Head of Queensland’s Cattle Industry Warns of Potential Global Trade Precedent
Peter Hall, the head of Queensland’s cattle industry, has expressed concerns over new European Union (EU) deforestation provisions and their potential impact on global trade. The EU Deforestation Regulation (EUDR) requires exporters to prove that their products are deforestation-free or face fines of up to 4 percent of their global turnover. This could lead companies to impose standards beyond the EUDR’s requirements. The aim of the regulation is to reduce the consumption of products that contribute to deforestation and forest degradation, as well as carbon emissions.
Hall, president of the cattle division at AgForce, argues that complying with the EUDR would be a logistical and financial challenge for farmers in Queensland. He points out that land clearing is already regulated under existing legislation and questions the lack of a clear global definition for “deforestation,” which could include sustainable land used for grazing. Hall also highlights that commodities like beef are subject to these new rules, requiring farmers to provide geolocation data as proof that no grazing land has been cleared.
The implementation of the EUDR could create non-tariff trade barriers worldwide and potentially exclude Australian exporters from key markets. Hall mentions that both Canada and the United States have already called for a delay in implementing these regulations.
The agricultural sector in Australia is facing multiple challenges, including dissatisfaction with plans by Labor government to phase out live sheep exports by 2028. Other concerns raised by farmers include water buybacks under the Murray-Darling Basin Plan, increased biosecurity charges, rises in superannuation contributions, and impacts from energy developments.
Hall emphasizes how crucial live export is for Australian farmers’ income and highlights Australia’s high animal welfare standards through its Export Supply Chain Assurance System (ESCAS). While live sheep exports will be phased out by sea by May 1st, 2028, this ban does not apply to other livestock export industries or live sheep export by air.
Hall warns against policy shifts perceived as catering more towards activist groups than grounded realities since they risk damaging Australia’s reputation as a dependable food exporter.
Additionally, Hall notes how carbon accounting and methane emissions have become central issues within the cattle industry. The rise in carbon credit markets has caused property prices to surge due to increased demand for land valued for grazing or renewable energy projects. This trend poses challenges for both new entrants into the industry and existing producers who must navigate economic pressures alongside regulatory demands.
