The Impact of Imported Beef from Australia to Feedlot Besiness of Indonesia

Rochadi Tawaf,
Rachmat Setiadi

In Indonesia, total population of beef cattle around 11 millions heads, generally were keeping by small holder business feedlot and only few of them is raised by feedlot company. The main problems are the breed quality, small scale and feed quality (roughage and concentrate). Production performances are indicated that ADG are 0.5-0.9 kg/day/heads. In several years for getting better performance, small holder beef farmers has interested to crossbred (Simmental and limousine cross with local cattle) and crossing with Ongole cross.
It will be an impact to Australian beef cattle farmers; in the North (NT and Queensland) area, they are beneficially, because they could sold the heavy cattle to slaughter house (good revenue for farmers). The disparity price has impact in the short term to the beef price in Indonesia, will have negative impact to the small scale farmers and feedlot firms, because the production cost will not covered by the beef price (as revenue--- price decrease. In long term, if the beef imports were continue from Australia, the feedlot business companies in Indonesia will be collapsed. For anticipation, in long term, Australia must export the feeder cattle to Indonesia with competitive price.
The price disparity between Australian imported beef and Indonesian beef has distorted the local beef market prices in Indonesia,its has impact on feedlot industries in Indonesia, have impact to decreased the live cattle imported price from Australia. In the long term this condition not conducive to the cattle farmers business in North Australia and feedlot business in Indonesia.
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