1982

THE PARLIAMENT OF THE COMMONWEALTH OF AUSTRALIA

HOUSE OF REPRESENTATIVES

Australian Meat and Live—Stock CorporationAmendment Bill 1982

EXPLANATORYMEMORANDUM

(Circulated by authority of the Minister for Primary Industry,the Hon. Peter Nixon, M.P.)

11642/82—L Cat. No. 82 4359 5—Recommendedretail price 20c

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Outline

Amendments proposed to be made to the Australian Meatand Live—stock Corporation Act 1977 are designed to strengthenthe regulatory powers of the Corporation over the export ofmeat and livestock from Australia. Existing legislation isdeficient in several aspects and does not allow the Corporationadequate powers to guard against malpractices and negligence onthe part of processors and exporters.

The Bill clarifies the powers of the Corporation toestablish and administer meat quota arrangements to controlexports to markets where quantitative restrictions are imposed.

It also clarifies the powers of the Corporation toissue Orders which set conditions under which contracts for theshipment of exports of meat or livestock shall be made.

Provision is made in the Bill for the AMLC to act asa sole trader or to limit the number of licensees that maytrade to a particular market. This power may be used only inrespect of markets which have a sole purchasing authority whichcontrols all, or substantially all, imports and is in aposition to set prices paid for imports and when such controlis judged necessary by the Corporation to ensure a fair returnto producers. The use of this power is subject to Ministerialapproval

Penalties are provided for in the Bill for breaches ofits provisions. These penalties have been set at a realisticlevel and where applicable are in conformity with thosecontained in the Export Control Bill 1982.

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NO. OF EXPLANATIONCLAUSE

1.(l) Citation.

(2) Cites Australian Meat and Live—stock Corporation Act 1977as the Principal Act.

2. Date of commencement of the Act is to be fixed byProclamation.

3. M~endsSection 4 of the Principal Act to provide that inaddition to promoting and controlling the export of meatand livestock from Australia the objects are also toinclude a provision to protect and further the interestsof the Australian meat and livestock industry

4. ~inends Section 5 of the Principal Act by:

— inserting definitions of “authorized officer”,“covering”, “document”, “examine”, “export licence”,“live—stock export licence”, “meat export licence”,“offence against this Act”, “premises” and “theindustry”

— omitting from the Principal Act the definition of“licensee”.

5. (A) Binds the States and the Northern Territory to theprovisions of the Act.

5. (B) Provides for the Act to apply both within and outsideAustralia.

6. Amends the Principal Act by inserting, before Section 6of the Principal Act, “Division 1 — General”.

7. Amends the Principal Act by replacing “the meat industrywith “the industry” and adjusts the existing reference tmaking recommendations to the Minister for regulationsbecause of changes to numbering of sections.

8. Amends Section 9 of the Principal Act to give theCorporation the power to enter into meat or livestockfutures contracts subject to the approval of theMinister. This provision may only be used when theCorporation is exercising its trading power

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9.(l) Repeals Sections 10 to 14 of the Principal Act coveringprovisions for licensing, meat quotas and shipping.

9.(2) Maintains the Corporation’s power to make orders inrespect of control schemes in operation prior to thecommencement of this Act.

10. Amends the Principal Act by inserting a second Divisionin Part II of the Act, entitled “Division 2 — Control byCorporation of export of meat and livestock”, afterSection 16 of the Principal Act to make provision forlicensing, meat quotas and shipping as follows:

— by inserting a new Section l6A which defines “relevantoffence”, provides for regulations to exclude meat notfit for human consumption from the provisions of thisAct, specifies which persons shall be taken asparticipating in the management or control of a meator livestock export business and the meaning of “meatexport business”

— by inserting a new Section 16B which gives theCorporation power to grant a meat or livestock exportlicence

— by inserting a new Section l6C which specifies how anapplication for an export licence shall be presented

— by inserting a new Section 16D which specifies thecriteria that the Corporation shall take intoconsideration when deciding whether or not to granta licence

— by inserting a new Section 16E which specifiesprocedures in the event that a licence applicationis refused

— by inserting a new Section l6F which specifies certainevents of which a licensee must inform the Corporationincluding bankruptcy, appointment of a liquidator orreceiver, winding up etc.

— by inserting a new Section l6G which continues the“slaughter on owners’ account” provisions of thePrincipal Act

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— by inserting a new Section 16H which gives theCorporation power to make orders applicable to alllicence holders or to issue directions to particularlicence holders. Licensees are subject to any ordersor directions issued by the Corporation which maycover such matters as: quality; standards and grades;terms and conditions of sale (including price); andthe handling, and storage of meat and livestock; andthe sale and distribution of meat and livestock afterexport. This Section also continues the existingpowers of the Minister in regard to the issuing ofdirections to the Corporation

— by inserting a new Section l6J which clarifies theexisting provision for the Corporation to prepare andmake orders for the purpose of allocating meat exportquotas amongst licence holders and gives licenceholders the right to make representations to theCorporation on the proposed orders. Ministerialapproval is required only in respect of proposals towhich objections are raised

— by inserting a new Section 16K to clarify theCorporation’s power with regard to contracts forthe carriage of meat or livestock by sea. Existinglegislation carries the implication that allindividual contracts for the carriage of meat outsideAustralia must be approved by the Minister. This newsection makes it clear that Ministerial approval isrequired for orders issued by the Corporation. Suchorders will specify the conditions a licensee mustconform to in regard to shipping contracts. Thesection also provides that a breach of the conditionsis subject to penalty. This is not currently the case~

— by inserting a new Section l6L which empowers theCorporation subject to the approval of the Minister tobe the sole exporter or limit the number of licenseeswhich may trade to a particular market. This power isavailable when the import market is controlled by asingle purchasing authority which purchases all, orsubstantially all, imports and where such authoritycan set prices or where there is a need to ensure afair return to Australian livestock producers

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— by inserting a new Section 16M concerning theapplication of the Acts Interpretation Act 1901 andthe Statutory Rules Publication Act 1903 to this Act

— by inserting a new Section l6N which specifies howDirections are to be served and provides for appealsto the Administrative Appeals Tribunal (AAT) againstsuch Directions

— by inserting a new Section 16P which specifies thatthe minimum period for which a licence is issued isone year

— by inserting a new Section l6Q which specifiesproceduresfor the renewal of an export licenceand the effect of suspensionor cancellation onthe renewal of the licence

— by inserting a new Section 16R which gives theCorporation the power to serve notice on a licenseewhen it has reasonable grounds for believing that thelicence holder has ceased to meet the criteria forgrant of a licence or contravened a condition of thelicence. This provision enables the Corporation withor without suspension of the licence to give thelicensee 14 days to “show cause” why he should not bedealt with under Section l6S. Right of appeal to theAAT is provided

— by inserting a new Section 16S which gives theCorporation the power to reprimand a licensee, suspendor cancel a licence if licensee fails to abide by acondition of the licence. This power may not be usedto impose a penalty, only to enable the licensee tocorrect the deficiency or face cancellation

— by inserting a new Section 16T which requires theCorporation to cancel a licence if the licensee sorequests

— by inserting a new Section 16U which provides that aperson refused a licence, or whose licence issuspended or cancelled has to be informed that he isentitled to appeal to the AAT.

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11. Amends the Principal Act by repealing the provisions ofSection 47 of the Principal Act and substituting thefollowing

— a new Section 47 which specifies the functions andpowers of an authorized officer including the power toenter and search premises subject to owner’s approvalor a warrant being issued. Warrants will not berequired for entry to premises preparing meat forexport which are registered under the provision of theExport Control Act 1982

— a new Section 47A which gives an authorized officerthe power to seize and retain meat or livestock

— a new Section 47B which provides for penalties forpersons who hinder or obstruct an authorized officerin the performance of his duty

— a new Section 47C which specifies that any person whois asked by an authorized officer in the performanceof his duty, for assistance, shall comply. Penaltiesare provided for those who fail to do so

— a new Section 47D which gives the Corporation thepower to appoint persons as authorized officers

— a new Section 47E which specifies that authorizedofficers will be provided with identity cards andprovides for a penalty for persons who fail to handin identity cards when they cease to be authorizedofficers

— a new Section 47F which gives authorized officers orpersons assisting an authorized officer immunity fromany legal proceeding arising out of the performance oftheir duties

— a new Section 47G which gives the Corporation thepower to request relevant information or documents,and provides penalties for those who fail to complywith these requests

— a new Section 47H which gives a licence holder thepower to appoint, in writing, a person as his nomineeand for the nominee to furnish documents andinformation as requested by the Corporation

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— a new Section 47J which gives the Corporation powerto appoint analysts for the purposes of the Act andspecifies that any certificate provided by an analystwill be admissable as prima facie evidence in anyproceedings for an offence against the Act subject tothe person charged having been given a copy of thecertificate and prior notice that it is to be used asevidence

— a new Section 47K which specifies the procedures forthe service of notices.

12. Consequential amendment arising from repeal ofSection 11 (3) and its replacement by Sections 16 H (6).Any directions issued by the Minister to the Corporationprior to the commencement of this Act continue to apply.

13. Amends the Principal Act by repealing Section 50 of thePrincipal Act and substituting the following:

— a new Section 50 which makes it an indictable offenceif a person exports meat or livestock without anexport licence or if a licensee fails to comply witha condition or restriction of his licence

— a new Section 50A which provides for penalties forfalse information

— a new Section 50B provides for penalties to be imposedon a non—licensee falsely claiming to be the holder ofan export licence or able to make a contract forcarriage of meat by sea

— a new Section 50C provides for the forfeiture of meatand livestock to the Commonwealth in the event that aperson is convicted of an offence

— a new Section SOD which provides that offences underthe Sections stated are summary of fences.

14. Amends Section 52 of the Principal Act by omittingparagraph (a) which currently provides for regulationsto be made for an authorized officer to enter premisesand take samples for analysis. This is now covered bySection 47. Provision is made for the penalty foroffences against the Regulations under Section 52 of thePrincipal Act to be increased from $500 to $1000.

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