Farmers say live export ban will jeopardise trade relationship as prices continue to fall

More than 20 farming organisations have joined together to write to Prime Minister Anthony Albanese and plead for the Australian government to abort its plans to ban live sheep exports. 

The federal government has promised to end the live export of sheep by sea if it is elected for another term. 

The letter coincides with a collapse in sheep prices around Australia and follows a similar appeal to Agriculture Minister Murray Watt earlier this year in which farm groups claimed the ban was a “red line issue” for the farm sector.

The group includes the National Farmers’ Federation (NFF), Grain Producers Australia, and Australian Dairy Farmers who claim the ban will jeopardise Australia’s international trading relationship.

“The decision to phase out live export of sheep by sea will not only cause irreversible harm to our sector but also to Australia’s trade and diplomatic partnerships in the Middle East,” the letter said.

Prices for sheep and mutton have been falling drastically in saleyards around the country as farmers reduce stock numbers ahead of forecast drier months.

The national flock is now expected to be at its highest level in more than 15 years.

Prices for some sheep this week were at their lowest since 2007 and angry farmers took to social media to blame the government’s proposed ban for contributing to the price collapse.

The letter to Mr Albanese did not mention the drastic fall in sheep prices but did reference a recent farmer confidence survey.

“Domestically, the fallout associated with the policy announcement is already occurring, with a devastating collapse in producer confidence in the sheep industry, nationally,” it said.

Price fall blamed on ‘oversupply’

Speaking on ABC Radio Perth on Thursday, Senator Watt was told of a farmer who had contacted the ABC and was considering selling sheep for as little as $1 per head or destroying stock to avoid animal welfare issues.

Senator Watt, who was asked if the government’s intention to ban the trade was in some way responsible, said the issue was “oversupply”.

“I absolutely acknowledge that sheep prices have fallen significantly, but it’s not just on the west coast. It’s the east coast as well,” he said.

“Cattle prices around the country have fallen significantly as well and that’s nothing to do with a position on live exports of sheep or cattle.

“The issue we’ve got with the sheep industry right around the country is, frankly, there is an oversupply.”

He said good weather conditions and prices over the past two years had resulted in a “build-up in the overall flock across the country, on both sides of the country”.

“I think there’s a lot of people who are looking at trying to offload sheep because of a concern about a coming drought,” Senator Watt said.

An independent panel established to advise the government on how to phase out live sheep exports had been expected to report to the government today but was recently granted an extension.

The panel must provide its report to the government by October 25.

Fears of a ‘diplomatic gaffe’

The National Farmers’ Federation has opposed the ban since it was proposed by Labor in opposition.

“We’re worried that we’re sleepwalking into another diplomatic gaffe in the Middle East and the right hand doesn’t know what the left hand is doing,” NFF president Fiona Simson said.

“They’re marching to the beat of the activists’ drum, and we need the prime minister to pull back and look at the bigger picture here before it’s too late.”

West Australian farmer Steve McGuire said the policy was already creating stress in the farming community.

“We’re already witnessing the implosion of the sheep industry here. Livelihoods are being lost just due to the uncertainty,” he said.

“This isn’t a planned transition. It’s a socio-economic disaster.”

Animal welfare group the Australian Alliance for Animals has called for the phase-out to be completed by May 1, 2026.

In its submission to a phase-out panel, it referred to RSPCA research in 2015 that found “63 per cent of Australians supported the phase-out if affected farmers were provided with assistance to transition … and in 2022, it was 78 per cent.”

Nationals leader and opposition agriculture spokesperson David Littleproud has promised a Coalition government would permit the trade to continue, if elected.

If you’re unable to load the form, click here.