Territory Stories

Budget 2013/14 Northern Territory Economy



Budget 2013/14 Northern Territory Economy

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Tabled paper 295


Tabled papers for 12th Assembly 2012 - 2016; Tabled papers; ParliamentNT




Tabled by David Tollner


Made available by the Legislative Assembly of the Northern Territory under Standing Order 240. Where copyright subsists with a third party it remains with the original owner and permission may be required to reuse the material.




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Agriculture, Forestry and Fishing 151 Northern Territory Economy costs per head will reduce significantly, particularly for producers in regions such as Katherine (Chart12.2). Source: AACo The value of international live cattle exports from the Territory is estimated to decline from $152million in 201112 to $111million in 201213 (down by 26.9per cent). Export volumes are estimated to decrease by 21.5percent to 209 037head of cattle in 201213 mainly due to a 26.5percent decline in exports to Indonesia. The decline in exports to Indonesia follows policy changes by the IndonesianGovernment over the past few years, including the enforcement of weight restrictions of 350 kilogram per imported animal from March 2010 and a reduction in export permits from 500 000 in 2011 to 283000 in 2012 and 267 000 in 2013. The Indonesian Government has reduced import permits to promote local production of cattle in order to be selfsufficient over the long term. Additionally, following a media report showing the poor treatment of live cattle in Indonesia, the Australian Government imposed a ban on live cattle exports to that country from 7June to 8July2011. This was followed up by the introduction of a new regulatory framework, the Exporter Supply Chain Assurance System (ESCAS), to oversee the welfare of live animals exported from Australia. The ESCAS requires live animal exporters provide evidence to the Australian government authorities that the importer in overseas markets meets international standards on animal welfare and there is complete control and traceability of the animal through the supply chain. With the decrease in live cattle exports to Indonesia, producers are increasing exports to other destinations including the Philippines, Malaysia and Brunei and seeking new export markets. In 201112, Territory producers began exporting to Vietnam, sending 945 head of cattle. Exports to Vietnam are estimated to increase to 8861 in 201213, with 7089 head having been exported by March 2013. The ability to quickly expand alternative overseas markets is, however, constrained by the high cost of implementing ESCAS, which is incurred by both the exporters and importers. Chart 12.2: Transport Cost Comparison for the Darwin AACo Abattoir 0 20 40 60 80 100 120 140 Katherine Barkly Alice Springs $ per head To next closest abattoir To Darwin AACo abattoir International Live Cattle Exports

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