Agriculture Minister Murray Watt stands firm on live export stance

It is the question now on everyone's lips, after Federal Agriculture Minister Murray Watt set a "concerning and ugly" precedent for the entire agricultural sector last Friday

In a surprise visit to Perth, Mr Watt revealed a new four-person panel would determine how and when the $92 million live sheep trade would be shut down.

The panel, announced 10 months after the government's election, is chaired by former Murray-Darling Basin boss Phil Glyde and includes WA farmer Sue Middleton as the State's sole representative, former RSPCA chief executive Heather Neil and retired Northern Territory Labor MP Warren Snowden.

No timeline was given as to when the last export ship carrying live sheep would leave an Australian port.

But Mr Watt confirmed it would not occur in the current term of parliament, with the next Federal election to be held some time during or before 2025.

What this could ultimately mean is the future of live export - to some degree - depends on whether or not Labor is re-elected.

In the meantime, WA sheep producers and farming organisations have vowed to fight the export shutdown and have showed no signs of backing down.

Fears live cattle could be in the firing line next, were quashed by Mr Watt, who said the trade was supported by government.

"Ever since I took my first visit here in WA I made it repeatedly clear, our government supports the live cattle industry and will not be phasing it out," Mr Watt said.

"We do see it in a different situation to the live sheep trade and live sheep is what we made the commitment for.

REGULATORY CHANGES:

"We have been absolutely categorical that we support the live cattle export industry and will continue to do so."

Mr Watt said the panel would look at what opportunities there were to expand onshore processing of sheep meat.

Keep in mind a total of 502,758 sheep were shipped from Australia last year, with WA accounting for 99.2 per cent or 498,789-head.

So the question is how would local abattoirs - and even shearing contractors - cope if a few extra hundred thousand sheep flooded the market?

Particularly given the ongoing shortage of skilled and unskilled hands, which had drawn out processing times.

Talk of the live sheep export phase-out being a pre-election promise has worn thin for many sheep producers including Digby Stretch.

Mr Stretch, who farms at Kojonup, criticised the Labor government and said its promises were worth nothing, particularly given the way other issues - including superannuation - had been recently handled.

With WA set to enter a six-month consultation period - as to when and how live sheep exports would be stopped - Mr Stretch questioned the composition of Minister Watt's elected independent panel.

He said not all of the committee members seemed to have the right values for the job, particularly Ms Neil.

"What are her skills in transitioning an industry that has been closed down?

"It looks more like a political handshake designed to provoke further dissent amongst our industry."

Mr Stretch said the decision to phase out live exports was not about science or facts, but instead a vote grabber.

He said this was a warning to all other industries in Australia - it sets a really ugly precedent and everyone should be concerned.

"I have no idea what shape the industry is going to be in five years time, but you can absolutely guarantee whatever we end up with will come with a really bitter and tarnished memory of the poor governance that took us there.

"Cohesion in agriculture is now more important than ever.

"We must not take our eye off the ball."

Corrigin Merino stud breeder and The Livestock Collective director Steve Bolt said Mr Watt had given industry no opportunity to discuss at length the phase-out plans, and what impact the decision would have.

Mr Bolt said live sheep exports had - for more than five years - successfully delivered outstanding outcomes on every voyage.

Industry has delivered what's been asked of them by the newly implemented regulations, but now Mr Watt said the science doesn't matter.

"For me it sets a really concerning precedent if this does go ahead for all of agriculture," Mr Bolt said.

"It shows industries can be closed or disrupted through a so-called election promise, without any consideration for the impact it would have.

"And that is at the request and pressure of animal activist groups, who we know will continue to challenge any animal production systems through Australia - it does not stop at live export."

Mr Bolt reiterated that industry in no way supported the phase-out approach, which the panel had been appointed for.

He said talks of creating more onshore processing opportunities were not viable, given - with current labour shortages - WA did not have capacity to do so.

"Already, there isn't a grower that you talk to, who isn't seriously considering the future of sheep numbers within their business."

Mr Bolt added that live sheep exports into the Middle East could not be simply replaced by chilled or frozen because they were completely different markets.

This meant, Australia could in fact be at risk of losing market share for those products - not gaining it - because importing countries would look for food security elsewhere.

Beyond the redmeat, he said there was also a risk to WA's $800m wool industry.

"WA is predominantly Merino sheep, so all the work has been done on the wool and sheep industries combined.

"A large percentage of people at risk are considering moving out of both wool and sheep altogether."

Despite Labor remaining firm in its stance, Mr Bolt said there was no backing down and a solid industry approach would continue fighting for WA live sheep exports.

SOLIDARITY IS KEY TO SURVIVAL

LIVE export is not a few farmers running a few sheep - it is an entire industry.

And according to WAFarmers president John Hassell, solidarity in the ag sector is needed to save it.

Mr Hassell said the live sheep export phase-out was a poison chalice handed to Agriculture Minister Murray Watt, who had been told what to do with it.

He said Mr Watt needed to find a way of saving faith and backing out of the policy, labelling it a "stupid decision" that would inflict a huge amount of harm on the Australian economy.

"There are some real challenges here with the way this has been done and the way it has been shoved down our neck," Mr Hassell said.

"First of all, I find it pretty disappointing we have a Federal Agriculture Minister who doesn't want to be held accountable.

"He said time and time again, Labor has been to two elections with the live sheep export phase-out on its policy.

"Well, if it was such an important policy, why did they lose the first election and have a reduced primary vote in the second?"

Mr Hassell added that if Mr Watt had any moral compass at all he would tell Prime Minister Anthony Albanese not to carry out the request.

Particularly, given the minister was supposed to support the industry he had been appointed to represent.

Mr Hassell said the live export sheep trade was worth between $80m and $136m.

That increases to $600m if the multiplier effect - the effect on national income and the product of an exogenous increase in demand - of 4.5 is used.

Mr Hassell applied a five per cent growth rate to that $600m figure over a decade, and the industry's worth increased again to $7.8b.

"Is it right to throw that out based on keeping the Greens happy?" he said.

"I think not - we are pandering to animal activists rather than animal 'welfarists'."

In response to Mr Watt's comments on onshore processing, Mr Hassell said if there was opportunity to do so, it would be happening.

However, there wasn't and people were putting their money into other markets.

"That's the stupid part about this - it is such a furphy," he said.

"We were promised all this rubbish before.

"And if it all goes wrong in 10 years time they will say, 'sorry my bad' and we would have lost an industry."

He said the phase-out was wrong on many levels and it was important everyone had a say in the consultation process.

He said there was plenty of information that could be put to the panel, as to why the transition would be almost impossible.

"The cornerstone of democracy is sound, reasoned, robust and respectful debate, but there has been none of any of that here.

"Ideally, the best course of action would be for Labor to not be re-elected."

PROTECT THE INDUSTRY, DON'T ATTACK IT

THE Pastoralists and Graziers' Association of WA (PGA) condemned Mr Watt's announcement on Friday, and said it was time he started listening to WA producers instead of Eastern States' animal rights activists.

PGA president Tony Seabrook said Mr Watt's comments that WA sheep farmers should accept the views of those - who oppose the live export and all livestock production - showed a dazzling lack of understanding of the trade and was an insult to the livelihoods who depend on it.

Mr Seabrook said live sheep exports were the cornerstone of the WA sheep industry, which contributed more than $1.4b to the State's economy.

READ MORE:

"There are about 5250 sheep farm businesses in WA, which employ tens-of-thousands of workers - including stockmen and women, shearers, transporters, feed suppliers, veterinarians and stevedores to name a few.

"Shutting down this trade will only see a collapse in sheep values and would decimate producers and regional communities in WA."

Mr Seabrook said any suggestion the trade was on its last legs was misleading.

He said the only decline the trade had suffered in the past three years was through high livestock prices, limited supply, COVID and reduced shipping timeframes - not a lack of demand from overseas customers.

"It is clear that Mr Watt and his Eastern States' animal-activist supporters have little, if no understanding of the importance of the live sheep trade to regional WA.

"And asking WA sheep farmers to partake in this Clayton's consultation process is insulting and akin to asking them to partake in their own execution."