About the levy
Introduced in October 1989, the nursery levy (sometimes known as the pot levy) generates funds to invest in research and development (R&D), and marketing for the nursery industry. These investments advance the Australian industry and ensure its capability, profitability and longevity.
The nursery sector is one of 37 horticultural industries including growers of fruit, vegetables and nuts paying a voluntary levy of this kind.
The nursery industry levy program is facilitated by Hort Innovation. It is funded by the nursery products R&D and Marketing levy as well as voluntary contributions from industry. The Australian Government provides matched funding for all Hort Innovation R&D activities.
In collaboration with Greenlife Industry Australia and the State nursery & garden industry associations, Hort Innovation helps businesses in the nursery and garden industry by investing the nursery products levy in targeted marketing and R&D programs. Priorities for this investment follow the objectives of the Nursery Industry Strategic Plan 2022-2026.
Your Levy at Work has been funded by Hort Innovation using the nursery industry levy and funds from the Australian Government.
How does the levy system work?
Nurseries pay the levy on potted plants that are produced and sold in Australia. The levy is based on the sale price of the plant pot. Currently, the levy is calculated at 5% of the value of each container.
The government allocates the levy to one of two investment funds: R&D and marketing. The government matches money growers contribute to the R&D fund, dollar for dollar. The marketing fund does not receive matching funding.
In 2020–21, the government collected $3.19 million in nursery levies for investment.
Who manages the levy?
The Australian Government collects the levy, tops it up with matching funding and then entrusts it to Hort Innovation. Hort Innovation is a research and development corporation. Its role it is to work with each levy-paying sector to determine how the levy should be invested.
The nursery industry levy program is facilitated by Hort Innovation. It is funded by the nursery products R&D and marketing levy, as well as voluntary contributions from industry. In collaboration with Greenlife Industry Australia (GIA) and the state nursery and garden industry associations, Hort Innovation helps businesses in the nursery and garden industry by investing the nursery products levy in targeted programs.
What is the investment process and how are decisions made?
Until now, Hort Innovation has managed the levy investment process. While levy payers have been involved, many growers have felt distant from investment decisions and uncertain about how the system works.
In 2023, Hort Innovation announced a significant development. From now on, the nursery sector’s national peak body, GIA, will manage the investment process. The aim of this change is to involve levy payers more directly in the investment decision making process and to ensure that outcomes are communicated widely and transparently.
The GIA Ideas Committee takes levy investment ideas directly from levy payers. The Committee assesses and prioritises all project proposals, according to what industry tells us it wants and needs. This helps the Investment Advice Committees work out the best ways to invest levy funds.
Two expert panels, drawn from the nursery sector (The Marketing Investment Committee and the R&D Investment Committee) consider investment proposals in R&D and marketing. We manage panel meetings; Hort Innovation governs them, and they are independently chaired by Cath Botta.
Both GIA and Hort Innovation will communicate decisions about which investment proposals are supported and how the projects that receive funding are progressing.
For the first time, state nursery associations will be involved in helping to generate investment ideas and communicate the outcomes of projects that receive investment funding.
How to submit your idea for levy funding
To submit your idea, complete the form at www.greenlifeindustry.com.au/gia-committees
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