Beef levy voted out

27 Nov, 2002 10:00 PM

WA will enjoy protection from any negative impacts felt in the wake of the defeated Meat and Livestock Australia beef transaction levy proposal, according to WAFarmers Federation meat section president Mike Norton.

The 52pc majority vote against the proposal to increase the levy by 50c/hd was a surprise outcome at the MLA annual general meeting last week.

It would limit marketing revenue of MLA for the coming year and force reduced spending on vital campaigns, such as Japan, Korea and domestic markets.

Mr Norton said it was feared a drop in market share would result, with domestic markets likely to be particularly uncertain.

However, WA was fortunately positioned in beef markets to avoid any serious impacts from the loss in revenue.

"Over 40pc of our cattle goes out live so WA will be pretty insulated from market changes,' he said.

"The eastern states beef producers will be much more vulnerable."

Mr Norton said large lotfeeder groups, which often sold grassfed cattle, strongly influenced the results.

And the persistence of drought conditions had also impacted on the outcome of the vote.

A proposal to increase levies by 20c/hd from National Residue Scheme funds was passed with an 83pc majority.


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