Agriculture sector on upcoming land clearing reform debate

The upcoming overhaul of national environmental laws, reports of illegal land clearing with the Northern Territory cotton industry and speculation the European Union deforestation regulations will be part of an upcoming trade deal have catapulted to the top of the sector's agenda for 2023.

The Commonwealth has been reluctant to weigh into the complicated issue and deferred responsibility to the state governments.

However following the NT allegations, Environment Minister Tanya Plibersek said there "must be serious consequences for anyone who does the wrong thing".

READ MORE: Labor to use EU trade as 'political cover' for tougher land clearing laws

"It's why we're setting up a new independent Environment Protection Agency to make decisions under national environmental law and properly enforce them," she said.

AgForce chief executive Michael Gurien urged the sector to see the government's about face as an opportunity to fix the broken and complicated land clearing laws, that forced farmers to contend with multiple layers of regulations from local council, and state and federal governments.

"The shift in tone is good, as long as it leans into policy reform," Mr Guerin said.

"We're leaning in to it very positively on the basis there is fundamental reform needed and as long as we are at the table."

Mr Gurien acknowledged the sector had a "long and hard conversation" ahead of it, but the current overlapping regulations of the three levels of government were leading to perverse environmental outcomes and reform was "well overdue".

NSW Farmers president Xavier Martin was more cautious, acknowledging the need for "careful re-calibration" but warning against populist swings in regulation.

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"We're always pursuing the commonsense middle ground, we need to balance the need to protect the production of food and fibre with environmental productions.

"Whether a plant is 10 centimetres or 10 metres high, it's competing for the social needs of food and clothing. So getting the balance right is of the utmost importance."

Any changes would need the social license of the farmers, given they managed more than 50 per cent of the nation's land.

"Vegetation management requires long term planning, not populist swings in regulation and legislation," Mr Martin said.

"Anything that could affect or limit food production, and therefore our economy and quality of life, needs to be carefully considered."

The Nationals have raised concerns Labor will use the upcoming free trade agreement with the EU as "political cover" to enforce more stringent land clearing laws on farmers.

By 2025, the EU will require importers to prove their products have not been the product of deforested land "anywhere in the world".

Australia Conservation Foundation nature campaigner Nathaniel Pelle said there was a clear and growing trend within all markets, with consumers expecting products to prove their sustainability credentials.

"It's inevitable more of our trading partners will adopt rules similar to the EU's in the near future," Mr Pelle said.

"Australia's agriculture sector and the National Party would be wise to view the EU's deforestation-free rules as an opportunity to capture a share of a growing market for sustainable food and fibre."

Mr Pelle said land clearing was "still rampant in Australia", but only a small number of "rogue producers" were responsible for the bulk of it.

"Putting a stop to land clearing is the only way to make sure the industry is environmentally and economically sustainable for the long-term," he said.

"Land clearing is terrible for threatened species, climate change, water quality and human health."