Drought is the main focus of risk management policy in Australia, a risk that could increase due to climate change. This chapter assesses the objectives and instruments of Australia’s national drought policy framework using the OECD holistic approach which considers interactions between all sources of risk, farmers, strategies and policies. The Australian public-private partnership approach to bio-security is also analysed. This policy analysis is part of a larger report structured around three layers of risk – normal, market and catastrophic – that require differentiated policy responses.