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‘Radical’ plan to ban controversial Australian industry by 2028

A controversial sector is facing a permanent ban but there is a risk a plan to shut it down could be backflipped.

WA farmers hold an urgent meeting amid record-breaking dry spell

The controversial live sheep export trade will be banned by the Australian Government from May 1, 2028 but farmers groups and political opponents have hit out at the plan labelling it as “radical” and vowing to undo the move.

The Albanese government announced on Saturday it was funding a $107 million package over four years to help farmers transition out of the industry after it pledged to end the practice amid animal welfare concerns.

Agriculture Minister Murray Watt announced the live sheep export trade by sea would end after releasing a report that made 28 recommendations about how to wind down the system.

“We are giving certainty to sheep producers and the supply chain by legislating the date, and putting $107 million on the table to enable an orderly and well-planned transition away from the trade,” Senator Watt said in Perth.

“This is a comprehensive package that will assist to strengthen supply chains, develop market opportunities and improve animal welfare. With the Australian sheepmeat sector booming, our sheep industry has a bright future. This support will help it continue to grow, creating more local jobs through increased value adding.”

Sheep that are destined for the live export market, pictured from the paddock to the vessel. Pictures: Supplied
Sheep that are destined for the live export market, pictured from the paddock to the vessel. Pictures: Supplied

‘An insult’

Yet farm groups have opposed phasing out the practice arguing that it would put people out of work and destroy farming communities – pledging to campaign against the ban – particularly in Western Australia where the sector creates thousands of jobs.

Legislation to bring into force the ban would be introduced in federal parliament’s current term, according to Senator Watt.

But Nationals leader David Littleproud said a future Coalition Government would maintain the live sheep trade if it wins the next federal election.

“Minister Watt didn’t even have the courage to fly to Western Australia and face farmers, instead announcing from a high-rise in Perth, it’s just a big ‘up yours’ to Western Australian farmers,” Mr Littleproud said.

Farmers, truck drivers, shearers and other workers along the supply chain in the live sheep export trade would share a $64.6 million package to diversify into new areas, with the government encouraging an expansion of the chilled meat sector.

Nationals leader David Littleproud at a rams sale. Picture: Supplied
Nationals leader David Littleproud at a rams sale. Picture: Supplied

But Mr Littleproud labelled the package as an “insult”.

“Industry has never had the science explained to them why they are closing the industry down,” he said.

“Compensation of just $64.6 million is an insult, especially when Meat and Livestock Australia figures show live sheep exports were 84,430 in December 2023, which was a 177 per cent increase in comparison with November export (58,732) and a 44 per cent increase on December 2022 exports (30,531).”

Mr Littleproud said Western Australian farmers didn’t want compensation, in an industry which created 3000 jobs in Western Australia.

The industry was hit by animal welfare concerns. Pictures: Supplied
The industry was hit by animal welfare concerns. Pictures: Supplied

‘Punch in the guts’

Warranine park farmer Ellen Walker from Brookton, WA was “devastated” by the decision.

“This announcement is like having a punch in the guts when you are already down,” she said.

“We are coming off the back of an extremely dry summer with very poor sheep prices. We have had to carry extra stock because if they are slaughter quality, the supply chain is full, and if they are store quality, there is no confidence or feed for feed-lotters to want to purchase.”

Ms Walker said she currently has over 200 sheep that she is going to have to destroy because there is nowhere for them to go.

“It is uneconomical to keep them and I need what little grass that’s growing for my ewes that are due to start lambing in the next couple of weeks. And all of this is with the boats still operating,” she said.

“We were trying to be optimistic that getting rid of the glut of sheep over the winter and a good season would see prices improve by the spring and our industry head back to being a profitable business option, this decision will put us back at square one.

“We will seriously be considering what our sheep enterprise is going to look like, which is very disheartening as we love our sheep and would love them to stay, as a key part of our business.”

Farmer Ellen Walker is devastated by the decision. Picture: Supplied
Farmer Ellen Walker is devastated by the decision. Picture: Supplied

Animal welfare issues

The live sheep export industry was hit by controversy in 2018 when sickening footage revealed thousands of sheep had died aboard livestock vessels due to overcrowding and excessive heat.

But Mr Littleproud claimed the ban will see the needless death of thousands of sheep from around the world, as countries that take up this market from Australia do not meet world leading animal welfare standards.

“The legislation will be introduced in this term of parliament, even though the industry embraced world leading animal welfare reforms in 2019, not only in transport but also the processing of sheep in the Middle East,” he added.

However, undercover footage aired on the ABC’s 7.30 Report last year in Oman in the Middle East showed Australian sheep with their legs bound together, being dragged by the leg or head, and being slaughtered at unapproved locations in violation of Australian regulations.

Sheep are seen while being transported to the Al Kuwait in Fremantle Harbour on June 16, 2020 in Fremantle, Australia. Picture: Paul Kane/Getty Images
Sheep are seen while being transported to the Al Kuwait in Fremantle Harbour on June 16, 2020 in Fremantle, Australia. Picture: Paul Kane/Getty Images

The RSPCA strongly welcomed the move and said it hailed the beginning of a better future for Australian sheep.

“A swift and orderly phase out of live sheep export, with appropriate measures to safeguard animal welfare in the meantime, is the right decision for Australian sheep and Australian farmers,” said RSPCA Australia CEO Richard Mussell.

“We congratulate the Government for listening to the science and the Australian community and for outlining a clear plan for phasing out this cruel and unfixable industry – including funding a transition package in the upcoming Budget.

“There has been an extensive consultation process involving every part of the live sheep export supply chain. Now, we have a clear way forward.”

RSPCA Australia CEO Richard Mussell. Picture: AWL
RSPCA Australia CEO Richard Mussell. Picture: AWL

‘Catastrophe’

But the National Farmers’ Federation (NFF) has also slammed the decision, describing the four year timeline to phase out live sheep exports as “radical” and said it had left farmers “shocked”.

It claimed it ignored industry advice that such a rapid timeline would spell “catastrophe” for farming communities, animal welfare and Australia’s global trading partnerships, the NFF added.

NFF CEO Tony Mahar said it was “devastating slap in the face” and described the announcement as a “bombshell".

“Murray Watt has decided to book us on the express train to disaster, but this isn’t the final chapter in this story. We’ll keep fighting,” NFF CEO Tony Mahar said.

“$20 million a year is pitiful It’s cents in the dollar compared to what farmers have invested in their businesses, and it doesn’t touch the sides of an industry that will add billions to our economy in the coming years.”

National Farmers’ Federation CEO Tony Mahar. Picture: News Regional Media
National Farmers’ Federation CEO Tony Mahar. Picture: News Regional Media

Most of the live sheep exported from Australia are sent to the Middle East, with the country calling on the government to rethink the ban.

Mr Mahar said the move was into just a betrayal of Australian farmers.

“It runs directly counter to our national interests. We’re turning our back on crucial Middle Eastern partners who have plead for this trade to continue,” he added.

“It also shows complete ignorance to the real-world implications of a ban, which will inevitably lead to poorer animal welfare outcomes.

“This doesn’t end the global demand for live sheep. Today’s announcement just sentences foreign sheep to the practices we banned a decade ago.”

Sheep in pins awaiting loading on trucks bound for port, for live export at Peel Feedlot, Mardella, WA. Picture: Philip Gostelow/The Australian
Sheep in pins awaiting loading on trucks bound for port, for live export at Peel Feedlot, Mardella, WA. Picture: Philip Gostelow/The Australian

‘Unjustifiable’

The government package to help the industry will also include $27.7 million to aid market opportunities in Australia and overseas, particularly focusing on increasing mutton sales.

Transition support is focused on helping affected individuals, businesses and communities to plan for, respond and adjust to the phase out, Senator Watt noted.

“Importantly, it will be available to help all parts of the sheep industry supply chain, from farmers, to truckies, to shearers and processors,” he said.

“We are putting support on the table now so that people can start planning and acting now.

“We want to ensure those affected by the phase are well-positioned, resilient and ready when the trade ends in 2028.”

Senator Murray Watt during the Senate Education and Employment Legislation Committee at Parliament House in Canberra. Picture: NCA NewsWire / Martin Ollman
Senator Murray Watt during the Senate Education and Employment Legislation Committee at Parliament House in Canberra. Picture: NCA NewsWire / Martin Ollman

Mr Mussell said the government package provided practical and tangible measures to support farmers to transition away from this trade.

“The RSPCA supports these initiatives, such as measures to expand processing capacity here in Australia,” he said.

The live sheep export is “unsustainable, unjustifiable, and completely unnecessary” in modern Australia, he added.

“We have already seen a significant expansion of the boxed and chilled meat industry in Australia and this package includes a focus on continuing that expansion, ”he said.

“The future of the sheep industry in Australia is a more modern and sustainable one.”

Originally published as ‘Radical’ plan to ban controversial Australian industry by 2028

Original URL: https://www.thechronicle.com.au/business/companies/radical-plan-to-ban-controversial-australian-industry-by-2028/news-story/c3fcc8d77eac895f15bfbd2ca4bde2c0