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Indonesia may raise Q3 cattle import quota after evaluating supplies

Published 15/07/2015, 06:21 pm
© Reuters.  Indonesia may raise Q3 cattle import quota after evaluating supplies

JAKARTA, July 15 (Reuters) - Indonesia may increase its import quota for cattle in the third quarter after it completes an evaluation of the country's supplies, the trade minister said on Wednesday.

Earlier this week, Indonesia slashed the number of cattle import permits to 50,000 for the third quarter, less than a fifth of what was allowed in the previous three months, based on expectations of supply needs amid a drive for self-sufficiency.

The lower import quota was a blow to farmers in Australia's north which rely almost exclusively on live sales, primarily to Indonesia, a market which has been volatile this year.

"It doesn't mean we are lowering the quota. It's possible there is another addition," Trade Minister Rachmat Gobel told reporters.

He said further imports were an option to ensure meat prices do not spike, but added that the government would first need to complete its evaluation of domestic cattle stocks.

"Maintaining a stable supply and price for beef is our goal," Gobel said. He did not say when a decision on further imports will be made.

Indonesia imported 97,747 live cattle, or 98 percent of its first quarter quota of 100,000. It issued permits to import 250,000 cattle in the second quarter and later added a further 29,000 head in anticipation of the annual rise in beef demand during the Islamic fasting months in June and July.

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