China trade stoush blocks Victorian lamb exports

Lamb exports to China from two Victorian abattoirs are in limbo as they wait to get the green light from Chinese authorities.

Two Victorian abattoirs are the latest to be caught in China’s trade crackdown, with their lamb exports in limbo after they were voluntarily suspended during COVID-19 outbreaks.

JBS Brooklyn and Colac’s Australian Lamb Company halted exports during Victoria’s second wave as workers became infected.

Both meatworks have since restarted operations, and ALC applied to lift the suspension of its Chinese export licence from September 14, but Chinese authorities have left the companies in the dark and unable to resume that market.

Victorian producers exported $1.2bn of lamb in 2018/19, after a 58 per cent increase in lamb exports to China, driven by increased demand from wealthy consumers for the state’s premium product.

Colac’s Australian Lamb Company halted exports during Victoria’s second wave as workers became infected. Picture: Jay Town

Federal Agriculture Minister David Littleproud said the federal government was continuing to raise the issue with Chinese authorities through Department of Foreign Affairs and Trade officials in Beijing.

“We remain open to constructive engagement with China and will continue to press for a relisting of these establishments as soon as possible,” Mr Littleproud said.

In a statement, ALC said it applied to reinstate its Chinese export licence after implementing a COVID-safe plan “that includes measures to minimise and control the risk associated with transmission of the virus within our workplace”.

“Since this time ALC has continued to work closely with various government and industry authorities to advance the process of lifting the voluntary suspension of our licence,” the company said.

“China continues to be an important market for ALC and we look forward to being able to resume trade with our valued Chinese customers as soon as possible. In the meantime ALC continues to market and sell our quality products into other markets.”

JBS did not respond.

FAgriculture Minister David Littleproud says the government is continuing to raise the issue with Chinese authorities. Picture: Sean Davey

The revelation came after Chinese state-run media outlet Global Times published a story suggesting the original coronavirus outbreak in Wuhan may have been triggered by imported frozen meat.

In a statement to parliament on Wednesday, Trade Minister Simon Birmingham said the government was “considering all dispute settlement options” to help exporters impacted by the China dispute.

He said China’s crackdown on products including wine, beef and barley was inconsistent with its free trade agreement with Australia, as well as global trading rules.

“The government continues to work closely with our exporters in an effort to retain preferential market access into China and raise issues of apparent discriminatory actions targeted against Australia,” Senator Birmingham said.

“Australia has raised these concerns with Chinese officials on multiple occasions in Canberra and Beijing and has asked the Chinese government to engage on these matters at officials’ and ministerial levels.

[e-mail]

Originally published as China trade stoush blocks Victorian lamb exports