A new TB slaughter levy has been in place since August 2016. The previous TB levy rate of $11.50 was replaced with a differential rate of $6.30 per beef animal and $13 per dairy animal. The TB levy rate amendment was determined a result of the wider review of the TB plan*, as part of an agreement between the livestock industries (beef, dairy and deer) and Government.
The new TB levy rates take into account the different financial contributions to the TBfree programme intended to be made over the life of the plan by the dairy and beef industries.
At the request of industry and Government the levy is managed by assigning animal production types utilising the NAIT system. Within the NAIT system, account holders can assign their required production type, dairy or beef, which then determines what levy is charged at the time of slaughter.
To ensure farmers are charged the correct rate it is important that when tagging and registering their animals they select the correct production type for their livestock in the NAIT system. For untagged animals, the meat processors use the primary farm level (NAIT number) production type to determine what levy rate should be charged.
When purchasing animals, farmers need to make sure animal production types are correct after the movement onto their property is confirmed. If an animal’s production type is dairy at the time of being sent to slaughter, then the farmer will be charged the dairy levy for that animal. If the production type of the animal is changed from dairy to beef and stayed on a beef farm for more than 62 days, then the farmer will be charged with the beef levy.
If you are purchasing animals on a regular basis your livestock agent, or information provider, might help you with updating the production types of animals.
TB Slaughter Levy: Key tips and advice for farmers
- Keeping your NAIT account up to date. This includes recording movements on and off your property and reviewing animal production type for any livestock being consigned to slaughter. This will ensure you are charged the correct levy.
- If finishing dairy animals as beef, the production type must always be updated in the NAIT system 62 days before sending to slaughter; otherwise the animals will be charged the dairy levy.
- For untagged animals, the meat processors will use the farm level (NAIT number) production type for charging the TB slaughter levy.
- For unregistered animals, the meat processors will use the tag level production type for charging the TB slaughter levy.
Guidance on how to update your production type and frequently asked questions can be found at www.tbfree.org.nz/tb-slaughter-levy.aspx
*Further details on the TB Plan review can be found at www.tbplanreview.co.nz/