Fed: Package will do little to help farmers: Democrats

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Fed: Package will do little to help farmers: Democrats

CANBERRA, Dec 9 AAP - The federal government's drought assistance package would dolittle to help farm workers, the Australian Democrats said today.

Prime Minister John Howard announced the government would introduce new drought assistancemeasures worth $368 million over three years and provide an interest rate subsidy on loansof up to $100,000 for stock support and drought recovery.

Other measures would also help people who become unemployed because of the drought,including a work for the dole style Droughtforce scheme to help keep farm workers in droughtareas.

Democrats agriculture spokesman John Cherry said the financial assistance was welcome,but the Droughtforce scheme would make little difference.

"Putting people on work for the dole actually provides no benefit for them in thatthey are effectively going back to do their old job without really being paid for it,"

he said.

"The Democrats would prefer to see the government bring forward ideas such as environmentalrepair, community services, community jobs and actually get some real money into theseeconomically-devastated regions to help farm workers and also to help small businessesby keeping income in the regions.

"What we're seeing today is a reasonable start.

"We're finally seeing an acknowledgement that the drought is affecting more than justthe farming community, but clearly it falls well short of what is a helping hand for farmhands."

AAP rft/kjp/jmd/bwl

KEYWORD: DROUGHT DEMOCRATS