How the levy drives nursery industry growth
Australia’s nursery industry is one of the country’s most efficient, sustainable, and innovative agricultural sectors.
Underpinning this success and boosting industry advancements is the levy system. The levy is an investment in the industry’s success and longevity.
Introduced in October 1989, the Nursery Levy has been instrumental in developing the industry’s research and development (R&D) capabilities funding many of the best practice production methods, biosecurity protocols and technology advancements that are commonplace today. It funds research and marketing for the nursery industry to create better nursery businesses, a stronger, more resilient industry and higher demand for greenlife.
How does the levy system work?
Production nurseries pay a levy on the wholesale value of all containers in which plants are grown for resale or used in the production of other goods.
Currently, the levy is set at 5% of the value of containers in which plants are grown. Hort Innovation manages the majority of the nursery levy funds for R&D (2.75%) and marketing (2%) project investments. A smaller proportion (0.25%) is managed by Plant Health Australia (PHA) for plant health and biosecurity activities.
All contributed funds to research and development are matched 1:1 by the Australian Government which provide an immediate 2:1 return on grower levies.
Joanna Cave, Greenlife Industry Australia (GIA) CEO, believes that by having direct funds for research and development from growers, the industry can innovate faster, enabling research to be adopted on farms sooner rather than later.
“Levy investment further propels the development of industry-standard best practice and strengthens the industry’s toolkit against pests and diseases,” Ms Cave said.
“Additionally, the levy funds industry marketing programs which help drive the demand for greenlife for councils, developers and town planners.
“The levy provides the capital needed to further the innovation of the entire industry, benefiting all.”
Anita Campbell, Nursery and Garden Industry NSW and ACT (NGINA) CEO, echoed these thoughts and said productivity and capitalising on opportunities have been unlocked by levy investment.
“By industry having a direct source of funding into RD&E, we are able to provide productive new ways of working and respond quickly to opportunities in the market,” Ms Campbell said.
Levy investment enables sound research development and engagement programs for industry.
Craig Taberner, Nursery Garden Industry Victoria (NGIV) CEO, said the levy has supported NGIV by providing evidence behind our policy priorities.
“When we engage with State Members of Parliament, we have confidence that we have the research to substantiate our position, “Mr Taberner said.
How can I learn more about what is happening with the levy?
As the primary link between levy-funded projects and growers, the Nursery Industry Communications program plays an important role.
It simplifies the jargon and presents it in an easily digestible way that can be read on the go or viewed on a computer.
As of January 2023, the Nursery Communications Program is in the process of being revamped and refreshed to break down barriers between research and adoption.
“This new and upgraded program will enable industry to be across updates and changes in a way that suits you,” Ms Cave said.
“The planned innovations for the Nursery Industry Communications program include a more streamlined communication approach, with more impactful and helpful information.
“We plan on introducing new channels and integrating state-specific NGIs in order to share more regionally relevant information effectively.
“Lastly, we hope to partner with state NGIs on events to ensure face-to-face opportunities for you to engage with industry peers and the levy.”
For more information, visit https://www.greenlifeindustry.com.au/communications-centre?category=nursery-papers