Australia Signs Agreement to Feed China’s Surging Cattle Demand
Agriculture Minister Barnaby Joyce said the Australian and Chinese veterinary authorities were in the process of formalising agreement on animal health certification requirements, which would allow industry to prepare for trade to commence.
Australia is set to expand live cattle exports to China after signing a deal that will boost its access to surging Asian demand.
“I was very pleased today to sign the agreement of health conditions for trade of Australian feeder and slaughter cattle to China-now it’s over to my counterpart, Minister Zhi Shuping, to sign on the dotted line and finalise the agreement between our two nations”, Mr Joyce said.
Mr Joyce said while he could have come to the agreement without the new free trade agreement with China, exporters would benefit from a provision eliminating the current 10 per cent tariff over four years.
Mr Joyce told Sky News the exports could begin within weeks after appropriate safeguards are established.
“The 117,000 breeder cattle we sold previous year was worth about a quarter of a billion dollars to us”, he said.
But with approval given to the rules that will govern the health conditions of export feeder and slaughter cattle to China, a potentially massive new market will open up.
Australia will be the first country to export feeder and slaughter cattle to China.
The system was introduced in response to cruelty concerns in overseas abattoirs.
“This could take some time so it is hard to say just when we will see the first ships depart but obviously we hope in the next couple of months”, she said.
Beef is Australia’s most valuable agricultural export.
“If we can take that to about a million head, that’s in rough terms between $1 billion and $2 billion”.