Senator The Hon Bridget McKenzie – Shadow Minister for Infrastructure, Transport and Regional Development
4 June 2025
Large parts of Victoria are experiencing significant drought and inability to access fodder across the state leading to urgent calls for federal assistance.
Victorian Nationals Senator, Bridget McKenzie joined farming groups to call on the federal Labor government to bring back interest-free loans for Victorian farmers through the Regional Investment Corporation (RIC).
In Ballarat on Monday, Senator McKenzie urged the Prime Minister to visit Victorian farmers. To date, the Prime Minister has visited South Australia but not Victoria.
Coalition MPs would be happy to host the Prime Minister on a tour of drought affected areas, Senator McKenzie said.
“The pain our farmers are facing ripples throughout the whole community and affects the mental, social and economic health of the community as a whole.”
“In 2019 the Coalition introduced a two-year interest free period for drought loans up to $2 million for farmers experiencing hardship” Senator McKenzie said.
“The drought loans zero per cent interest rate applied to new and existing loans and enabled refinancing existing debt from a farmer’s commercial bank, to give farmers breathing space, manage cashflow and providing time to restock and replant.
“The program stopped a lot of farms from going bankrupt. It is clear recent drought events are really hurting farmers, which is why I am calling on Labor to revisit this RIC loan product once again.”
Drought does not appreciate state borders. We need adequate relief for Victorian farmers alongside our South Australian counterparts, she said.
Senator McKenzie said current assistance doesn’t go far enough and farmers would get much-needed reprieve by having access to a $2 million loan with an initial 2-year interest free period, then 3 years interest only, then 5 years principal and interest.
“The difficulty accessing fodder means Victorian farmers need this more generous loan product made available now.”
ENDS