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Wheat Export Authority

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The Wheat Export Authority ( WEA ) was established 1 July 1999 as part of restructuring the former government-owned Australian Wheat Board in preparation for its sale as AWB Limited . It was felt that a number of the tasks carried out by the previous Australian Wheat Board would not be appropriate for a privately owned body; thus, the WEA was established. The WEA's role was determined by the Wheat Marketing Act 1989 and its operations were funded by a charge on Australian wheat exports.

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42-536: The WEA was controlled by a five-member board of directors, appointed for a period of up to three years by the Minister for Agriculture, Fisheries and Forestry. They were supported by a 16-person Canberra-based Secretariat, headed by a Chief Executive Officer. The WEA was an agency under the Commonwealth Authorities and Corporations Act 1997. The WEA had two major functions, including monitoring and reporting to

84-612: A 2007 PMR Addendum report to the Minister. The EWC was also required to notify the Minister of significant wheat export related events and to keep the Minister informed on the EWC's operations. The EWC also provided the Minister with a Corporate Plan and an Annual Operational Plan (AOP) during the year. The EWC presented the Annual Report 2006–07 for the former Wheat Export Authority to the Minister who tabled it in Parliament on 13 May 2008. Under

126-606: A Senate Committee Inquiry into the Wheat Export Marketing Bill 2008 and the Wheat Export Marketing (Repeal and Consequential Amendments) Bill 2008. The related drafting of a new Wheat Export Accreditation Scheme for bulk exports, became a major focus for the EWC and the industry during the reporting period. The EWC monitored and reported on AWBI's export performance in managing the National Pool and presented

168-659: A grant of AUD2 million in September 2007 to allow the agency to continue operating until 31 March 2008. This grant covered ongoing operational costs and the transition from the former Wheat Export Authority to the EWC. The EWC's financial position was transferred to Wheat Exports Australia on 1 July 2008 under the Wheat Export Marketing Act 2008. The EWC facilitated the operations of Australia's legislated wheat export arrangements and informed Government and growers of outcomes. The EWC: The EWC assumed responsibility for

210-412: A major impact on growers and exporters during the 2007/08 harvest which yielded 13.04 million tonnes, although this was 2.23 million tonnes above the 2006/07 harvest. The EWC statistics showed that approximately 5.4 million tonnes of wheat were exported during 2007/08. Western Australia and South Australia were the major wheat exporting States. On 1 July 2008, following the passage of legislative change,

252-508: A non-legislative act by an executive or administrative body under the authority of a legislative act. Legislation to design or amend a bill requires identifying a concrete issue in a comprehensive way. When engaging in legislation, drafters and policy-makers must take into consideration the best possible avenues to address problem areas. Possible solutions within bill provisions might involve implementing sanctions , targeting indirect behaviors, authorizing agency action, etc. Legislation

294-405: A society organized for political action, the will of the people as a whole is the only right standard of political action. It can be regarded as an important element in the system of checks and balances and representative democracy. Therefore, the people are implicitly entitled even to directly participate in the process of law-making. This role of linking citizens and their government and legislators

336-402: A total of 54 applications for bulk exports, consulting with AWBI and providing detailed comments and recommendations to the Minister. The Minister approved six applications for 950,000 tonnes in five markets. The EWC ensured that its consent compliance requirements for bulk wheat exports were met by exporters. Following the liberalisation of wheat exports in containers and bags on 27 August 2007,

378-513: Is closely related to the concept of legitimacy. The exercise of democratic control over the legislative system and the policy-making process can occur even when the public has only an elementary understanding of the national legislative institution and its membership. Civic education is a vital strategy for strengthening public participation and confidence in the legislative process. The term " dead letter " refers to legislation that has not been revoked, but that has become inapplicable or obsolete, or

420-600: Is no longer enforced. In more simpler terms, it means that the legislation is gone. There are several types of dead letter laws. Some laws become obsolete because they are so hateful to their community that no one wishes them to be enforced (e.g., slavery ). Similarly, some laws are unenforced because a majority wishes to circumvent them, even if they believe in the moral principle behind the law (e.g., prohibition ). Finally, some laws are unenforced because no mechanism or resources were provided to enforce them. Such laws often become selectively enforced or tacked onto other crimes in

462-404: Is regarded as one of the three main functions of government, which are often distinguished under the doctrine of the separation of powers . Those who have the formal power to create legislation are known as legislators ; a judicial branch of government will have the formal power to interpret legislation (see statutory interpretation ); the executive branch of government can act only within

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504-403: Is sometimes used to include these situations, or the term primary legislation may be used to exclude these other forms. All modern constitutions and fundamental laws contain and declare the concept and principle of popular sovereignty, which essentially means that the people are the ultimate source of public power or government authority. The concept of popular sovereignty holds simply that in

546-427: Is usually proposed by a member of the legislature (e.g. a member of Congress or Parliament), or by the executive, whereupon it is debated by members of the legislature and is often amended before passage . Most large legislatures enact only a small fraction of the bills proposed in a given session . Whether a given bill will be proposed is generally a matter of the legislative priorities of the government. Legislation

588-628: The Wheat Marketing Act 1989 (the Act) after legislative changes in June 2007. This Overview is based on the EWC's Corporate Plan 2007–08 and the Portfolio Budget Statement 2008–09. The EWC vision was for a sustainable, innovative and internationally competitive wheat export sector that continued to provide optimal returns for growers and develop Australia's broader interests. The EWC facilitated

630-580: The Act the EWC had three functions: In delivering those functions the EWC: Under the Act, the EWC was required to provide the Minister with a report on its monitoring of AWBI's export performance and the impact on growers. Known as the Performance Monitoring Report (PMR), it contained considerable commercial-inconfidence information. With the late closing of the 2005/06 National Pool, the EWC produced

672-507: The Act, the Minister held the power of veto over bulk wheat exports until 30 June 2008. The EWC processed applications to export wheat in bulk in line with the published Export Consent Guidelines and referred these to the Minister for decision. The EWC reported to growers on the non commercial-in-confidence findings of the PMR activity through the Growers Report. The Growers Report was published on

714-422: The Act. This 177-page report was adapted into a 28-page report to growers, with the commercial-in-confidence elements removed. The EWC subsequently produced a 108-page commercial-in-confidence Addendum to the PMR and then published a 20-page Addendum to the Growers Report 2007 during 2007–08 to inform the Minister and growers on the performance of AWBI and a number of other topical wheat industry issues. Drought had

756-480: The EWC administered the Non-bulk Scheme and during the reporting period, accredited 62 packers with 103 sites, 12 laboratories with 31 sites and six superintendence companies with 18 sites. The EWC also processed and checked more than 4,000 packer notifications of exports in bags and containers and ensured they complied with the Non-bulk Scheme. The EWC liaised with industry and grower organisations in relation to

798-433: The EWC had accredited: By 30 June 2008, the EWC had received 4,094 notification forms for the export of 1,929,293 tonnes to 41 countries. The EWC's performance also included the following results: The November 2007 Federal election resulted in a change of Government and reform of Australia's wheat marketing arrangements towards the liberalisation of exports in bulk. This reform included the release of draft legislation and

840-595: The EWC was replaced by Wheat Exports Australia . Legislate Legislation is the process or result of enrolling , enacting , or promulgating laws by a legislature , parliament , or analogous governing body . Before an item of legislation becomes law it may be known as a bill , and may be broadly referred to as "legislation" while it remains under consideration to distinguish it from other business. Legislation can have many purposes: to regulate, to authorize, to outlaw, to provide (funds), to sanction, to grant, to declare, or to restrict. It may be contrasted with

882-595: The EWC website and mailed to more than 25,000 growers. In addition, with the late closing of the 2005/06 National Pool, the EWC published the Growers Report 2007 Addendum which was similarly distributed to growers. Beyond meeting its legislated requirements to the Minister and growers, the EWC was also committed to delivering and communicating results to other stakeholders in Australia's wheat export arrangements. The EWC's key stakeholders were: Other stakeholders included: Association (GGA) Association (AGEA) By 30 June 2008

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924-525: The EWC. The Secretariat assisted the Commissioners in meeting their obligations. The Commissioners carried out major decision-making functions and provided guidance to the Acting CEO who had delegated authority to undertake many of the functions and responsibilities of the EWC. Day-to-day control over core areas of EWC activity rested with a small executive team who worked closely with Secretariat staff. Under

966-634: The Inquiry the Grain Board of Iraq ceased to deal with AWB. This resulted in the establishment of the Wheat Australia consortium to export wheat to Iraq in 2006, with special approval from the WEA and Australian Government. The temporary wheat export arrangements allow other exporters to apply for consents to export in bulk. However, of 77 applications received by the WEA since December 2006, just two had been approved by

1008-416: The Minister had directed the former Wheat Export Authority to conduct one investigation under section 5DC of the Act. The EWC presented two interim reports and then delivered its final report on the investigation to the Minister on 14 December 2007. During the reporting period the Minister gave the EWC directions to undertake two further investigations (see page 59). While these placed additional requirements on

1050-479: The Minister with two Performance Monitoring Reports (PMRs) and published two Growers Reports. This was a significant result as the Act only required the EWC to produce one performance monitoring report to the Minister and one related report to growers during the year. On 5 March 2008, the Minister released an exposure draft of the Wheat Export Marketing Bill 2008. The EWC was required to undertake considerable preliminary work on new governance and other arrangements in

1092-484: The Non-bulk Scheme during the year and introduced a new online notification form to increase efficiency for users as well as the EWC. The EWC also continued to liaise with the Australian Customs Service and non-AWBI exporters on compliance with non-bulk export consents given by the former Wheat Export Authority prior to deregulation. During the previous reporting period, 1 October 2006 to 30 September 2007,

1134-649: The Primary Industries (Customs) Charges Act 1999, provided for the collection of the WEC. The WEC was collected by the Department of Agriculture, Fisheries and Forestry's Levy and Revenue Service which charged the EWC for the administration of its collection and disbursement and exporter payment compliance. This service cost AUD1,660 per month in 2007–08, compared with AUD1,830 per month in 2006–07 and AUD2,080 in 2005–06. 2. Export Application Fee In August 2003, an amendment to

1176-463: The Public Service Act 1999. The EWC comprised a Chairman and four other Commissioners, appointed for a period of up to three years by the Minister for Agriculture, Fisheries and Forestry. The Commissioners were supported by a Secretariat which comprised up to 16 full-time staff headed by a Chief Executive Officer (CEO). The Commissioners were responsible for fulfilling the statutory requirements of

1218-598: The Scheme in June. In June 2008, the Government passed legislation in Parliament that reformed the export of wheat in bulk, ending the wheat export monopoly arrangement held by AWBI since privatisation of the Australian Wheat Board in 1999. The EWC significantly improved its performance in all areas of its ongoing business while successfully meeting the new demands of the legislative changes and without undue disruption to

1260-529: The Secretariat, I am pleased to advise that these were concluded in an efficient and timely manner. The EWC presented its findings to the Minister in two confidential reports. Due to the late closure of the 2005/06 National Pool, the EWC produced two reports on the performance of AWBI instead of the required one. The EWC delivered the 2007 PMR to the Minister in December 2007, in accordance with its requirements under

1302-630: The Wheat Marketing Act 1989 was amended to make provision for the introduction of a Wheat Export Charge (WEC) on all Australian wheat exports. The WEC came into effect by regulation on 1 October 2003 and was set at 22 cents per tonne. It remained at that level during the reporting period. Income provided by the WEC for the EWC in 2007–08 was AUD1,191 million (representing 33% of total funding requirements) compared with AUD2.208 million (61%) in 2006–07, and AUD3.321 million (97%) in 2005–06. The Primary Industries (Customs) Charges Regulations 2000, made under

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1344-482: The Wheat Marketing Regulations 1990 established a AUD50 fee on all export consent applications. This made up a minor proportion of EWC income. During 2007–08 export application fees amounted to AUD950, compared to AUD15,000 in both 2006–07 and 2005–06. 3. Additional Funding As income through the WEC was significantly reduced due to the drought and reduced wheat exports in 2006–07, the Government provided

1386-744: The course of the Cole inquiry into allegations that AWB paid kickbacks to Saddam Hussein's regime in Iraq for wheat shipments under the United Nations Oil-for-Food Program , it was revealed that the WEA board, upon hearing of the allegations through media sources, asked AWB(I) to show them Iraq wheat sales contracts. The WEA had limited powers and resources, far below those of the Cole Inquiry, and its examination of material provided to it by AWB at that time failed to reveal information of concern. During

1428-467: The end of June 2008. The Government then established a Wheat Export Marketing Consultation Committee which consulted with wheat growers across Australia and presented its finding to the government on 29 March 2007. The government is using this report as the basis for its consideration of new wheat export marketing arrangements. The WEA was succeeded by the Export Wheat Commission in 2007. In

1470-766: The end of March 2007. Export Wheat Commission The Export Wheat Commission ( EWC ) was a statutory authority of the Australian government . The EWC was established on 1 October 2007 and superseded the Wheat Export Authority (WEA). The EWC was a statutory commission operating under the Financial Management and Accountability Act 1997. The EWC's role was determined by the Wheat Marketing Act 1989 (the Act) and its operations were funded from three sources: 1. Wheat Export Charge In June 2003,

1512-404: The export of wheat in bags and containers has been deregulated. Non-AWB(I) exports, are permitted in limited volumes to protect the integrity of the National Pool and make up about 4% of total exports. In December 2006 the Government amended the Act transferring the power of veto over bulk exports from AWB(I) to the Minister, on a temporary basis until 30 June 2007. This has since been extended to

1554-498: The export wheat industry. The EWC continued to refine its business processes in its key functional areas of bulk export consents, administration the Non-bulk Wheat Quality Assurance Scheme (Non-bulk Scheme) and the performance monitoring of AWBI. At the direction of the Minister, the EWC also completed three Ministerial investigations during the reporting period. During 2007–08, the EWC received and assessed

1596-488: The government and growers on AWB(I) 's performance in managing the National [wheat] Pool. This was done through a commercial-in-confidence report to the Minister and a public report, known as the Growers Report. Through its second function, the WEA also considered export applications from parties other than AWB(I) [known as non-AWB(I) exporters] to export wheat from Australia, usually in bags and containers. Since 17 August 2007,

1638-556: The lead-up to the establishment of the new body, Wheat Exports Australia. The changes presented new challenges for the EWC, including a requirement to draft a legislative instrument to create an accreditation scheme for bulk exporters. The EWC consulted widely with industry in formulating the Wheat Export Accreditation Scheme (Bulk-Scheme), undertaking preliminary consultations in March and then releasing an exposure draft of

1680-519: The operations of Australia's legislated wheat export arrangements and informed Government and growers of outcomes. The EWC was an Australian Government agency within the Agriculture, Fisheries and Forestry portfolio. It operated under the Financial Management and Accountability Act 1997 and was required to meet related financial management and reporting requirements. EWC staff were employed under

1722-476: The powers and limits set by the law, which is the instrument by which the fundamental powers of government are established. The function and procedures are primarily the responsibility of the legislature. However, there are situations where legislation is made by other bodies or means, such as when constitutional law or secondary legislation is enacted. Such other forms of law-making include referendums , orders in council or regulations . The term legislation

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1764-437: The role of the former Wheat Export Authority to monitor and report on Australia's single desk wheat export arrangements, under which AWB (International) Ltd (AWB(I)) was given a near monopoly on exporting wheat, in particular bulk exports. The 2007/08 National Pool was the last one to be managed by AWBI. The Export Wheat Commission (EWC) was established as an Australian Government statutory authority on 1 October 2007, under

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