Budget delivers investment, but regions need continued support

Queensland Fruit & Vegetable Growers (QFVG) welcomed investment in water assets as part of the 2026–27 Queensland Budget, however warned that ongoing commitment and future funding will be needed to ensure these assets deliver their full potential.

QFVG CEO Mr Kompo-Harms said water was foundational to the future of regional Queensland, supporting food production, communities, jobs, and economic growth.

“We acknowledge the Queensland Government’s continued focus on important water investments, including progress on projects such as Emu Swamp Dam and Paradise Dam, as well as initiatives that support better management of existing water resources,” he said.

“However, these investments must be backed by ongoing commitment and future funding to ensure they deliver the outcomes regional Queensland and agriculture needs.”

Mr Kompo-Harms said new digital water initiatives and improvements to water planning were positive steps towards making Queensland’s water systems more efficient and responsive.

“Investment in digital water assets, including water trading improvements, are important steps towards greater flexibility and productivity,” he said. “But they need to be matched with the infrastructure investment required to make water available where it is needed.”

Mr Kompo-Harms said major infrastructure investment ahead of the Brisbane 2032 Olympic and Paralympic Games must be balanced with continued investment in the infrastructure that regional Queensland relies on.

“The Olympics will bring significant infrastructure investment, but this must not come at the expense of the essential assets that support regional communities, agriculture, and the broader economy,” he said.

“Water infrastructure, roads, and transport connections are critical to keeping regional Queensland productive and connected, and these priorities must remain part of the state’s long-term infrastructure planning.” 

“Regional communities must not be disadvantaged by the inevitable increases in construction, materials and borrowing costs driven by the Olympics. We certainly cannot tolerate any government waste or cost blowouts.”

“The legacy Queensland needs is one where regional communities - not just the South East corner - are stronger, more connected, and supported by the infrastructure needed to grow.”

Mr Kompo-Harms said QFVG recognised the broader challenges facing the Queensland Budget, including uncertainty around Federal decisions affecting disaster recovery funding and GST arrangements.

“We recognise there are external pressures and decisions outside the Queensland Government’s control that are impacting budget settings,” he said.

“We stand with the Queensland Government and our regional local councils in opposing and fighting changes to disaster recovery funding arrangements. As it stands, Queensland communities and local governments will almost certainly be disadvantaged, and regional areas will bear the brunt of it.”

“Regional Queensland cannot afford to be left behind.”

Mr Kompo-Harms said QFVG remained disappointed that the Budget did not address concerns around payroll tax settings impacting primary producers.

“Payroll tax remains an issue for many regional employers, and the current settings do not reflect the realities of agriculture,” he said.

“A review would be a practical first step and would not come at a significant cost.”

“The solution does not need to be a wholesale overhaul - addressing the settings that are creating inequity and confusion for regional employers would be a sensible and targeted approach.”

A strong regional legacy will depend on getting the fundamentals right and having the settings in place that allow businesses to grow.