Stakeholders, including the horticulture and cotton industries, had hoped parliamentary debate over changes to the Working Holiday Maker Reform Package would have taken place in the second week of November, but it did not eventuate.

A non-sitting week for both houses has meant another week of uncertainty for growers trying to sure up labour for summer fruit and vegetable crop harvesting.

Cotton Australia has joined the throng of agriculture and tourism groups calling on legislators to quickly resolve the matter.

General manager Michael Murray said the issue appeared to have reached a stalemate, with the government facing off against the opposition and independents, all of which were seemingly unable to reach agreement on what taxation rate should be applied to working holiday makers.

“We are disappointed that the issue of the backpacker tax has reached the point where it has become a political argument, to the detriment of industries like agriculture and tourism, which rely heavily on seasonal workers,” Mu Murray said.

“This issue has been on the agenda for 18 months, and failure to resolve this quickly will only harm farmers, businesspeople and rural towns.

“It is time for both sides of politics to work together to resolve this quickly, for the sake of people on the land and the communities they support.”

The delay comes despite a Labor-requested Senate Economics Legislation Committee report (tabled on November 9) recommending the proposed 19 per cent tax rate on working holiday makers (WHM) go ahead.

“The committee is satisfied that a 19 per cent tax rate represents a good compromise from the original proposal of a 32.5 per cent tax rate for all WHMs, and notes strong support for the measure from a broad range of business and industry organisations in sectors that rely heavily on WHMs as a source of labour,” the report said.

“The committee is also satisfied that a 19 per cent tax will ensure Australia remains internationally competitive in attracting WHMs to travel and work in Australia.”

It also recommended the government conduct a review of taxation and other policy settings in relation to WHMs, including the impact of the changes in the reform package, after a period of time.

But the Labor Senators’ Dissenting Report in the same document recommended lowering the proposed tax rate to 10.5 per cent.

That suggestion sparked further slinging matches between the major parties, while also drawing outrage from grower groups.