Independent Performance Review
An independent review of Dairy Australia’s operations and governance was completed in January 2021.
Dairy Australia Limited was formed in July 2000 as part of the deregulation of the dairy industry to assume the functions that had been undertaken by the Australian Dairy Corporation (ADC) and the Dairy Research and Development Corporation (DRDC).
In 2003, as part of the Australian dairy industry restructure, Dairy Australia was restructured. A Constitution was developed and a Statutory Funding Agreement agreed with the Federal Government.
Dairy Australia operates within a complex matrix of obligations owed to multiple stakeholders. By virtue of its status as an industry-owned rural research and development corporation (RDC), it owes obligations to its members and to the Commonwealth and is also subject to the legislative obligations ordinarily owed by corporations.
As an industry owned RDC, Dairy Australia is reliant upon the Commonwealth for funding. The terms and conditions surrounding the basis upon which that funding is granted to Dairy Australia are set out in the Statutory Funding Agreement.
At the 2013 AGM, members voted to pass 11 separate special resolutions to amend Dairy Australia's Constitution. At the 2014 AGM, members voted to pass one special resolution to amend Dairy Australia's Constitution. These amendments have now been approved by the Federal Minister for Agriculture and are now in effect.
At the 2016 AGM, the requirement to have Ministerial consent to changes to the Constitution once approved by Group A members was removed. This was undertaken at the request of the Federal Minister for Agriculture.
In accordance with Rule 22 of the Constitution, the Board must establish certain sub-committees.
The Board sub-committees currently in place are the:
The Board Skills Matrix is a summary of those skills areas which the Dairy Australia Board considers to be required of the Board as a whole. This information is updated by the Board (in consultation with its committees) as the needs of the industry and the organisation change.
Dairy Australia’s constitution establishes the parameters within which the organisation is able to operate. Dairy Australia was established in 2003 to act as the industry’s national services body. Its role is to undertake collective investment on behalf of the industry, investing in research, development, extension and industry services that individual farmers and dairy companies are unable to efficiently undertake themselves. The eight regional teams are funded by Dairy Australia to deliver services specific to each dairy region.
Dairy Australia's constitution does not allow it to act in the representation/advocacy area. This function is performed by Australian Dairy Farmers Limited, Australian Dairy Products Federation and their associated state dairy farmer organisations.
This diagram explains the dairy industry's structure.