SHEEP producers can now apply for further funding as part of the Federal Government's $139.7m Sheep Industry Transition Assistance Package - but there's a catch.  

Applications for the $30 million Farm Business Transition Program opened last week, with up to $75,000 available to sheep producers for increasing on-farm adoption and uptake of alternative farming systems and practices. 

It adds to the previously announced funding of up to $2m per enterprise, available through the Government's $40m Supply Chain Capacity Program, with livestock transport operators also eligible to apply for up to $40,000 in grants via the $1.5m Livestock Transport Industry Transition Program.

However, as a condition of the grant applicants must match the Government's contribution, and deadlines are fast approaching. 

FARMERS SET UP TO "FAIL" 

Leader of The Nationals, David Littleproud, has criticised the funding - describing the Farm Business Transition package as "cruel and callous." He argued it was designed to "Make farmers fail and be unable to meet the terms and conditions." 

Aside from the dollar-for-dollar co-contribution requirements, as part of the grant conditions projects must be started and completed within certain timeframe. And applications for the Farm Business Transition Program and Livestock Transport Industry Transition Program, which opened just last week, and are set to close on 1 December 2025, while applications for grants under the Supply Chain Capacity close on 22 October. 

"The Farm Business Transition Grant requires farmers to match the payment – in other words – come up with up to $75,000 despite the fact our live sheep exports farmers have just had their livelihoods ripped away and don't have that kind of money," Littleproud said. 

"Labor knows it is spruiking a grant farmers can't actually afford to apply for. The grant closes on December 1, so there simply isn't enough time for farmers to find this kind of cash, especially in the lead up to Christmas." 

WHAT CAN THE FUNDING BE USED FOR? 

The Government said the Farm Business Transition Program is designed to support the development of business plans tailored to individual farm business circumstances. Eligible activities include infrastructure upgrades, equipment purchases, training, adoption of innovation and alternative management practices. 

It said the Livestock Transport Industry Transition Program aims to assist livestock transport operators to transition to other transport-related activities, which may require further investment in preparation for the end of the live sheep trade. 

The Supply Chain Capacity Program, which opened at the end of August, also offers grants of $50,000 to $2m for finishing and feedlotting developments.

Sheep producers may be eligible to apply for the farm business and supply chain programs, however, they cannot use the funding for the same project activity. 

For example, the Department of Agriculture said a producer may apply for a grant under the Supply Chain Capacity program to invest $500,000 ($250,000 grant funding, plus $250,000 co-contribution from the producer) for the development of a capital investment project – to construct a covered on-farm feedlot to improve finishing capacity. The same producer might also apply for a second project via the Farm Business Transition program – investing $150,000 ($75,000 grant funding plus $75,000 co-contribution) to implement on-farm feeding system management practices and upskilling staff to diversify business operations. Funding these complementary projects may be considered, but using funding from each program for the same activity (such as installing a new automated feeding system), would not be eligible. 

It is not clear whether farmers who also operate a livestock transport business would be eligible to apply for different projects under all three programs. 

MORE INFORMATION

For more information on the grants, go to: the Department of Agriculture website.