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Australia: No cattle and profit were squeezed for importers

Frozen Beef Cut With Bone
Australia
Market Situation
COVID-19
Oct 13, 2021
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HE live cattle trade to key markets Indonesia and Vietnam has now effectively been put on ice, with exporters reporting the turnoff of suitable northern feeders has been exhausted. At the same time, pandemic in-market restrictions are smashing demand. Cattle ships servicing the northern trade are close to a standstill, with exporters choosing not to renew long-term charters in preference for short-term, ad hoc bookings, the peak exporters body in the Northern Territory said.
T Some livestock shipping capacity is being redirected away from south east Asia to service other international routes, while other operators are using the downtime to complete maintenance and crew-changes. NT Livestock Exporters Association chief executive officer Tom Dawkins said the next six months was expected to be the quietest trading period seen in a long time. Big numbers of calves mustered during the dry season have been snapped up by southern restockers and lot feeders paying record money to secure supply. That red hot buyer demand has pushed the price of young cattle to record highs and made the business unprofitable for importing feedlots, abattoirs and wet market vendors. In Indonesia, these operators are also caught between the high cost of Australian cattle and their own government's capping of retail prices, designed to keep beef affordable for its people. Mr Dawkins said that negative trading margin for Indonesian feedlots selling Australian cattle was currently ...
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