In light of the bill to ban live sheep export by sea in May 2028, the federal government has increased the compensation package for the sheep industry but has announced the funding won’t be released until after the next election in July 2025, leaving farmers outraged.
Since the bill to ban live sheep exports by sea was approved in July, the Albanese government received enormous amounts of backlash from agricultural and farm lobby groups regarding the overall decision and compensation package.
After receiving the backlash for just over two months, the federal government decided to add what they consider a ‘sweetener’ of $32.7 million to the compensation package on Tuesday, 15 October.
This is on top of the original $107 million package, resulting in a total of $139.7 million, with $900,000 that has already been spent on administration fees.
Founding member of the Livestock Collective and Sheep Producers Australia and board member Bindi Murray completely disagrees, saying farmers would require at least $255 million.
“For all producers to be supported through this process the government would need to compensate to the sum of $255 million – $100 million in support for processors, $100 million for the supply chain, $20 million for market development, $15 million for air freight, $10 million for community support and mental health and $10 million for exit payments,” she said.
Following the announcement, Labor told Senate Estimates on Tuesday, 5 November that the financial transition package wouldn’t be implemented until July 2025.
This has raised many concerns within the sheep industry as pricing and production cycles have been immediately affected since the bill was approved.
Minister for Agriculture, Fisheries and Forestry Julie Collins believes the Labor government has committed to the bill and is delivering on that promise.
“We want nationwide sheep farmers and those associated with the industry to benefit from new markets and the ever-growing sheep meat export opportunities before us,” she said.
According to Labor, statistics show a decline in profits from $411 million in 2002 to 2003 to now $77 million in 2022 and 2023.
As a direct result, over 3,500 families will be affected by the bill, leaving the leader of the Nationals party and Shadow Agriculture Minister David Littleproud disgusted.
“Labor’s transition package for farmers won’t see the light of day until the next financial year and well after the next federal election,” he said.
“This funding will come years after Labor initially announced it would end the trade. It is another delay in support for our farmers, who are having their livelihoods taken away.
“The Nationals fully support our live sheep export farmers and as our first action will reinstate the trade.
“We know our farmers want to keep their industry, not lose it with an insulting and delayed transition package.
“Labor has turned its back on the farming industry and has treated our live sheep farmers with nothing but contempt.”