Victorian Farmers: Could You Be Leaving Drought Support Unclaimed?
A practical guide to the September deadline — and the bigger resilience conversation behind the grant.
Written by: Melissa Cunliffe (CA)
You may already have spent money on water, fodder storage, fencing, pasture recovery or drought preparation. But have you checked whether some of that expenditure could qualify for Victorian drought support before the program closes?
Farm Drought Support Grants are open until funding is fully allocated or 30 September 2026, whichever comes first. Eligible Victorian primary producers can access up to $5,000 excluding GST, with up to $10,000 available for eligible producers in specified south-west Victorian areas. A dollar-for-dollar co-contribution is required.
The important deadline is not necessarily 30 September. The program can close earlier if the available funding is fully allocated.
What the drought support grant is designed to support
The program is intended to help primary producers improve drought resilience and undertake essential activities. Eligible categories include water infrastructure, stock containment, grain and fodder storage, water carting and pasture re-establishment, subject to the detailed program guidelines.
The point is not simply to reimburse any farm expense. The activity needs to fit the program rules, and documentation matters.
South-west Victoria has a higher limit
Eligible farmers in designated south-west areas can access an additional $5,000, taking the total potential support to $10,000 excluding GST. The eligible areas include Ararat, Moyne, Colac Otway, Pyrenees, Corangamite, Southern Grampians, Glenelg, Surf Coast, Golden Plains, Warrnambool, Greater Geelong and specified West Wimmera postcodes.
Importantly, eligible south-west producers who have already received a lower grant may be able to apply for the difference up to the higher maximum. That is worth checking rather than assuming a previous application has exhausted the entitlement.
Do not spend money just to get the grant
A government contribution can improve the economics of a useful project, but it should not turn an unnecessary project into a good decision.
If a $10,000 water-system upgrade genuinely improves stock management, saves labour, reduces water losses and strengthens drought resilience, a $5,000 co-contribution can be valuable. If the project is not needed, spending $10,000 to receive $5,000 still leaves the farm $5,000 out of pocket.
Commercial decision first. Grant second.
Use the grant review to revisit farm resilience
The most valuable conversation may be broader than the application itself. Drought exposes weaknesses that can remain hidden in good seasons.
Was water infrastructure adequate?
Was there enough fodder storage?
How quickly did supplementary feeding consume cash?
Were stocking decisions made early enough?
Did debt repayments become uncomfortable?
Was there a clear trigger point for destocking?
Could labour or equipment have been used more efficiently?
Did the family have enough financial buffer?
There is also specialist advisory support
Victoria’s Farm Advisory Service provides two one-on-one consultations per farm business with technical specialists such as farm business advisers, agronomists, veterinarians, livestock nutritionists, pasture specialists and water specialists, subject to the program conditions and availability.
For some farming families, those conversations may be worth more than the grant itself because they can help turn the experience of a difficult season into better decisions for the next one.
Cash flow after drought matters as much as the infrastructure
A farm can come through a dry period with better infrastructure but still carry weakened cash reserves or higher debt. Recovery planning therefore needs to include working capital, tax, equipment finance, creditor balances and family drawings.
A good season after drought can create a strong cash inflow, but that cash can disappear quickly if deferred maintenance, debt, tax and living costs all compete for the same harvest proceeds.
A practical September checklist
Check whether your farm and proposed expenditure meet the grant eligibility rules.
Identify qualifying expenditure already incurred and collect invoices/evidence.
If in south-west Victoria, check whether the higher $10,000 maximum applies.
If you previously received a grant, check whether a top-up is available.
Consider whether a Farm Advisory Service consultation would help.
Update the farm cash-flow forecast before committing to new expenditure.
Do not wait until 30 September if the project is eligible — funding may be exhausted earlier.
The educational takeaway
The goal is not to chase every grant. The goal is to use available support where it aligns with a project the farm genuinely needs and then use the review process to strengthen the farm’s long-term resilience.
The 4P's Future Prosperity Model
PEOPLE
Behind every farm balance sheet is a family. Start with the people: what pressure has the drought created, what does the family want the farm to look like in five or ten years, and what would make the next dry season easier personally as well as financially?
PRESERVE
Preserve the productive capacity of the farm, its cash reserves and the wealth generations have built. Use support where it helps fund infrastructure the farm genuinely needs.
PROTECT
Protect the farm against the next dry period through water, fodder, stock management, cash-flow planning, appropriate debt and clear decision trigger points.
PROSPER
Use recovery investment to build a farm that is more efficient and resilient, rather than simply returning to the position it was in before the drought.
Book a consultation with our team today to review the financial side of your recovery and resilience plan.
Disclaimer
This article does not constitute financial advice and is for general information only. It does not take into account any individual’s personal objectives, situation or needs, and is not intended as professional advice. Any similarity to an individual’s personal circumstances and the examples provided in this article is purely coincidental. Any person acting upon such information without receiving specific advice, does so entirely at their own risk.
Authorisation under an Australian Financial Services Licence (AFSL) is not required in the provision of this article and the author plus Future Accounting Group Pty Ltd is not acting in its capacity as an Australian Financial Services Licence holder
Liability limited by a scheme approved under professional standards legislation.
