Trade development - livestock exports

PROGRAM OBJECTIVE	KPIs	OUTCOMES	BENEFITS	FUTURE
Increase market access and demand for Australian cattle, sheep and goats	Improve veterinary protocols in at least one Asian and one Middle Eastern market Increase demand for beef from imported Australian cattle in Indonesia Pilot and maintain a livestock export market outlook service	Improved health protocols for exports to Indonesia and Turkey, and re-opened Libyan market for trade Retail promotions in 40 supermarket outlets resulted in more than 100% increase in sales at these outlets during promotions Quarterly forecast for livestock exports circulated for industry review	More efficient and effective regulatory requirements, and potential $40 million Libyan markets re-opened Product from Australian livestock account for 70% of supermarket shelf space in Indonesia Producers informed on market forecast	Investigate new markets and improve access to existing markets Continue retail promotions in Indonesia Review quarterly livestock export forecast Consumer surveys in Indonesia and the Middle East to better target marketing efforts

Promotions in 40 supermarkets resulted in more than 100% increase in sales at these outlets during promotions

Strong performance

Despite a rapid increase in the A$, the Australian livestock export trade has delivered a strong performance this year, assisted by improved protocol arrangements and increased promotional activity funded by the increased cattle transaction levy.

Supporting every link in the chain

The success of our livestock export programs lies in our ability to support every link in the livestock chain. This year we conducted breeding workshops in Indonesia; animal nutrition, health and general feedlot management workshops in Malaysia; and retail store training in product knowledge, handling, quality and range, and service standards in The Philippines, Malaysia, and Indonesia.

In Indonesia, we worked with Sterling Beef (Elders) and Santori to build recognition of Australian bred and locally fed beef brands, to capture consumer confidence in the product and drive sales in supermarkets.

Run in 40 outlets of four retail supermarket chains – Alfa, Carrefour, Hypermart and Superindo – with activities such as in-store taste testing, counter recipe cards and consumer incentives, the campaigns delivered a 100% increase in beef sales over the promotional periods.

A detailed quarterly market forecast, analysing key markets and trends was released as a tool for producers in assessing market options.

Improved health protocols open trade

We worked with industry and governments to improve health protocols in Libya, paving the way for the Libyan market to re-open and for the Australian Government to allow livestock trade to resume for the first time since 1999. In May 2007 the Australian Government signed a Memorandum of Understanding (MoU) with Libya detailing the requirements for the resumption of trade. This MoU provides a real opportunity for Australia’s livestock producers, with the Libyan market predicted to grow to $40 million a year. Health protocols were also improved in the export of breeding cattle to Turkey and in feeder cattle to Russia.

Sheep short on supply

The Australian industry has a good standing in the livestock export market in the Middle East, where our sheep are highly sought after due to an established reputation as being high quality and disease-free.

The ongoing drought and reduced shipping capacity, however, affected our ability to supply this region, with the number of live sheep exported down 2.6% on the previous year to 4.1 million head.

As a result our activities in this region to promote Australian livestock were significantly reduced, though we continued our efforts to build relationships with buyers in the region, linking buyers with potential suppliers from Australia and providing infrastructure improvements and training workshops focused on improved animal handling and welfare.

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