Increased certainty : Australian Trade and Investment Minister Andrew Robb has indicated that there will be a change in the countryâs cattle export system
Australian Trade and Investment Minister Andrew Robb on Tuesday signaled big changes to Australia and Indonesia's cattle export agreement, following criticism of the existing system from Australian cattle exporters and breeders.
Robb said that Australian exporters were disappointed with the current quarterly quota system, which left them both unable to fulfill large-scale cattle demands and disappointed when export demands dropped.
The minister said there would likely be a change to the current cattle export system, which would aim to set up a long-term arrangement.
'I have carried out several good discussions with my counterparts and other ministers. There have been views that we need more stability,' he told the Australian Broadcasting Corporation (ABC), as quoted by Antara news agency.
Earlier this year, Indonesia ordered only 50,000 head of cattle for the quarter ending September, down from 250,000 in the previous quarter. This disappointed Australian agriculture stakeholders. Breeders now believe that a yearly quota would give them more certainty and stronger protection against fluctuating seasonal demands.
Robb said that with Indonesia's growing population, which led to continually increasing demand for cattle, it was very important for both Australian breeders and exporters to be better prepared.
He said a long-term cattle export arrangement would give more consistency to both Australian producers and Indonesian buyers.
'Currently, the demand for cattle is growing; exceeding the supply. It's important for Indonesia and Australia to have some certainty on the number of cattle that might be needed in a given year,' said Robb. (ags/ebf)(++++)
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