TheJakartaPost
Please Update your browser
Your browser is out of date, and may not be compatible with our website. A list of the most popular web browsers can be found below.
Just click on the icons to get to the download page.
RI will keep importing Australian cattle, says trade minister
Itâs unlikely Indonesia will halt cattle imports from Australia over the recent spying row, though it does plan to seek alternative sources for the countryâs beef supply, the trade minister has said
Change Size
I
t's unlikely Indonesia will halt cattle imports from Australia over the recent spying row, though it does plan to seek alternative sources for the country's beef supply, the trade minister has said.
Assuaging concerns that weakened diplomatic ties would cause trade with Australia to decline, Trade Minister Gita Wirjawan said Wednesday that the government did not plan to stop importing cattle from Australia.
He said that the main priority for the government would be to maintain the stability of the domestic meat market.
'Since the domestic supply is still insufficient to meet demand, we must be aware of the reality that we need to source it overseas.
'And if we want to take punitive measures against a sourcing country, we will need to source from other countries,' he told reporters after opening an exhibition at the Jakarta Convention Center.
Gita said that relevant officials would meet to discuss the cattle import issue soon in a gathering called by Coordinating Economic Minister Hatta Rajasa.
The trade minister's remarks came after Agriculture Minister Suswono asked cattle importers to stop buying Australian cattle until the two countries worked out their diplomatic problems caused by revelations that Australia tapped the cell phones of President Susilo Bambang Yudhoyono, his wife and close aides in 2009.
Although the cattle trade is carried out by the private sector under business-to-business arrangements, importers should act in line with the government's diplomatic position, according to Suswono.
State-owned agribusiness PT Rajawali Nusantara Indonesia is among the firms supporting Suswono's position. It said it had halted talks to open a cattle ranch in Australia and was already in talks with New Zealand partners to find a substitute.
Indonesia is currently assessing the possibility of importing cattle from other countries, such as India and Brazil ' Australia's key competitors in the global livestock market.
The move would be legal under an amendment to the 2009 Animal Husbandry and Animal Health Law that is being deliberated by the House of Representatives.
Under the revised law, Indonesia could adopt a zone-based approach, instead of the current country-based approach that only allows meat imports from a country totally free of certain diseases, such as foot and mouth.
Talks to seek alternative sources for cattle imports began two years ago when Australia suspended its cattle shipments to Indonesia for six months over reports of inhumane treatment in Indonesian slaughterhouses. Since then, the government has said it should seek other exporters so it wasn't dependent on a single source.
Indonesia, the world's fourth-most populous nation, is the main cattle market for Australia, accounting for more than 60 percent of the latter's live cattle exports each year. In response to the agriculture minister's statement, Meat Producers and Feedlot Association (Apfindo) executive director Joni Liano said the business group opposed the government's call to suspend cattle imports from Australia. He said shrinking supply could disrupt the stability of local meat prices and the suspension would negatively impact both the Australian and Indonesian cattle business.
'The diplomatic row is political in nature and should not be linked to economic matters. It should be overcome through diplomatic measures, too.'
