Indonesia increases number of cattle import permits, say reports
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Version 0 of 1. Strikes by butchers over the price of beef have led the Indonesian government to seek to import more cattle into the country, but Australian exporters are still awaiting confirmation on how the changes will affect them. Indonesian trade minister Rachmat Gobel has increased the number of permits for the importation of live cattle, Indonesian news outlets have reported, less than a month after Jakarta announced it would slash permits for Australia by 80% from 250,000 head of cattle to just 50,000 this quarter. Related: Indonesia's 80% cut in cattle imports takes Australian industry by surprise It is unclear whether Indonesia will seek to increase imports from Australia, and whether it will take live cattle or boxed meat. “There’s a lot of speculation at the moment. We need to see the detail of the specifications,” the chief executive of the Australian Livestock Exporters’ Council, Alison Penfold, said. Jakarta has said it wants to move Indonesia towards food self-sufficiency, but the price of beef has remained high following the Muslim holy month of Ramadan, which ended in mid-July, due to the shortage in supply. “Butchers have been on strike because of the price,” Penfold said. “There’s certainly been a reaction from butchers.” A spokesman for the Australian agriculture minister, Barnaby Joyce, said he is “encouraged” by news that more permits will be released. “While this is a matter for the Indonesian government, the Australian government’s continued engagement with Indonesia and advocacy for our livestock export industry has highlighted the benefits of a good relationship and an open trading environment for both countries,” the spokesman said. “If confirmed, this will be good news for our producers and exporters who will have more options about where to sell their quality livestock.” Penfold said the request for more imports in Indonesia proves that the two countries need to issue permits on an annual basis, rather than the current quarterly basis. “We’re not a ‘turn the tap on and off’ industry,” she said, adding that it can take years for cattle to become ready for export. The Australian government is concerned about the uncertainty the current system creates for Australian exporters, the spokesman for Joyce said. “Fluctuating quota levels create uncertainty that in turn creates additional costs which are passed on to Indonesian consumers and industry, leading to higher food prices,” he said. Joyce announced a new live-cattle deal with China in late July, after warning that Australia would need to look beyond Indonesia to grow its live export industry. |