June 4, 2014

Indonesia cuts down live cattle order from Australia

Indonesia is not expected to import as many live cattle from Australia in 2Q14 as expected, with record amounts of boxed beef helping to fill the market, ABC reports.

Many in the industry say Indonesia is likely to import about 200,000, although Indonesia had issued import permits for a record 273,000 cattle for the months of April, May and June.

Ben Hindle from the Northern Territory Livestock Exporters' Association says it's still a big order, but the rise of boxed beef to Indonesia has surprised many.

"There's a lot of beef around and Indonesia is taking a lot of boxed beef from Australia's eastern seaboard, which is going onto the market and it has an effect on the live export trade."

Hindle says June will still be a very busy month for live shipments out of northern Australia. He says the industry is expecting demand and the price for live cattle to improve around the major religious festival of Ramadan, which this year starts in late June.