The other day in my local Community Discussion Facebook
Group, a lady posted a status from a beef farmer in Southern Qld stating:
26c per kg for a couple of light angus cows
& 1 for 43c a kg. I put in Dalby sale today. For those who don't know about
selling cows , that equates to $148 for the better one & $66 each for the
others. I had paid $500 each for those cows 18mths ago.
Apparently the lowest selling animal at the
yards today was 6c a kg for a steer. He wouldn't have even covered his cartage.
And that is why people are shooting their cattle
... Can't feed them ... Can't sell them & if you do sell them .. You might
even get a bill not a cheque
We are not in a drought declared zone as yet,
therefore do not qualify for any government assistance, however I am rallying
for all those that are in drought declared areas & hope they receive help
... our above status is just a reflection of what is currently happening. Support
your Aussie Farmers .. they put food on your plate & clothes on your back !
https://www.facebook.com/BuyaBaleofHay
(If you want to share this status from Trina and Drew Neal to your Facebook
wall, you can do so here: https://www.facebook.com/trinan.neal/posts/696025343775883?stream_ref=10)
(Please not this is not an endorsement for Buy A Bale, it was a part of the status)
The lady who posted this in our discussion group also commented on the fact that
consumers weren't seeing a price drop on the shelves. So I piped up and answered the following
because like charity, education starts at home. It is a basic run down of why we got into
this predicament and is by no means an in depth view. But for people who want to know more,
hopefully this is a good starting point.
Please note I have amended it slightly
to provide links to statistics and further information where applicable.
“So, in a "normal" year for us up here an average
price we receive from the meatworks (if we send them directly there) is between
$2.80-$3.50/kg "carcass weight" which means the head, hide, organs,
lower legs etc removed. Then you can get penalised for too much fat, too little
fat, bruising, scarring left by wild dogs.
$2/kg live weight (what they weigh while still alive) is quite a good price.
Like all manufacturing in Australia (steel, cars, clothes, tinned fruit) meatworks
struggle with high wages and taxes and government charges in Australia. So the
meatworks company wanted to consolidate their operations. A beef farmer has to
pay the freight to the meatworks and then the meatworks needs to pay the
freight to the port so it makes sense to them business wise to shut remote
operations and make the farmer pay extra freight.
So by 97 NQ only had two meatworks, one in Townsville and
one in Innisfail. (Innisfail shut in September 2006, six months after Larry and
after three years of limited live export) They could not cope with the amount
of cattle in NQ. Also across Northern Australia, a lot of places have deficient
soil, so growing a bullock to Australian slaughter weight can take years.
Cattle's ages are measured by "teeth" (how many teeth they have).
That's another thing the meatworks can penalise us for, too many teeth. The
older a bullock is the tougher his meat, the stronger the taste etc.
While Australia has been live exporting nearly the whole
time we've been settled, it didn't really boom and become a prominent market
until 96/97 when there was nothing else, well nothing that was viable.
So then all of a sudden the meatworks didn't have the
monopoly over the market. They had competition and had to lift their game and
they didn't like it.
They had a lot of disgruntled workers and the unions made
life very difficult for the meatworks and for the farmers. But they needed a
scape goat for this so they decided to blame live export. In 2010 the Meatworkers union released their
union magazine
detailing how the unions, meatworks
owners animal groups and some government officials were colluding to shut the
live trade down. The catch cry was that over "40 000 jobs were lost
because of live export. But those jobs were going from the mid seventies (ABS has these stats, but they are manufacturing as a whole, not just solely meatworks) when the beef industry went through
a "slump" very similar to what we see today. Although many of the
"old timers" say it's worse this time round.
Live export was a very easy target because there can be some
very cruel aspects to it and NO ONE condones it. Farmers were horrified to see
what was happening. Although things have come a long way over the last few
decades and a majority of overseas workers do the right thing, there are still
some that don't. Australia is the only country out of over 100 that live export
stock to actually spend money in overseas facilities to improve welfare.
So we let the ball down there, our industry bodies told us
it was okay and it wasn't. So things are improving a lot now because farmers
are pushing our representative bodies more instead of assuming they were
already doing the right thing. Incidentally a meatworks owner sits on the board
of our major industry body (but not a live export rep)
So fast forward to 2011 when the horrific cruelty was shown.
Because we cut off Indonesia overnight they got the poops and didn't want to
import our cattle anymore.
Just out of Townsville alone there was a boat of 4000 head of cattle or
more going every 6-8 weeks. No to mention the major ports of Darwin, Whyndam
and Broome. Then that option was gone. So there was estimated to be over an
extra 2 million head in Northern Australia at the end of 2012.
Then comes the drought. Our country is already under
pressure because we literally cannot offload stock, even if we did take crappy
prices.
To get cattle into the meatworks in Townsville last year,
you had to wait 3-4 months for your turn. Then a couple of weeks ago the CEO of
the company that owns the Townsville meatworks
was on the radio spruiking how
2013 was their best year ever with record breaking profits. And that they
didn't put on any extra shifts to help get cattle through quicker, they still
worked only five days instead of running full time (despite saying that 240
people were made redundant in 2010, no extra shifts means no extra staff). They
wanted to "ensure a supply of cattle throughout 2014". Which is all
well and good... unless those cattle are starving and will be dead or
underweight.
I'm not trying to bag the meatworks because they are also an
important aspect to our industry but they can't have the monopoly on the
market.
So now the industry is on our knees. We really don't want
handouts or bandaid assistance packages from the government (although in some
cases it will be the only thing that saves people and animals). We need to get
our industry fixed so that don't let us down like this again. Our farm gate
prices haven't risen in decades but the cost of everything else has (including
what you pay for it in the end)
We need to be paid more to keep up with everything so we can
look after ourselves in times like this and not rely on the generosity of the
public and government. We've been let down by our industry bodies and
governments
(although there's a senate inquiry now coming up regarding thebodies), we let our animals down by letting it happen and as well the
communities that depend on us."
So that's a really simple rundown of how we got to where we are today.
Sunrise also did a great segment on it today :
http://au.tv.yahoo.com/sunrise/video/#page1
We need more than just rain, we need to take control of our industry. People working in Agriculture only make up 3% of our total population, so our voice alone is not enough.
We need to make connections with the rest of the population so they can support us. Most people do want to support farmers, they just want to know where to start. And tooting our own little horn.. a great place to start is by talking to each other and you can do this at
Ask An Aussie Farmer.
We won't fix things overnight. But we're not giving up.