A wave of direct investment by Chinese and other Asian companies into Australian livestock exporting businesses has been a prominent trend in the livestock export sector this year.
Indonesia’s Ministry of Agriculture says it has decided not to issue new recommendation letters for future Indian beef imports, recognising “buffalo meat has not been successful in stabilising the price of beef in Indonesia and that the Ministry would like to increase Indonesia’s beef production.”
Australia’s emerging beef cattle export trade to China has gathered further momentum this week, with WA-based Phoenix Exports yesterday sending its first, and the trade’s third, shipment of cattle from Portland, Victoria.
Some Indonesian importers are resorting to extended credit terms for butchers in order to get cattle moving out of the feedlot. In the past this has often resulted in an ultimate failure to pay, demonstrating just how desperate some importers are. (Bahasa language version of this report also available)
Some Indonesian importers are resorting to extended credit terms for butchers in order to get cattle moving out of the feedlot. In the past this has often resulted in an ultimate failure to pay, demonstrating just how desperate some importers are.
Australia’s largest livestock exporter Wellard Ltd is hoping a successful first shipment of slaughter beef steers to China will facilitate the issuing of feeder cattle import permits for the market.
Last month I described the situation for importers as a stalemate. This month I think that the best description of their position is one of a serious fight for commercial survival.
Bulan lalu, saya mengibaratkan situasi para importir sebagai jalan buntu. Bulan ini, saya pikir gambaran yang paling pas adalah ‘pertarungan sengit’ demi kelangsungan bisnisnya.
Australia’s largest livestock exporting company Wellard Limited says it has agreed to commercial terms to deliver the company’s first shipment of beef cattle to China.
Stalemate: For the first time since the beginning of the trade, producers don’t have to drop their prices in the face of reduced Asian demand, and at the same time importers can’t pay any more because they they will make a loss if they do. Meanwhile, China is defying the currency and pricing challenges being faced by other major Asian importers.