Address to the Agricultural Industry Federal Budget Breakfast

WEDNESDAY 13 MAY 2026
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[Acknowledgments omitted]

Good morning, and thank you to Matthew and the entire CropLife team, along with the National Rural Press Club for the invitation to join you here today.

I want to acknowledge my fantastic Labor colleagues here with us this morning, along with a number of other parliamentarians, including the Shadow Minister for Agriculture, Darren Chester.

It’s also terrific to join so many representatives from across our great agriculture industry, with this breakfast a real hallmark of Budget week.  

Like all of you here today, I’m incredibly proud of everything Australian agriculture has achieved over the past year, and proud of what it continues to offer for our future.

Australian farmers and producers have much to be proud of.  

The productivity of agriculture is growing faster than many other parts of our economy.

Your industry is central to so many of Australia’s trading relationships – with more international demand than ever for our truly world-class products.

Australian agriculture is leading the way globally when it comes to sustainability and reducing emissions.

You are one of the largest employment sectors in our regions, with more and more Australians looking to build a career in agriculture.

And agriculture underpins the growth and the success of not only local economies, but our national economy.

To put it simply, every community right across Australia, from our big cities to our country towns, relies on agriculture.

That’s why agriculture is such a strong part of our national identity.

And why the Albanese Labor Government is proud to work with you each and every day.

To help Australian agriculture to grow.

To strengthen our food production systems, and to keep Australia moving.

To support our farmers, fishers and producers to harness new opportunities.

And to help our agriculture industry navigate the challenges that we face.

Since we met at this forum last year, I’ve had the opportunity to meet with hundreds of farmers, fishers and producers right across our country.  

Including those sadly impacted by Australia’s extreme weather.

Farmers impacted by drought in Black Springs, in rural South Australia.

Famers impacted by floods in Clermont, in Queensland.

And producers impacted by fires in Harcourt, in regional Victoria.

As I’ve said before, our farmers and producers' resilience, even in the most trying circumstances, is an inspiration to all Australians.

Across the country, I’ve also seen firsthand on-farm how our Government’s significant investments over the past four years have helped to back everything that makes Australian agriculture such a success story globally.

This includes investments to boost our biosecurity frontline – ensuring we can respond swiftly to new and emerging threats.  

To expand opportunities for our farmers and producers to export our world-class products on the international stage.

And to deliver practical support to our farmers and producers to confidently face our climate future.  

Together, these investments have helped build a strong foundation for Australian agriculture to grow, and for our farmers to succeed.

And we know what this strong foundation has delivered.

It was terrific to stand with the National Farmers Federation just a few months ago to recognise the growth of Australia’s farm gate production value this financial year.

In March, ABARES forecast our agricultural production value would exceed $100 billion by the end of June, four years ahead of industry’s 2030 target, representing a 15 per cent increase to our farm gate production value since Labor has come Government.  

I wanted to start this morning by acknowledging this success.

And by recognising that this result is a real testament to the hard work and determination of those of you here today, and for those working right across our agriculture industry.

The strong foundation our Government has built over the last four years doesn’t just help contribute to results like the one forecast by ABARES – it safeguards our proud agriculture industry from global uncertainty.  

Of course, since we marked this significant forecast in March, we’ve seen the escalation of the current war in the Middle East, which is impacting globally.

Increases to global oil prices and global inflation, and disruption to supply chains have serious consequences for our economy – which we have seen highlighted in last night’s Budget.

Our agriculture industry is, of course, not immune from these challenges.

We want to see inflation come down in our economy, because we understand the impact that this challenge has on Australians including our farmers, fishers and producers.

And that’s why our Budget takes responsible action to help manage these challenges.

As we heard from the Treasurer last night, the 2026-27 Budget focuses on productivity, resilience and reform.

This is a Budget underpinned by restraint, and Budget sustainability across every portfolio.

This has been a feature of every Budget we’ve handed down, including our work to fix the funding cliffs in our Department that we inherited when we came to Government.  

With the strong foundation we have in place for Australian agriculture, and our careful and considered work to repair our international relations, our Government has been able to act swiftly to shield our farmers and producers from the worst impacts of the war in the Middle East.

The Budget builds on our work to get critical inputs, including fuel and fertiliser, to our farmers to keep them farming, to help safeguard our food security, and to keep Australia moving.

As the Prime Minister announced last week, the 2026-27 Budget includes an Australian Fuel Security and Resilience package.

This includes $7.5 billion for the establishment of a Fuel and Fertiliser Security Facility, to increase supply and storage of fuel and fertiliser here in Australia.

And over $3 billion to establish a Government-owned Australian Fuel Security Reserve of around a billion litres, increasing long term diesel and aviation fuel supply and storage, including a focus on regional stockouts.

This is about doing more in our own backyard, minimising the impacts of global disruptions, and keeping our food production systems strong.

These are critical investments, which many right across our agriculture industry have welcomed, including Grain Growers and the National Farmers’ Federation.

And with that same priority of boosting our domestic capabilities in mind, through this Budget our Government will introduce a demand measure for low carbon liquid fuel.

This is something many of you in this room have called for, which is why we’ll work with industry on its design.

This is about reducing our reliance on imported fuels – improving the resilience of our domestic industries, while providing new economic opportunities for the agriculture sector.

This is of course backed by our investment of over $1 billion to kickstart production of low carbon liquid fuels here in Australia.

Through this Budget, we’re also boosting biosecurity with more funding for CSIRO and its Australian Centre for Disease Protection to help strengthen our biosecurity testing capability.  

This adds to the more than $2 billion in additional biosecurity resourcing we’ve delivered since we've come to Government.

These additional investments build on our Government’s strong foundation for Australian agriculture, and add to the work we’re already undertaking.

This includes streamlining, but not compromising, on our biosecurity processes to help get fertiliser to farmers faster.

Releasing up to 20 per cent of our strategic fuel reserve, including more diesel into our regions.

Supporting domestic production of urea through the Perdaman plant in WA, which is set to come online mid-next year.

And securing additional shipments of fuel and fertiliser.

This is providing support to protect importers from extreme price volatility.

And today, I’m pleased to announce that the Government has secured the first cargos of fertiliser under our new Strategic Reserve Powers.

The Government has provided support, through Export Finance Australia, to Incitec Pivot and CSBP for three cargoes that will bring over 90,000 tonnes of agricultural grade urea to Australia.

I expect to make further announcements on additional fertiliser in the coming days.

This additional supply secured today builds on the 250,000 tonnes of new fertiliser from Indonesia that our Government has secured with the help of industry.

Locking in these cargoes will provide greater certainty for farmers as they make planting and management decisions, supporting them to continue producing food for Australia and our neighbours.

And providing more certainty in times of global uncertainty is a key feature of this Budget.

That’s why through this Budget, we’re delivering over $68 million to provide sustainable funding to help continue securing more market access for Australian agricultural exporters.

As many of you here today know, we’ve also taken the decision to defer implementing the phased transition to full cost recovery for agricultural export services for one year.

Prioritising this in the Budget – backed by close to $18 million in taxpayer funding – has meant we’ve needed to make savings elsewhere.

But this provides farmers and producers facing input cost pressures right now with relief, and with more certainty for the future.

Of course, other relief being delivered through this Budget includes making the Instant Asset Write-Off permanent – I know something many in this room had called for.

We’re also ensuring that year-round support continues to be available to our farmers when they need it.

This includes through the additional $1 billion in concessional loans we’re delivering through the Regional Investment Corporation, including our new Drought Hardship Loan.

These loans support farmers to free up cash flow, invest in resilience, prepare for the next season, and to keep their businesses moving – with over 3,500 RIC loans settled to date.

We’ve also unlocked $2 million through the Rural Financial Counselling Service.

This year-round support and the new measures we’re investing in through this Budget are not only about keeping our farmers farming, but about keeping our food production systems strong.  

Because our Government has always recognised the importance of safeguarding Australia’s food security, and maintaining the critical role we play in supporting food security across the Indo-Pacific.

And the war in the Middle East reaffirms why we cannot afford to be complacent.

That’s why we’re delivering on our commitment to develop a National Food Security Strategy, Feeding Australia.  

Since I joined you here last year during Budget week, there’s been significant progress on Feeding Australia.

We’ve undertaken consultation on the discussion paper to inform the strategy, with over 400 submissions.

And we commenced in person workshops across the country.

We've appointed a National Food Council to help develop the strategy, including experts from across the food supply chain, public health, and national security sectors.

And most recently, in recognition of the disruption from the war in the Middle East, we’ve commissioned a National Food Supply Chain Assessment.

This assessment will help inform the development of Feeding Australia, and look at how we can build on frameworks already in place to minimise disruptions to food production and supply chains.

I started this morning by acknowledging the many successes of Australian agriculture over the last year, but by also recognising the recent challenges, and the global uncertainty ahead.

That’s why through this Budget we’re focused on providing certainty where we can, understanding that we live in uncertain times – building on the strong foundation we have established for Australian agriculture.

We’re shoring up supply of critical inputs, boosting our domestic capabilities, cutting red tape, deferring changes to agricultural exports services, and ensuring year-round support continues to be available.

While we address the challenges in our economy – exacerbated by the war in the Middle East, through responsible action and Budget sustainability.

There have always been, and always will be, challenges to navigate and overcome.  

But I know our farmers, fishers and producers do exactly that, time and time again.

Those of you here today, and right across our agriculture industry, continue to show your determination and your innovation.

You help to feed millions of people both here in Australia and abroad.

And we want even more people right around the globe to be able to enjoy Australia’s world-class agricultural products.

That’s why we’ll continue working with you to expand and diversify markets.

To drive productivity through innovation and technology.

To continue strengthening our world-leading biosecurity system.  

To build a skilled workforce for the future.

And to support long-term sustainability and resilience.

The future of agriculture will be shaped by what we build together.

And the Albanese Labor Government will always back our farmers, fishers and producers.