The Federal Government has been accused of leaving rural producers out in the cold after the Exit Grant program ran out of funds last month.

Exit grants are part of transitional arrangements that allow farmers to exit the industry with dignity after 10 long years of drought, while those farmers buying them out diversify their risk, expand their operations and make properties productive and viable once more.

In its May budget the Federal Government announced that the exit grant program had been extended by a further 12 months as part of its drought assistance measures.

Yet less than six weeks into the 52 week program funds ran out and the program was discontinued.

“Farmers who had made the gut-wrenching decision to exit the Industry because of the availability of the government’s exit grant have been left out in the cold,” Shadow Minister for Agriculture and Food Security, John Cobb, said.

“Having committed to the sale of properties farmers now find themselves short-changed because Labor has been too mean to fund the program adequately.

“In Victoria alone there are reports of at least 30 farmers who have sold their farms after receiving official pre-approval from the government, but who have now missed out on funds.

“Many Farmers made the difficult decision to exit the industry because the exit grant regime offered the chance to leave the land with dignity, but they will now be left financially out-of-pocket and emotionally destitute by a callous government.