Farmer contributions to the National animal identification and tracing (Nait) scheme have been reduced with the slaughter levy for cattle halved to 50 cents per tagged carcass.
The 50 per cent reduction to the current levy took effect last weekend.
Nait programme design and farm operations group manager Dr Stu Hutchings said submissions from a range of industry groups had been considered before the levy was reduced.
"This levy reduction is a good news story for farmers and demonstrates Nait's commitment to reduce costs to farmers as soon as possible."
He said the Nait group's intention was to only recover what it needed to operate and maintain systems.
"This is the second levy reduction we've been able to deliver to farmers within 12 months. A full funding review of Nait will be undertaken later this year."
Nait tag and slaughter levy rates were set in mid-2012. Early and widespread adoption of Nait tagging led to a reduction in cattle levies last year, with the cattle tag levy reducing from $1.10 to 90 cents and the slaughter levy for cattle decreasing from $1.35 to $1.
The cattle tag levy and the $13 levy for untagged carcasses at meat processors will remain unchanged.
Deer farmers fall outside the cattle levy reduction.
- The Press