 5
omit. 6
of s 46 (Expiry of licensing provisions) 7
Omission
Clause 16. Section 46-- 8
omit. 9
of pt 3, div 5 (Restructuring of distribution) 10
Omission
Clause 17. Part 3, division 5-- 11
omit. 12
of s 48 (Application of this division) 13
Omission
Clause 18. Section 48-- 14
omit. 15
of s 49 (Market milk entitlements) 16
Amendment
Clause 19. Section 49(1)-- 17
omit, insert-- 18
`49.(1) The authority may grant a person an entitlement (a "market milk 19
entitlement") to supply milk for processing as market milk.'. 20
of s 50 (Transactions affecting entitlement) 21
Amendment
Clause 20. Section 50, after `the entitlement'-- 22
s 21 11 s 22
Dairy Industry Amendment
insert-- 1
`or an interest in it'. 2
of s 52 (Supply management schemes and market milk 3
Amendment
access) 4
Clause 21.(1) Section 52, heading, `schemes'-- 5
omit, insert-- 6
`scheme'. 7
(2) Section 52(1), `each supply management region'-- 8
omit, insert-- 9
`the State'. 10
(3) Section 52(2), `A'-- 11
omit, insert-- 12
`The'. 13
(4) Section 52(5), `a supply'-- 14
omit, insert-- 15
`the supply'. 16
of s 53 (Annual review of market milk consumption) 17
Replacement
Clause 22. Section 53-- 18
omit, insert-- 19
of each class of market milk supplied 20
`Amount
`53.(1) For making a determination under section 53A for each month, 21
the holder of a market milk entitlement is taken to have supplied the 22
specified processor under the entitlement the quantity of milk for processing 23
as each class of market milk that is calculated by using the following 24
formula-- 25
SQ H TMMS
Q= 26
TMME
s 22 12 s 22
Dairy Industry Amendment
where-- 1
"Q" = the quantity of milk taken to have been supplied in the month for the 2
class of market milk. 3
"SQ" = the daily quantity of milk specified in the entitlement for supply for 4
processing as market milk. 5
"TMME" = the total daily quantities of milk specified in all market milk 6
entitlements for supply for processing as market milk. 7
"TMMS" = the total quantity of all monthly market milk sales in the State 8
of the class of market milk. 9
`(2) Within 8 business days after the end of each month, the authority 10
must give written notice to the specified processors informing them of the 11
quantities in the factors TMME and TMMS in the formula. 12
`(3) In this section-- 13
"class", of market milk, means a class of market milk for which a pricing 14
order is in force. 15
of monthly adjustments of market milk sales 16
`Determination
`53A.(1) Within 8 business days after the end of each month, the 17
authority must-- 18
(a) determine whether each relevant processor's total market milk 19
sales for the month is more or less than the relevant processor's 20
total entitlement holder payments for the month; and 21
(b) by written notice, to the processor-- 22
(i) inform the processor about the result of the determination, 23
including whether the processor is a deficit or surplus 24
processor and the amount of the processor's deficit or 25
surplus; and 26
(ii) if the processor is a surplus processor--subject to 27
subsection (4), direct the processor to pay the surplus, or a 28
stated part of it, to the deficit processor or processors stated 29
in the notice no later than 14 days after the end of the month. 30
`(2) Also, the notice must state-- 31
s 22 13 s 22
Dairy Industry Amendment
(a) that the processor may appeal against the determination or 1
direction to the tribunal within 28 days after the notice is given; 2
and 3
(b) how to start the appeal. 4
`(3) The authority must not-- 5
(a) direct a surplus processor to pay more than the processor's 6
surplus for the month; or 7
(b) make a direction under which a deficit processor is entitled to 8
receive more than the processor's deficit for the month. 9
`(4) Subject to the decision of the tribunal on an appeal against the 10
direction, an amount unpaid under a direction may be recovered by the 11
deficit processor as a debt from the surplus processor. 12
`(5) In this section-- 13
"deficit", for a processor, means the amount the processor's total market 14
milk sales are, under a determination under subsection (1)(a), less than 15
the processor's total entitlement holder payments. 16
"deficit processor" means a processor for whom a determination under 17
subsection (1)(a) results in a deficit. 18
"relevant processor" means a processor who holds the class of 19
processor's licence prescribed under a regulation for this section. 20
"specified processors", for a relevant processor, means the processors 21
whose market milk access relate to the relevant processor. 22
"surplus", for a processor, means the amount the processor's total market 23
milk sales are, under a determination under subsection (1)(a), more 24
than the processor's total entitlement holder payments. 25
"surplus processor" means a processor for whom a determination under 26
subsection (1)(a) results in a surplus. 27
"total entitlement holder payments", for a relevant processor for a 28
month, means the total amount payable to all holders of market milk 29
entitlements by specified processors for the total of the quantities of all 30
classes of market milk calculated under section 53 at the minimum 31
prices fixed under the pricing order in force for the month. 32
"total market milk sales", for a relevant processor for a month, means the 33
s 23 14 s 26
Dairy Industry Amendment
amount calculated for all the processor's market milk sales of all 1
classes of market milk for the month (other than sales to processors) 2
by applying the minimum prices fixed for milk under the pricing order 3
in force for the month. 4
authorisation for monthly adjustments of market milk sales 5
`Specific
`53B. The giving of a direction under section 53A(1)(b)(ii) is specifically 6
authorised for the competition legislation.'. 7
of s 56 (Gazettal of entitlements etc.) 8
Amendment
Clause 23. Section 56, `quantities of market milk'-- 9
omit, insert-- 10
`quantities of milk'. 11
of new s 56A 12
Insertion
Clause 24. After section 56-- 13
insert-- 14
of div 6 15
`Expiry
`56A. This division expires on 31 December 2003.'. 16
of s 61 (Testing and analysis) 17
Amendment
Clause 25. Section 61, `, storage or distribution'-- 18
omit, insert-- 19
`or storage'. 20
of s 106 (Appeals to the tribunal) 21
Amendment
Clause 26.(1) Section 106, after `order,'-- 22
insert-- 23
`determination,'. 24
s 27 15 s 30
Dairy Industry Amendment
(2) Section 106(2)(a), `price, or maximum or'-- 1
omit. 2
(3) Section 106(2)(c)-- 3
omit. 4
(4) Section 106(4), after `make an order'-- 5
insert-- 6
`, determination'. 7
of s 107A (Stay of operation of order etc.) 8
Amendment
Clause 27. Section 107A(1), after `order'-- 9
insert-- 10
`, determination'. 11
of s 107B (Powers of tribunal on appeal) 12
Amendment
Clause 28. Section 107B(1), after `order'-- 13
insert-- 14
`, determination'. 15
of new s 115 16
Insertion
Clause 29. In part 7, after section 114-- 17
insert-- 18
and renumbering of Act 19
`Numbering
`115. In the next reprint of this Act produced under the Reprints Act 20
1992, the provisions of this Act must be numbered and renumbered as 21
permitted by the Reprints Act 1992, section 43.'. 22
of s 116 (Sections 16D and 16E subject to order under 23
Replacement
s 47) 24
Clause 30. Section 116-- 25
s 30 16 s 30
Dairy Industry Amendment
omit, insert-- 1
of new market milk entitlements 2
`Grant
`116.(1) This section applies if, on the commencement of this section, a 3
producer who holds a Class A producer's licence under the Dairy Industry 4
Regulation 1993, is carrying on the business of producing dairy produce on 5
a dairy situated outside the existing supply management region constituted 6
under the regulation. 7
`(2) Before 1 January 1999, the authority must, under section 49, grant a 8
market milk entitlement to-- 9
(a) if the producer is the owner of the land on which the dairy is 10
situated--the producer; or 11
(b) if the producer is not the owner of the land on which the dairy is 12
situated but is entitled to use the land-- 13
(i) the producer; or 14
(ii) the owner of the land; or 15
(iii) the producer and owner of the land in the shares the 16
authority decides. 17
`(3) In deciding the market milk entitlement, the authority must take the 18
following into account-- 19
(a) the total quantity of market milk purchased by processors in the 20
financial year ending 30 June 1998 at the market milk price fixed 21
under an order made under section 28; 22
(b) the producer's history of recent milk production and supply. 23
`(4) In deciding to whom to grant the market milk entitlement, the 24
authority must take the following into account-- 25
(a) the basis of the producer's entitlement to use the land; 26
(b) when the producer's entitlement to use the land started; 27
(c) when the producer's entitlement to use the land ends; 28
(d) the improvements made to the land by the producer. 29
`(5) Subsections (3) and (4) do not limit the matters the authority may 30
take into account in deciding the market milk entitlement or the grantee of 31
the entitlement. 32
s 31 17 s 31
Dairy Industry Amendment
`(6) The market milk entitlement is effective from 1 January 1999. 1
`(7) The authority must give written notice of the grant of the market 2
milk entitlement to the producer and, if the producer is not the owner of the 3
land, the owner of the land. 4
`(8) The notice must inform the recipient-- 5
(a) about the market milk entitlement; and 6
(b) that the recipient may appeal, under section 106, against the 7
decision to the tribunal within 28 days after the notice is given; 8
and 9
(c) how to start the appeal. 10
`(9) In this section-- 11
"owner", of land that a producer is entitled to use, includes the person who 12
granted the producer the entitlement to use the land. 13
of all market milk entitlements 14
`Gazettal
`117. Before 1 February 1999, the authority must gazette a list of all 15
market milk entitlements and the quantities of milk to which each relates at 16
1 January 1999.'. 17
of new s 120 18
Insertion
Clause 31. After section 119-- 19
insert-- 20
of pt 8 21
`Expiry
`120. This part expires on 1 February 1999.'. 22
© State of Queensland 1998
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