Selling action at the Roma Saleyards. Picture: Matt Williams

KEY production sectors of the red meat industry have thrown their support behind a review of national red meat levies.

The Australian Lot Feeders Association representing grainfed cattle producers and Sheep Producers Australia told Beef Central this week they support a review of levies in conjunction with other red meat industry bodies.

Cattle Australia has announced plans to consult levy payers on whether the $5 per head Cattle Transaction Levy is still fit for purpose in 2025 and how it could be improved. The Cattle Transaction Levy was last reviewed in 2006.

The Cattle Transaction Levy (CTL) in Australia is a $5 mandatory per head levy on cattle sales, including both grassfed and grainfed cattle.

The levy is collected at the point of sale and contributes to research and development (R&D), marketing, and other industry activities.

Projected annual levy revenue for Meat & Livestock Australia from different producer levy streams for fiscal years 2026 to 2030. Source: MLA Five Year Plan to 2030.

ALFA told Beef Central this week that it supports a collaborative review of the Cattle Transaction Levy, including the grain fed component, given it hasn’t been adjusted since 2006.

Grant Garey

“Our operating environment has changed significantly over the past 19 years, and it’s important to assess whether the current levy settings remain fit for purpose—now and into the future,” ALFA President Grant Garey said in a written response to Beef Central questions.

“Our levy-funded service providers—Meat & Livestock Australia (MLA), Animal Health Australia (AHA) and the National Residue Survey (NRS)—deliver strong returns for industry. We need to ensure the activities they undertake on behalf of levy payers remain both sustainable and capable of responding to future challenges and opportunities that may lay ahead.”

“We support a joint review with other Peak Industry Bodies to ensure the process is efficient, methodical and independent. It just makes sense to do the groundwork together to economise this activity, and we’ve been in discussion with other bodies about this.”

“If there’s a case for change, each sector can then consider next steps under the established government process, including broad consultation and seeking levy payer support from their respective sectors.”

“ALFA hasn’t made any decision about changing the grain fed levy—our first priority is to undertake the necessary groundwork and determine whether a change to the current settings or allocations between MLA, AHA and NRS is warranted.”

“Ultimately, any change to the grain fed levy will require broad support from cattle lot feeders and grain fed levy payers.”

“It’s an important responsibility, and one we are committed to working through in partnership with the other Peak Industry Bodies.”

Also supportive of the levy review was Sheep Producers Australia.

Bonnie Skinner

“A levy review is something that the sheep industry would benefit from – it’s important to understand if we are still investing the right amount into what’s most important for our producers now and into the future,” SPA Chief Executive Officer Bonnie Skinner said in a statement to Beef Central.

“Sheep Producers Australia supports a levy review, but this isn’t a quick process and levy reviews can take years. Sheep Producers Australia also believes there would be a lot of efficiencies for the industry completing the review in conjunction with other red meat bodies.”

Meat & Livestock Australia managing director Michael Crowley also told Beef Central this week that the levy funded industry service body was ready to support the review.

“Any review of the levy needs to be done by the representative organisations, and we’re certainly aware and had conversations with Cattle Australia around that they’re wanting to lead a levy review.

“And we’re more than ready to support appropriately that review. We will be in a position to provide some services as part of the levy review, but it will need to be driven by the peak bodies and Cattle Australia taking the lead on that. So we’re more than ready and prepared to support that process when it gets going.”