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A voluntary olive industry contribution proposal for South Australian is being developed with the view that it could become law in time for the 2009 processing season. Olives SA and the Department of Primary Industries and Resources have engaged a consultant, Peter McFarlane, to meet, discuss and develop the proposal with industry members. McFarlane said the aim was to have a proposal to put to the South Australian Government towards the end of the year so that it can legislate for a voluntary contribution scheme for the State’s olivegrowers.

The scheme would operate under the Primary Industry Funding Scheme Act in a similar way that the deer and fishing industry schemes which, despite the voluntary reference will be compulsory collected. However, those who do not want to contribute would have to request a refund which, subject to verification, would be automatic. The nature of the proposal will depend on considerations about how the process will work and the objectives that are to be funded.

South Australia is taking the lead in developing an industry fund following the narrow defeat for a national industry levy two years ago.

This move has been the major reason why Olives SA, after a meeting with AOA president Paul Miller and consultants Courage Partners in February, agreed that Olives SA would have the distinctive status of a participating state body (PSB) and be a separate legal entity within the AOA.

At the meeting it was also agreed that a single point of fee collection for Olives SA and the AOA was necessary with one invoice highly desirable and Olives SA would then pass membership fees for the entire state to the AOA under an agreed formula. It is not anticipated that the voluntary contribution will be ready as an invoicing mechanism until May 2009, therefore interim measures are expected to be arranged.

SA’s characteristics as a participating state body of the AOA
• Olives SA will act and think like a branch of the national body
• Olives SA members will automatically be AOA members and vice versa
• Olives SA /PIRSA will collect a single fee payment from members which includes AOA membership and the state voluntary contribution
• Olives SA will remit membership fees, on behalf of the whole state, to the AOA Secretariat via an agreed formula – to be determined
• AOA will deliver membership services and OSA can reduce their delivery of member services (and associated costs)
• large enterprises in SA will be part of Olives SA for the purposes of the voluntary contribution, but they can also be part of the national Large Enterprise Group (any grower/processor/bottler can apply to be part of LEG – noting that LEG voting rights depend on fees paid by them to the AOA).