A benefit cost analysis on management strategies for Queensland Fruit Fly: methods and observations

The Queensland Fruit Fly (QFF) — Bactrocera tryoni — poses a significant threat to horticulturalproduction in Victoria causing losses of fruit and jeopardising access to interstate and internationalmarkets. The Victorian Government implements and largely funds an area freedom program tomanage QFF. Concern about the record number of outbreaks in 2007-08 and the escalating costs ofmaintaining the current management regime, led the Victorian Department of Primary Industries toreview the program to identify improved strategies for managing QFF. As part of this work, a benefitcost analysis (BCA) of alternative strategies has been conducted. While the BCA method is wellestablished, in general few studies are publicly available for area freedom programs. In this paper anumber of the practical issues encountered in analysing area freedom are detailed, such as estimatingwelfare effects, how to consider social and environmental costs and benefits and incorporating risk formanaging pests. Implications for policy and the design of future programs are discussed. Theapproach and issues identified in this paper provide insights for other agencies undertaking similar BCAs to inform biosecurity policy.