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June 7, 2014

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Aussie beef cattle trial to China may grow

A trial shipment of 3,000 live Australian beef cattle is set to go to China in a deal that could expand to 100,000 beef cattle a year, Australian media reported yesterday.

The ABC said four companies from Hainan Province have signed up for trial shipments.

Agreements had already been signed with companies from Zhejiang Province in April and if the trials are successful, demand from China could quickly reach 100,000 a year, worth A$200 million (US$186 million).

Australian Minister for Regional Development and Lands Terry Redman was in Hainan to witness the signing of another Memorandum of Understanding between Chinese companies and the WA Livestock Exporters Association.

“Before that (trial) happens there needs to be an agreement of import protocols on China’s part to ensure that issues such as quarantine are covered off,” he said. “We already export breeding stock into China, there’s protocols for that.”

“I met with the China Meat Federation two days ago and they highlighted the increase in boxed beef coming into China in 2013 was 455 percent increase on the previous year. That says the strong growth in demand for meat in China is outstripping their own production capacity,” Redman said.

The minister said there’s no reason why the Federal government would not support it.




 

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