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Wool Stocktake : AWI Annual Report 2017-18
STAKEHOLDER INVESTMENT FOCUS Woolgrower Representative Bodies AWI’s objectives are to provide all relevant grower representative bodies with the opportunity to be informed, engaged and consult with AWI to provide feedback on their member priorities for research, development and marketing. Market Access To work with domestic and foreign governments and welfare stakeholders in key markets to minimise the obstacles to commercial trade. To manage sensitive issues in order to protect the industry from external threats. Government AWI aims to work productively with government stakeholders to ensure a sufficient understanding of the wool industry, AWI priorities, and outcomes of AWI’s investments, and to ensure statutory compliance. STRATEGIC TARGETS Targets for three-year period 2016/17 to 2018/19 Progress during 2017/18 1. AWI reports on and meets its statutory requirements every six months. Achieved for 2017/18. AWI reported its statutory compliance to the Department of Agriculture and Water Resources (DAWR) on 1 December 2017 and 27 August 2018 (the second meeting was delayed at the request of DAWR). DAWR raised no compliance issues with AWI. In the 2018 review of AWI’s performance, Ernst & Young found AWI had fully complied with the vast majority of SFA clauses; non-compliance was found in three instances and partial-compliance in four instances. AWI is working to address these. To increase transparency and accountability to stakeholders AWI will publish its compliance reports on its website (wool.com/statutory-obligations). 2. Measure positive change in stakeholder awareness of AWI’s activities and outcomes (evidenced through annual stakeholder surveys). Achieved for 2017/18. AWI undertook a stakeholder survey in Q1 2017/18, which showed increased satisfaction with AWI amongst woolgrowers. KEY RESULTS DURING 2017/18 GOVERNMENT STAKEHOLDERS • In April 2018, AWI and DAWR agreed to vary the Statutory Funding Agreement (SFA) for 2016- 2020 to accommodate changes to the 2015-18 independent Review of Performance (RoP). Both parties agreed to expand the terms of reference, transfer management of the RoP consultancy to DAWR, and equally share the costs of the RoP. INDUSTRY STAKEHOLDERS • AWI continued to improve the effectiveness of AWI’s Woolgrower Industry Consultative Committee (ICC) – a process which has been ongoing for the past two years. The ICC is AWI’s formal mechanism to consult national woolgrower industry organisations, and comprises representatives from WoolProducers Australia, Australian Association of Stud Merino Breeders, Australian Superfine Wool Growers Association, Australian Wool Growers Association, Pastoral and Graziers Association of Western Australia, a representative from the broad wool breeds and an observer from the Australian Government. In 2017/18, AWI focused on improving the flow of information to and from the ICC to improve the transparency of reporting. Changes included: the improvement of the briefing pack and minutes, inviting more grower production groups as guest participants, and publication of ICC briefing packs and meeting records on AWI’s website to enhance transparency of the ICC. AWI convened three ICC meetings (12 October 2017, 16 February 2018 and 20 June 2018) and held ongoing engagement with ICC member organisations throughout the year to provide updates on its R&D and marketing investments. • Outside of the ICC, AWI built greater awareness of its R&D and marketing projects, continuing its program of proactive and formal engagement with state farm organisations and state Stud Merino Breeders Associations. • The priorities identified in consultation with woolgrower representative groups were reported to the AWI Board and AWI staff and guided the development of AWI’s 2018/19 Annual Operating Plan. SUPPLY CHAIN ENGAGEMENT • AWI commissioned a survey focusing on consumer awareness of welfare issues in wool and meat in all key markets. • AWI hosted the Animal Welfare Forum and meetings with key welfare stakeholders in Australia and internationally to update stakeholders on AWI’s sheep welfare R&D and extension program. MARKET ACCESS • AWI continued its trade and market access activities, which are mainly focused around market maintenance. Along with monitoring developments in the Free Trade Agreement (FTA) with the European Union, AWI is currently working with the Department of Foreign Affairs and Trade to seek a tariff reduction on raw wool exports to India. Note: For further information on AWI consultation, see the section on page 62. 44 REPORT OF 2017/18 OPERATIONS – WOOLGROWER SERVICES
AWI Annual Report 2016-17