Live Export

Govt estimates live export ban cost 326 jobs

Beef Central, 28/07/2011

Stranded: A Federal Government survey estimates the live cattle ban has cut 326 jobs and prevented 274,000 cattle from reaching the market. A Government survey has found that 326 jobs were lost in northern Australia as a direct result of the suspension of live cattle exports to Indonesia.

It also estimates that alternative markets will need to be found for at least 274,000 cattle that have grown too heavy for the Indonesian market, which imposes a maximum 350kg weight limit on imported cattle.

The estimates are contained in a draft copy of the Australian Bureau of Agricultural and Resource Economics and Sciences survey, according to a report in The Australian this morning.

The Australian reported that the confidential ABARES survey involved interviews with 230 farm businesses across northern Australia from June 24 to July 1.

Results included:

  • Of 596,000 northern cattle destined for live export this year, 365,000 remained unsold at the end of June.
  • 274,000 cattle were ready for the Indonesian market, which will only take cattle below a maximum weight of 350kg.
  • 176,000 cattle will require extra food and water for up to 4.5 months if they remain on properties.
  • 660 enterprises planned to sell cattle to Indonesia.
  • 300 enterprises expected Indonesia to take more than 50pc of their cattle turn-off.
  • 326 employees were either laid off or not hired by businesses.
  • 162 jobs were lost in the Northern Territory, 99 in Western Australia and 64 in Queensland.
  • 40pc of businesses deferred non-essential spending on capiral repairs.
  • 76pc delaying muystering plans.
  • 11pc deferred loan payments.

“Around of 5 per cent of businesses indicated that they would be unlikely to continue to operate beyond a few months if the suspension continues due to existing high debt levels,” the report said.

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