Indonesians are also no more enthusiastic about being told what to do by foreigners than Australians, and will only accept it while the Australians keep offering incentives and they have no viable alternative. The moment they have other options or the Australians stop paying, cooperation will cease.
Even before the live export ban, the beef market in Indonesia was complex. Beef importers and processors were trying to maintain imports, consumers wanted to keep prices down, local beef producers wanted to limit imports to reduce competition, and the government wanted the country to produce its own beef but also guarantee supply and keep prices down.
All this means Australia’s northern cattle industry is facing an uncertain future, with long-term reduced demand. Producers currently left with large numbers of cattle they cannot sell are unlikely to see a major rebound next year. While the Indonesians no longer trust Australia, many cattle producers no longer trust the Australian government and will not be investing in the industry.
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After all that, the outlook for cattle welfare is not much changed. Most Australian cattle slaughtered in Indonesian abattoirs will be stunned, as they were before. Some will not, as the OIE guidelines allow. No change there either.
And, of course, levies paid by Australian beef producers will continue to be used to raise standards in Indonesian abattoirs, including greater use of stunning – as long as the Indonesians continue to buy our cattle.
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