PM announces $320m drought package 2:25 PM Tony Abbott unveils an assistance package for drought-affected farmers in New South Wales and Queensland. $320m lifeline for drought-hit farmers

TONY Abbott has announced a $320 million assistance package to drought-stricken farmers, including fortnightly welfare assistance, concessional loans and increased access to mental health services.

The Prime Minister said he was not offering struggling farmers a hand out, but “a hand up”, and rejected suggestions the additional measures were inconsistent with the tough line the Coalition has taken on industry assistance.

“Some of you may be inclined to say, this is a special deal for farmers, no, this is akin to a natural disaster,” Mr Abbott said.

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“The determination of this government is to stand by Australians in good times and in bad, we can’t work miracles, there are no magic wands, but we will do what we can to help in difficult times.”

The drought assistance package will provide $280 million to “hundreds” of farmers to access five-year concessional loans at a rate of four per cent, up to the value of $1 million.

It enables farmers to access a fortnightly farm household allowance, which is equivalent to the Newstart allowance, even if they have total net farm assets of up to $2.5 million.

The package will also provide additional money to the Queensland and New South Wales state governments for water-related infrastructure rebates, as well as $10 million to help reduce the impacts of wild dogs and other pest animals.

Another $10.7 million will be provided to help with the delivery of social support services, including access to mental health support, in drought-affected areas.

Mr Abbott said the measures were largely building on existing programs, but that the Coalition was “making them more responsive to the particular needs of farmers who are hit by drought”.

Labor’s agriculture spokesman Joel Fitzgibbon said Opposition supported the drought package but that it’s announcement was overdue.

“It will be welcome by many struggling farming families,” he said.

“But it is a package that should have come about a month ago and every week, in fact every day, for a struggling farm family is a long day,” he said.

But Mr Fitzgibbon said it was important the eligibility criteria for the concessional loans were significantly relaxed so more farmers could access the low-interest loans.

He also said he was “a bit disappointed” further consideration was not given by the Abbott government to providing wage assistance to farmers.

The National Farmers Federation chief Matt Linnegar also welcomed the suite of measures, but he said a longer-term vision for drought resilience was still needed.

“We are obviously very pleased to see that announcement today,” he said.

“From what we have seen today the PM’s visit to those drought affected areas has had a personal impact on him.”

Greens leader Christine Milne said the emergency relief measures were a good first step but she criticised the Coalition for not tackling climate change and warned farmers needed to do more to adapt to global warming.

“The drought in Australia is another example of global warming intensifying drought, making life harder for people on the land and farming communities,” Senator Milne said.

“But the biggest problem that Australian farmers have are Tony Abbott and Barnaby Joyce and their denial of the science of global warming, and their assertion that you can’t plan for drought and that what you have to do is to pray for rain.”