FARMERS should vote to raise the dairy levy to continue their industry's growth, writes BILL PYLE

Dairy farmers are being invited to vote on an increase in their compulsory dairy levy or scrap the levy all together.

To do the latter is an extremely shortsighted action that could jeopardise the future of the industry.

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In 1975-76 the Victorian dairy industry in particular was a basket case. And the other third of the industry spread across the remainder of Australia was not much better.

Cows were being sold for $5 or shot due to lack of fodder.

The milk payment was $1/kg of butterfat (less than 5c/litre) and there was nothing for protein - this was only obtained after 20,000 people had marched in towns across country Victoria and later 10,000 in Melbourne.

People in high and influential places were doing their best to phase out the local dairy industry and import dairy from New Zealand in exchange for locally made cars and whitegoods.

The year 1970 saw 60,000 dairy farming families produce seven billion litres of milk from 3.2 million cows - the highest production ever reached in the nation's history.

This level of production plummeted to 5.2 billion litres by 1979, slightly above local consumption.

It was 1992 before seven billion litres was reached again.

By 2002 milk production was more than 11 billion, before the effects of 14 years of below-average rainfall including two, one-in-100-year droughts.

Production is now about nine billion litres, produced from 90 per cent fewer farms and a million fewer cows than 1970.

More than two-thirds of the nation's milk is produced in Victoria.

These figures demonstrate the extraordinary gains in productivity, which did not happen by chance, but were made possible by the increased investment in research and promotion funded by dairy farmers then and today.

Last year this amount was raised to $17 million by the Federal Government, adding about 52c for every farmer dollar and support from the state governments.

There are numerous other examples:

THE Australian Dairy Herd Improvement Scheme brought to farmers' attention the Australian Breeding Values of bulls and cows in the nation, resulting in increased production of dry matter/hectare.

FARMERS being paid for fat/protein (milk solids) rather than just butterfat, giving vital market signals.

COUNTDOWN Downunder, a mastitis-prevention program, has seen bulk milk cell counts drop significantly across the national herd. Ten-day use-by dates on fresh milk could not be achieved without such improvement.

THE Phosphorus for Dairy Farms project at the Department of Primary Industries at Ellinbank, demonstrating the most economic level of nutrients in the soil, plus the necessity of soil testing and nutrient mapping of the farm.

DAIRY Herd Fertility 1997-2005 - which used $4 million of dairy farmer levies and a further $4 million obtained from outside sources to make the levy go further.

During the past 35 years, dairy promotion has seen local consumption of cheese go from 1kg to 12kg/head - in France 30kg/head is consumed - overcoming the negative propaganda about dairy products and clearly showing the importance of dairy in a balanced diet.

Without the levy none of this could have been achieved, a levy that is tax-deductable and continues to return an excellent dividend on investment.

It is gratifying to see Murray Goulburn support the 10 per cent increase in the levy, although the other manufacturers and processors remain silent.

They do not have to consult their suppliers about research they do; it simply comes out of farmer incomes.

It means farmers never have the chance to comment, much less vote.

There is no doubt that some research projects were "duds" and much more accountability should be put in place by those overseeing all projects.

All dairy farmers should be taking much more interest in their farmer organisations, seeking far better communication by being actively involved.

The great dairy industry will only continue to thrive if dairy farmers support research and promotion via the levy.

Governments of all persuasions discovered in the late 1970s that there are far more votes in welfare, education and health than in agriculture.

The numbers have not improved since, so please give serious consideration to voting for an increase, not just for the sake of the industry but for the sake of you and your family's future, because in this instance it is definitely "in your hands".