Australia live cattle exports to SE Asia fall
Australia live cattle exports to SE Asia fall
SYDNEY (AFP): Live cattle exports to Australia's important
Southeast Asian markets have dropped dramatically since several
regional currencies crashed to record lows, an industry spokesman
said yesterday.
The Australian Livestock Exporters Council painted a grim
picture of the situation facing Australia's live cattle exporters
and warned some could be driven from the market.
Chairman Graham Daws said Indonesia's decision to float its
currency last month wreaked havoc on live cattle exports, worth
about A$230 million (US$168 million) a year to Australia.
"The Indonesian market is the single largest market and the
disruption could be in the order of 50 percent," he said.
The currency movement had made Australian cattle extremely
expensive and come at a time when Indonesian feedlots were
relatively full, he said.
"Most (Indonesian importers) would be fairly cautious about
what they are doing at the moment because of the very high cost
of cattle."
Prices were also dropping in the next most important markets,
the Philippines and Malaysia, he said, partly because Australian
exporters stung by the Indonesia downturn were offloading their
stock there.
"What is emerging now is that prices are coming off 10 to 15
cents a kilo in the Philippines and Malaysia," Daws said.
Primary Industries Minister John Anderson said Tuesday he
hoped the situation would soon be resolved.
"I can only say that I sincerely hope and trust that we can
get over it quickly," he told reporters in Canberra.
"These are very important outlets for particularly the
northern (Australia) beef industry, but as we are now seeing,
with other opportunities opening up, for the southern industry as
well," he said.
"And these are tough enough times for the beef industry. The
minimum disruption would be very welcome."
Daws said some exporters could seek to boost exports to Middle
East markets of Egypt and Libya to compensate.
"But that is a last-resort option," he said.