Analysis: China beef ban a bitter blow to vital industry

China’s ban on four abattoirs, including three in Queensland, threatens one of Australia’s few bright spots in the coronavirus crisis, writes Michael Madigan.

NEWS that China has suspended imports from four Australian abattoirs is deeply troubling to Queensland’s primary industry sector.

Agriculture has been a shining success story in the coronavirus lockdown, with Australians reassured daily that our supermarkets shelves will remain reasonably well stocked with food.

Fears of trade war with China intensify over beef ban

Beef City banned by China

Beef exports looking up

Our demonstrably efficient and reliable primary producers should be looking forward to a bright future and growing engagement with Asia as restrictions are eased globally.

Federal Agriculture Minister David Littleproud has reassured us that the black-banned four Australian meat establishments including three in Queensland – Kilcoy Pastoral Company, the JBS owned Beef City near Toowoomba and Dinmore near Brisbane – were suspended by China over “labelling and health certificate requirements.’’

But there are suggestions the move by Beijing has possibly more to do with punishing Australian agricultural sector because of Canberra’s push for an independent inquiry into the coronavirus outbreak.

The Australian Meat Industry Council says the red meat and smallgoods processing industry is the largest trade-exposed manufacturing sector in the country.

These four meatworks represent a hefty slice – possibly over a third – of Australian beef exports to China which, in turn, represent over $3 billion in trade to the nation.

Meat and Livestock Australia actually recorded a strong surge of nearly 30 per cent in beef exports to China last month as China gradually eased lockdown restrictions.

The Chinese appetite for our beef also increased by a massive 70 per cent between 2018-19 as beef consumers among our northern neighbours demonstrated an ongoing appetite for our clean, green product.

After drought, flood and fire, Queensland graziers deserve to be looking forward to a bright future as cattle price surge and the growing middle classes of Asia promise a growing customer base for our beef.

It will be a deep blow to our beef industry if the suspension of the four meatworks represents the start of a new policy by Beijing to punish Australia.