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Indo beef trade continues to slow

Jon Condon, 07/10/2011

Australia’s beef trade with Indonesia continues to be slowed by problems in access and allocation of permits to importers, with total exports reaching 3382 tonnes for September.

That represented just a 1pc rise on August shipment figures when the current import permit access and allocation problems emerged, and only about 55pc of the trade seen in July. 

Media reports in Indonesia last week suggested that the Ministry of Agriculture had guaranteed the issue of licenses for imported meat totalling 28,000t for the period from October 2011 to January 2012.

Director-General of Animal Welfare, Prabowo, said the Ministry had allocated 7000t per month through to the end of January next year although it had “not yet given the licenses to importers”, a statement contrary to earlier reports. Despite the uncertainties in the Indonesia market this year it will mean that less than 100,000 tonnes of beef and offals will be imported in 2011, well under the 120,000 tonnes imported last year.

On September 12 a number of boxed beef importers in Indonesia reportedly protested to the Director General of Agriculture due to the additional quota of 28,000t being allocated predominantly to just two importers (representing a total of five companies, but owned by the two organisations).

Reports suggest one of these companies has offered some of its quota to others but other importers had an issue with this, being competitors in the marketplace.
 

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