Australia to increase taxes on foreign travelers who work in the country

Australia is set to increase taxes on foreign travelers who work in the country, raising concerns from farmers that their supply of “backpacker labour” at harvest times may dry up and undermine Australia’s ambitions of being Asia’s delicatessen.

Australian fruit exports are set to hit a record A$2.27bn (€1.48bn) next season, up 10% from the previous 2014-15 season, and backpackers on working holiday visas make up the bulk of fruit pickers during harvests.

“We could have a situation where we don’t have enough labour to harvest our produce,” said Tim Reid, one of Australia’s largest cherry producers and exporters in Tasmania.