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2011 Department of Agriculture and Food ANNUAL REPORT 2011

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2011 Department of Agriculture and Food ANNUAL REPORT 2011 Department of Agriculture and Food Department of Agriculture and Food ANNUAL REPORT 2011 OUR VISION – a progressive, innovative and profitable agriculture and food sector that benefits Western Australia Department of Agriculture and Food ANNUAL REPORT 2011 2 Statement of compliance THE HONOURABLE TERRY REDMAN MLA MINISTER FOR AGRICULTURE AND FOOD; FORESTRY; CORRECTIVE SERVICES In accordance with section 63 of the Financial Management Act 2006, I hereby submit for your information and presentation to Parliament, the Annual Report of the Department of Agriculture and Food Western Australia for the financial year ended 30 June 2011. The annual report has been prepared in accordance with the provisions of the Financial Management Act 2006 and any other relevant written law. Rob Delane Director General Department of Agriculture and Food 26 October 2011 Copies of this document are available in alternative formats upon request. Should you have a hearing or speech impairment you can contact the department through the National Relay Service: TTY or computer with modem users, phone 133 677 Speak and listen users phone, 1300 555 727 If you require the assistance of an interpreter, please contact the department through TIS National on 131 450. Copyright © Western Australian Agriculture Authority, 2011 Western Australian Government materials, including website pages, documents and online graphics, audio and video are protected by copyright law. Copyright of materials created by or for the Department of Agriculture and Food resides with the Western Australian Agriculture Authority established under the Biosecurity and Agriculture Management Act 2007. Apart from any fair dealing for the purposes of private study, research, criticism or review, as permitted under the provisions of the Copyright Act 1968, no part may be reproduced or reused for any commercial purposes whatsoever without prior written permission of the Western Australian Agriculture Authority. Department of Agriculture and Food ANNUAL REPORT 2011 3 Guide to the report This report presents the statutory compliance, performance and operational reporting for the financial year ending 30 June 2011. It comprises five principal sections as below: Executive summary—outlines who we are and what we do, the industries and communities we support, and how we go about our business. It also outlines our key achievements, financial position and performance. Significant issues impacting the department—outlines the current and emerging issues and trends that impact on our operating environment. Governance and compliance—information about how we ensure our operations are ethically, socially and environmentally responsible. Disclosures—an audited report of our key performance indicators and financial statements. Appendixes—additional information, including a statement by the Commissioner of Soil and Land Conservation. In this report we refer to the Department of Agriculture and Food, Western Australia as ‘the department’ or ‘DAFWA’. A glossary of acronyms used in this report is provided on the following page. Department of Agriculture and Food ANNUAL REPORT 2011 4 Glossary ACIAR Australian Centre for International Agricultural Research AEGIC Australian Export Grains Innovation Centre ARRM Agriculture Resource Risk Management ASEAN Association of South-East Asian Nations BYG Bridging the yield gap (project) CAR Central Agricultural region CP Criteria Progression CRC Co-operative Research Centre DAFWA Department of Agriculture and Food, Western Australia DAIP Disability Access and Inclusion Plan DEC Department of Environment and Conservation DOW Department of Water EADRA Emergency Animal Disease Response Agreement EEO Equal Employment Opportunity EHB European House borer ESRM Environmentally Sustainable Rangeland Management FESA Fire and Emergency Services FOI Freedom of Information FTE Full-time equivalent (staff hours) GM Genetically modified ILS Indigenous Landholder Service KPIs Key performance indicators LCDC Land Conservation District Committee NAR Northern Agricultural region NEAR North-Eastern Agricultural region NGNE New Genes for New Environments (project) NRM Natural resource management NRMWA State Natural Resource Management Program OSH Occupational safety and health P2R Pathways to Resilience (project) PCN Potato cyst nematode PID Public Interest Disclosure Act 2003 PPE Personal protective equipment QA/EMS Quality Assurance/Environmental Management Systems Qfly Queensland fruitfly QoL Quality of Life initiative RSPCA Royal Society for the Prevention of Cruelty to Animals SAILS Southern Agricultural Indigenous Landholder Service SAR Southern Agricultural region SCN Soil Conservation Notice SPANA Soil productivity and nutrient assessment (tool) SSF Statistical Seasonal Forecast (model) SWAR South-West Agricultural region WARMS Western Australian Rangeland Monitoring System WATO Western Australian Government’s International Trade and Investment Offices WIAWA Wine Industry Association of Western Australia Department of Agriculture and Food ANNUAL REPORT 2011 5 Table of contents Statement of compliance .......................................................2 Guide to the report ............................................................3 Glossary ...................................................................4 Director General’s foreword .....................................................6 The Department and the Sector ..................................................8 Executive summary ...........................................................9 Key achievements 2010-11 ....................................................10 Financial and performance overview ..............................................14 Significant issues impacting the department ........................................20 Economic and social trends ...............................................21 Legislative change, changes in written law and significant judicial decisions ...........22 Likely developments and forecast results of operations. 22 Government and public sector relationship ....................................23 Governance and compliance ...................................................23 Management and oversight ...............................................24 Organisational structure ..................................................25 Operations ............................................................27 Ethics and integrity ......................................................28 People ....................................................................29 Finance ...................................................................33 Communication .............................................................35 Risk management ............................................................38 Performance indicators ........................................................40 1. Land managers and producers using best management practice .................47 2. An innovative and adaptive production sector which effectively manages risk ........57 3. Competitive food and agricultural industries .................................68 4. Increased value of domestic and international trade ...........................74 5. Reduced incidence and impact of environmental and community based risks .......84 Financial statements ..........................................................87 Notes to the financial statements ................................................95 Appendix 1: Legislation administered by the department ........................133 Appendix 2: Other key legislation impacting on the activities of the department .......134 Appendix 3: Statement from the Commissioner of Soil and Land Conservation .......135 Department of Agriculture and Food ANNUAL REPORT 2011 6 Director General’s foreword I am pleased to present the department’s annual report for the year ending 30 June 2011. This year has been both confronting and exciting. Simultaneous flood and drought conditions in various parts of the state have put producers under pressure, threatening livelihoods and the sustainability of agricultural businesses and rural communities. Beyond our immediate emergency response to the natural disasters that faced our state, the department has broadly enhanced the profitability and sustainability of the agriculture and food sector. In addition, we have restructured the department to improve our services to the sector for tomorrow and beyond. Western Australian agriculture is exported-oriented. More than 80 per cent of our agricultural production is destined for export markets. In addition, there is a rapidly increasing range of value- added goods in the food sector. We have made major changes because our clients needed us to. Our business environment is becoming increasingly difficult, and, despite the state’s overall economic growth, many producers and others in the agrifood supply chains are in need. On the other hand, there are developments— such as expectations around quality and safety of the world’s food and fibre products—that play to our strengths. Our aim is to work closely with partners throughout the supply chain to help capture new opportunities being generated at home and by emerging economies in China, India and South-East Asia. We commenced the 2010–11 financial year successfully with a new structure and a new focus to build a better future for the state’s $6 billion agriculture and food sector. Our new industry-driven structure and approach aligns with the Western Australian government’s
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