To ensure the future viability and sustainability of the Australian grains industry, it is important to mitigate risks from exotic pests and respond effectively to plant pest threats. The Emergency Plant Pest Response Deed (EPPRD) is an agreement between government and industry that establishes national governance and investment in responding to and eradicating emergency plant pests (EPPs). Under the EPPRD, growers affected by response activities may qualify for reimbursement of certain costs or losses, known as owner reimbursement costs (ORCs).

An agreed component of the EPPRD is the framework for ORC, alongside the Guidelines for owner reimbursement costs under the plant pest deed (Centre for International Economics, June 2004- CIE). The CIE guidelines provide a framework for calculating ORC payments for plant industry sectors under the EPPRD. Each industry then employs an industry-specific ‘evidence framework’ that converts ORC guidelines into specific calculations of ORC payments to producers, ensuring they are auditable, transparent, and fair.

The current Evidence Framework for Owner Reimbursement Costs for the Grains Industry v1 was published in 2007. Given the significant evolution of the grains industry since then, there is a necessity to review and update this framework to reflect the current situation. This includes consideration for all present Australian grain crops within the framework, with adaptations to account for crop and regional variations. The GRDC is investing in the development of this updated ORC evidence framework, including an annual update of this document throughout the life of the investment.

Updating the framework will necessitate consultation with the grains industry and supply chain, along with the provision of cost estimates involved in producing grain crops in Australia. It is essential that the input values and calculations within the framework are determined in a transparent and defensible manner, and where possible, the sources are identified prior to an incursion.