July 10, 2014
Australia's livestock exports to rise to US$938 million over next 12 months
Australia's livestock export industry is expected to rise by more than AUD300 million (US$281.3 million) to AUD1 billion (US$938 million) in value over the next 12 months.
The development will occur as markets open up and the Federal Government prepares to review new regulations to improve animal welfare standards.
In a move welcomed by industry, the government will review the Export Supply Chain Assurance System introduced by Labor after it imposed a temporary ban on live cattle exports to Indonesia in 2012.
Australian Live Exporters' Council chief executive, Alison Penfold, said that animal welfare was "a make or break" issue for an industry which had worked hard to set high standards.
Penfold said that while it was minor alongside the meat processing sector, the live export trade was significant in supporting farm gate prices for sheep and cattle producers.
Animals Australia and the RSPCA questioned the economic significance of the livestock trade yesterday after the release of an Australian Bureau of Agricultural Resource Economics and Sciences report showing 94% of sheep and 93% of beef cattle produced last year were slaughtered in Australia for domestic consumption or export.
"It is not a significant industry for Australia, most farmers are not involved, those that are don't necessarily rely on it and there are viable alternatives," AA spokeswoman Lisa Chalk said.
The combined value of cattle, sheep and goat exports was AUD685.5 million (US$643 million) in 2013 but ABARES predicts that this will grow to AUD1 billion (US$938 million) in 2014-15. Its forecast is based on re-opening markets in the Middle East, strong demand from South-East Asia, the emergence of Russia as a cattle buyer and the prospect of China allowing feeder and slaughter cattle imports.
The ABARES report also highlighted that Western Australia's sheep producers are more reliant on live export than those in other states.
It was estimated that Western Australian farms comprised 86% of about 1,890 properties which sold sheep for live export last year.
