June 14, 2011

Australian beef export body rejects contingency funds

Peak industry body Meat and Livestock Australia has rejected a request from the federal government to use contingency funds to help cattle growers affected by the suspension of the trade with Indonesia.

Agriculture Minister, Joe Ludwig, has written to the MLA proposing that it releases US$5 million in contingency funding.

Senator Ludwig said the MLA was "critically placed" to help the industry through the suspension period.

MLA chairman, Don Heatley, said that his organisation had declined the minister's request.

"The industry's priority is to direct available resources into implementing urgent measures in Indonesia to assure the welfare of Australian cattle and give the government the confidence to reopen the trade," Heatley said.

"Reinstating this trade under an accredited supply chain is the most effective means to provide financial security to cattle producers and businesses across northern Australia," he said.

Heatley said the MLA was focused on resuming the live cattle trade with Indonesia, but would "engage with the government to find a practical solution".