 AUSTRALIAN
HONEY BEE INDUSTRY COUNCIL Address: Level 12, 52 Phillip Street, Sydney NSW 2000 Telephone: 02 9247 1180 Mailing Address: PO Box R838, Royal Exchange NSW 1225 Facsimile: 02 9247 1192 Email Address: ahbic@honeybee.org.au ABN 63 939 614 424 Dear Industry Participant When AHBIC was established in 1998, the Memorandum and Articles of Association provided for a review of the organisations operations after two years. This review is now being undertaken and provides an opportunity for all members of the industry to express their views on the structure of AHBIC, its organisation, effectiveness and efficiency. In addition to the survey, you will find enclosed some background material. Before completing the survey, you should take the time to read the Discussion Paper and the Extract from the Chairmans Report to the 2000 Annual General Meeting. The information contained in these papers will help you to understand the issues being canvassed in the review. To ensure the maximum input by members of the industry, the Review Committee would welcome your assistance in returning the survey to the AHBIC office as soon as possible. The closing date for submission is 12th October 2000. If you have any questions concerning the review, please contact Stephen
Ware at the AHBIC office on 02 9247 1180. Yours sincerely DISCUSSION PAPER 1. Terms of Reference 1. To review AHBICs: 2. To determine industry members views on: 2. Corporate Structure and Management (Questions 5, 6 and 7)
Issues for Consideration The formation of AHBIC provides a vehicle to ensure that the industry
speaks with impact and with a united voice on major apiary industry
issues. This has allowed the industry to make one submission rather
than potentially four on a wide range of issues and has ensured that
the industrys viewpoint is communicated at a federal level. 1. Provide assistance to Member Bodies 2. AHBIC may relate to Industry National Sector Organisations up to
ten percent of their respective contributions to run, where applicable,
functions not taken over by AHBIC. (a)
(b) 3. Relationship with Member Bodies (Questions 8 and 9) AHBIC currently communicates with member bodies via state and sector
secretaries. AHBICs monthly newsletter also goes to 200 members of
state executives and policy makers in the industry. Member bodies have
entitlements on the AHBIC Executive Committee on the basis of one per
sector. 4. Relationship with Government Departments (Questions 10, 11 and 12)
The issue of resource management is constitutionally the domain of
the states and state issues are traditionally handled by state associations.
In the past twelve months, AHBIC has put submissions to states in respect
of GMOs, and the enquiry into the keeping of bees in urban areas (NSW),
and meetings have been held with the federal Minister for AFFA in respect
of resource management. As part of the AHBIC Review, an independent analysis will be undertaken of federal government instrumentalities which have dealings with AHBIC. As part of the review, it is important to ascertain industrys view on the organisations effectiveness. 5. Voluntary Funding of AHBIC (Questions 13, 14 and 15) AHBIC is funded by industry contributions from honey producers, packers,
queen bee breeders and the providers of pollination services. The amounts
provided by voluntary contribution are: Issues for Consideration Clearly the issue of those who are not contributing to the industry is a long term problem. There are groups in the industry who are free riding on those who are paying contributions, and these groups are happy to take the benefits. In order to ensure that there is adequate finance to represent industry in the future, it has been suggested that AHBIC become self sufficient. This could be achieved with a combination of funding by the industry quality assurance programme, investments and industry training. In addition, royalties from research and development expenditure could potentially be utilised. 6. Statutory Levies (Questions 16, 17, 18 and 19) Currently compulsory levies are collected in the industry through the Primary Industries Levies and Charges Collection Act 1991. A levy is imposed on honey production for research and development expenditure at the rate of 0.75 cents per kilogram and a separate levy is imposed at 0.3 cents per kilogram to fund the National Residue Survey (NRS). Recently queen bee breeders have voted to impose a levy on queen bee production at 4 cents per queen bee. In addition, industry has voted to increase the maximum levy rate for the NRS from 0.3 to 0.6 cents per kilogram. Industry currently spends approximately $400,000 p.a. on research and
development, comprised of $200,000 from industry and matching funding
of $200,000 from the federal government. To ensure equity across the entire beekeeping industry, the collection of levies on other products and services rather than just honey is a high priority. Additionally, as part of industry joining Animal Health Australia, it was agreed to establish a cost sharing arrangement with government and industry, and that an Animal Health Australia levy would be struck. Industry also holds contingency funds through the FCAAA to be used to fund the management of incursions. It has been suggested that a separate statutory levy be established
to rebuild industrys contingency funds and it has been suggested that
the industrys levy base be expanded to include the following products:
The imposition of levies requires changes to the current legislation which involves industry satisfying the Federal Government that any changes are consistent with its twelve stated principles. In order for levies to be imposed by industry, the individual sectors would need to agree. AHBIC wishes to establish overriding legislation which would allow the industry levy base to be expanded. The imposition of levies could then be effected by Federal Government legislation, subject to the approval of the individual sectors involved. For instance, to increase the current NRS levy from 0.3 cents to 0.6 cents would require the approval of FCAAA and its member bodies. In respect of pollination, legal advice makes it clear that pollination services does not meet the requirements of a statutory levy under the Primary Industries (Excise) Levies Act 1999. There is therefore no means to impose a statutory levy on pollination services under the legislation. Industry however, is still seeking in principle views to enable the issue to be discussed further, including possible mechanisms for a levy. Industry in the past has voted to support an Animal Health Australia levy and the imposition of a levy on queen bee sales. The Levies Collection Unit of AFFA has been advised of these decisions and approval of these proposed levies by participants in this survey would form the basis of satisfying the governments twelve levy principles and therefore, potentially, result in the imposition of a statutory levy in these instances. 7. Promotional Strategy (Questions 20, 21, 22, 23 and 24) The current promotional strategy of the industry involves the use of the industry video, the Honey Book and the recently released Teachers Resource Kit and promotional brochure. AHBIC has also established a website with links to other related sites. At a local level, individual state associations of FCAAA have been active in promoting the industry at agricultural shows and trade fairs. Currently the weak link in the marketing of Australian honey is the international prices received for the product. There is no doubt that Australia can sell all the honey it produces. However, on international markets we continue to be a price taker and often quality Australian honey is used as blends with other countries products. In order to strengthen the marketing of Australian honey a number of issues need to be considered. Issues for Consideration It has been suggested that industry examine the possibility of each
state nominating a connoisseur of honey and introduce the same concept
as the Wine Masters Awards. The Honey Masters Award could potentially
be presented at the AGM of AHBIC to maximise publicity for the industry.
AHBICs involvement in respect of international trade forums is also
another issue which has been raised. In other countries, national industry
bodies have shopfronts to provide products of the industry. Further, current international marketing information is primarily supplied by the Honey Packers and Marketers through their international body. It is obvious that to strengthen the marketing of Australian honey, more information is required by both packers and producers domestically in order that niche markets can be developed. Likewise, a presence at international trade fairs and shows would seem to be another avenue for developing the international product. 8. Communication (Questions 25, 26 and 27) Currently AHBIC communicates via state and sector secretaries and through the publication of a monthly newsletter. In addition, members of the AHBIC Council report to state and member bodies through their regional and management meetings. The newsletter is also circulated to all beekeeping club secretaries, some 200 copies in total. Issues for Consideration Despite the above, the area of communication with individual beekeepers continues to be one that is continually raised by members. Industry communication with external bodies is an area which has been raised as a result of negative publicity surrounding bee attacks and subsequent requests from media personnel to discuss the issues involved with local representatives. The establishment of a national media training course for industry representatives has been suggested as a means of ensuring that the industry is well represented at a local level in terms of media comment. The current system of communicating AHBIC policy via a monthly newsletter has been questioned. The issue of whether those who wish to receive the newsletter should pay an industry subscription has been raised. 9. Educational Strategy (Questions 28, 29 and 30) AHBIC has written to the Rural Industry Training Council with a view to discussing the international competency standards for industry. In the longer term, this would involve the establishment of a core curriculum nationally for the teaching of beekeeping. In addition, AHBIC has been involved in discussions with FarmBis for the purpose of establishing training for a national quality assurance system (food safety). Issues for Consideration One of the major issues concerning industry leaders in respect of an educational strategy is the lack of computer skills within the industry. The US industry happily boasts more than 50% of industry participants using the internet and computers to assist their business operations. The level is much lower in Australia and it is an area which requires careful consideration. The issue is not just cost effective communication it is an issue of delivery of information in a format that is accessible to all industry participants. Some more background to the review EXTRACT FROM CHAIRMANS ADDRESS
TO Emergency Response (a) Incursion Management As you are all aware, the industry has suffered a number of incursions in Brisbane during the past twelve months. At the same time varroa was discovered in New Zealand and, as a result of these developments, we have moved rapidly to update the industrys Readiness Plan including the establishment of rapid response groups. Industry has also moved rapidly to revise our existing Ausvet Plan and I am pleased to say that we have also included small hive beetles for the first time. (b) Bee Attacks As you are aware, during the year there have been a number of highly publicised incidents of bees attacking humans. In many instances these attacks have been reported in a highly emotive manner by the media. As a result of these attacks, your federal body has undertaken two courses of action, the first being a submission prepared for the NSW Enquiry. Secondly, the industry has prepared a national media strategy which is currently being finalised. One of the key recommendations in that document is that we conduct media training for industry personnel. This process, we hope, will be commenced and concluded within the next twelve months. Oxytetracyline Hydrochloride (OTC) The issue of residues is a problem for domestic and international customers. AHBIC has been working with government to increase residue testing and to gain a greater awareness of the problem residues and to encourage proper usage of OTC. We have supported ongoing research by the Honey Bee Research and Development Committee (HBRDC) and, as alternatives are determined, we believe we will see the phasing out of OTC. In the interim, we have established a Maximum Residue Limit (MRL) through the National Registration Authority (NRA) at the farm gate level and, at this point in time, we are still pursuing a MRL under the Food Code to assist our packer members. International Trade AHBIC is continuing its efforts in international trade and we have been involved in two major submissions during the year. These have been in respect of OIE (bee diseases) and in Codex Alimentarius standards for sugar and honey products. Both these submissions and enquiries were critical to our industry. The OIE enquiry potentially would have involved veterinarians to inspect every hive in Australia at considerable cost to industry if the discussion paper had been allowed to go forward in an unamended format. In respect of Codex, we have made important changes to the standards for the trade of honey and honey products. The year also saw AHBIC continue to push the case for the export of queen bees into the United States. I am pleased to say that, at this point in time, a Pest Risk Assessment (PRA) for the importation of honey bees from Australia to the United States is under way and we are optimistic that, within the next twelve months, Australia will be exporting to this important market. In respect of market access, we have been involved in producing standards for the export of honey into Fiji and also we continue to seek access for the Australian honey into the New Zealand market. The future for international trade will require increased monitoring and industry will be working through the Codex process to see eventually:- (i) the establishment of a veterinary treatment
standard for bees; These are important areas which need to be continually pursued by AHBIC. Quality Assurance The Executive Committee tackled this important issue during the year as we recognise that it is not only a food safety matter but it is important for market access both domestically and overseas. I am pleased to announce that the Executive Committee is currently finalising details with NSW Agriculture to undertake the development and implementation of this important programme. Genetically Modified Organisms (GMOs) AHBIC continues to monitor the situation regarding GMO crops. We are acutely aware of the problems which have occurred in the European Union and the problems experienced by the United Kingdom beekeepers as a result of consumer perception of GMOs. In the coming years, more than $100 million per annum is expected to be invested in GMO crop development and shortly these crops will be released to the wider broad acre industry. As a result, AHBIC made strong representations regarding labelling laws and we are still to hear of the governments final response. I would, however, conclude this subject by saying that we continue to monitor it and are in no doubt of its importance to the ongoing consumer perception of our product. Communication AHBIC continues to review its strategy in this area. During the year, the monthly report of AHBIC was both increased in size and distribution and media outlets which covered our industry were given the right to reproduce articles for their own readers. I must confess, however, I am continually surprised at how many individual beekeepers complain that they are not aware of what AHBIC is doing. It has been the chosen strategy of AHBIC that the elected office bearers of the industry should be the voices of industry and they should be communicating to their fellow beekeepers on the movements in the industry. The cost of sending information from AHBIC to every individual member of industry would be immense. There will, however, be a need to review this strategy if our elected office bearers do not take a higher profile in advising members of AHBICs activities. During the year, I am also pleased to report, the educational video was finally released. The website was established and, as I have already reported, we are fine tuning our media strategy to enhance the industrys profile. Animal Health Australia AHBIC joined Animal Health Australia (AHA) during this past year as a result of a conference resolution passed twelve months ago. AHBIC continues to be actively involved in developing a cost sharing agreement for diseases. It is pertinent to note that the eradication of varroa in New Zealand is estimated to cost $50 million. Under the cost sharing agreement we are negotiating with state and federal governments together with industry, 80% of costs could be paid by the government should the worst happen and varroa enter Australia. It is very important that industry continues to work to obtain this cost sharing agreement. In respect of emergency and disease management, membership of AHA and a successful negotiation of cost sharing, will also allow industry membership of CCEAD which will allow us to have direct input into disease control. It is also pleasing to note that industry participated
in Protect Australian Livestock Week and also in Quarantine Week.
Both of these campaigns were beneficial to our industry both in public
relations and also in highlighting to the public generally the importance
of quarantine and vigilance against foreign pests and diseases.
ABHIC Review As part and parcel of the establishment, it was agreed that a review should take place after two years. In this regard, we at AHBIC have appointed Ms Carolyn Tanner of the University of Sydney to undertake that review. Should you have any suggestions for improvement of AHBIC as an organisation, I would encourage you to make your submissions to the review to ensure that it is a constructive exercise where we look forward to the future and not backwards. I would like to conclude by saying that AHBIC has tackled todays problems and we are looking to the future to ensure that industry is well prepared for future problems. In respect of AHBIC as an organisation, my vision is for a self sufficient and well funded organisation with a world class quality assurance system working to maximise income to industry participants and having a pool of well trained industry members. Mr Laurie Dewar, Chairman AHBIC SURVEY Name:
.. 1. General Background Q.1 With which sector of industry are you involved? (Please
tick one or more responses) Q.2 Do you derive the bulk of your income from the honey bee industry?
Q.3 Do you pay voluntary contributions to AHBIC? Yes q
No q Q.4 Overall, are you currently satisfied with the tasks AHBIC is
performing for your industry? 2. Corporate Structure and Management Q.5 Are you satisfied with the existing structure of AHBIC?
Q.6 It has been suggested that the number of delegates to AHBICs AGM be reduced in order to cut the cost to industry of running the AGM. Additional industry members would be allowed to attend and participate (other than vote) in the AGM at their own expense (or funded by their sector). a. Would you support the number of delegates being reduced to? FCAAA 7 (all voting) b. Would you support the number of delegates being further reduced to? FCAAA 4 (all voting) Q.7 It has been suggested that AHBIC undertake the Secretariat functions for the four sector organisations FCAAA, HPMAA, AQBBA and NCPA in order to reduce the costs of these organisations. (a) If these organisations were willing to hand over these Secretariat functions, would you support such a move? Yes q No q
Undecided q (b) If AHBIC was to take over the secretariat functions would you support amending Regulation 3. (Regulation to Rule 14.1 (h) of the Constitution)? Yes q No q
Undecided q 3. Relationships with Member Bodies Q.8 It has been suggested in respect of representation to AHBIC, that branches of member bodies of the FCAAA, AQBBA, HPMAA and NCPA, have the right to do directly to AHBIC. Do you support this proposal ? Yes q
No q Undecided q
Q.9 Would you support FCAAA having two nominees on the Executive Committee of AHBIC? Yes q No q
Undecided q 4. Relationship with Government Departments Q.10 Do you believe that AHBIC has been effective in dealing with government instrumentalities? Yes q No q Dont know q Q.11 Do you believe that AHBIC should continue to make submissions to state enquiries e.g. NSW Enquiry into Beekeeping in Urban Areas? Yes q No q Undecided q Q.12 Do you believe there is a role for more input from AHBIC in relation to resource management? Yes q No q
Undecided q 5. Voluntary Funding of AHBIC Q.13 Do you believe AHBIC should work towards achieving financial self sufficiency over the next ten years? Yes q No q
Dont know q Q.14 Would you support the establishment by AHBIC of a quality assurance company which would charge fees for auditing and registration of quality assurance in the industry? Yes q No q
Dont know q Q.15 Would you support AHBIC seeking royalties in respect of research and development expenditure in projects with RIRDC? Yes q No q
Dont know q 6. Statutory Levies Q.16 Would you support a national programme to be funded by an Animal Health Australia levy to control American Foul Brood (AFB)? Yes q No q
Dont know q Q.17 As you are aware, there is an existing statutory levy on honey,
both for R&D and for NRS testing. AHBIC believes, if there is a
need to increase research and testing funding in the future, it is more
equitable to share this funding amongst more of the products in the
honey bee industry. To enable us to propose a levy on these products
in future we are seeking your backing now. Please indicate if you are
a producer of the product as this is essential for support of any future
levy. (Only answer this question if you are a
beekeeper) Honey comb/beeswax Yes q No q
Producer q b. Do you support a future NRS levy on:- Honey comb/beeswax Yes q No q
Producer q c. If you are a provider of Pollination Services, do you support a future mechanism to levy polllination services? Yes q No q
Not applicable q Q.18 Only answer this question if you are
a beekeeper. Note: If industry supports
this, it may result in a statutory levy being imposed.
Yes q No q Not applicable q Q.19 Only answer this question if you are
a beekeeper. Note: To increase the ceiling on the maximum allowable
NRS levy from 0.3 to 0.6 per kilogram of honey requires the approval
of industry. Yes q No q Not applicable q 7. Promotional Strategy Q.20 Should AHBIC investigate the possibility of establishing a Honey Masters Award? Yes q No q
Q.21 Do you believe that the AHBIC website should be enlarged to demonstrate all the products of the industry to overseas and domestic customers? Yes q No q
Q.22 Do you support the establishment of a national bee hotline in order to overcome adverse publicity in respect of attacks by bees? Yes q No q Q.23 Do you believe that AHBIC should, wherever possible, be represented at both domestic and international trade events, e.g. International Trade Fairs? Yes q No q Q.24 Do you have any further comments/suggestions on international promotion? Yes q No q
8. Communication Q.25 Do you believe that AHBICs communication with industry is adequate? Yes q No q
Undecided q Q.26 Do you support the establishment of a subscription fee for the monthly newsletter? Yes q No q Undecided q Q.27 Do you believe that AHBIC should establish a national media training programme for industry? Yes q No q Undecided q 9. Education Q.28 Does your business currently use or have access to a computer? Yes q No q If yes, do you regularly use the computer for: Q.29 If AHBIC were to negotiate a purchasing deal for a computer, would you: (i) definitely utilise this opportunity q
Yes q No q
Q.30 If AHBIC were to offer a partially subsidised computer training course in respect of beekeeping, would you: (i) definitely utilise this opportunity q
Yes q No q
Final Comments Are there any other issues you would like to raise in respect of the AHBIC organisation? Yes q No q
Thank you for your assistance. Please return the survey form to:
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