The Australian government has announced a ban on the export of live sheep by sea, effective May 2028, in fulfillment of its long-standing commitment to end this controversial practice, according to Reuters.
This decision has major implications for the Arab world, as many Arab countries are major importers of Australian sheep. This report reviews the details of the decision, its repercussions, causes, and impact on Arab countries.
Decision details
The ban on live sheep exports by sea will be implemented from May 2028. The decision, announced by Australian Agriculture Minister Murray Watt, aims to address animal welfare concerns that have dogged the sector for years.
“We are giving certainty to sheep producers and the supply chain through date legislation,” Watt said. The legislation will be presented in the current session of the Australian Federal Parliament, while a transitional package worth 107 million Australian dollars (about 71 million US dollars) has been allocated over 5 years to support affected farmers and workers in the supply chain.
Dr Robert Fisher, an Australian agricultural policy expert, noted to the Financial Review that Australian farmers would need significant support for the transition.
The government’s transformation package is a start, but more similar packages will be needed to mitigate the impact of the decision. The newspaper commented that this support will be crucial as the industry adapts to new regulations.
Reasons for the ban
The “welfare of the animals” was the primary motivation behind the ban, says the Sydney Morning Herald, and animal rights groups have long called for a halt to live sheep exports due to the high risk of heat stress and deaths during transport.
Public anger, especially after incidents such as the death of 2,400 sheep in 2018 due to heat stress, has intensified calls for stricter animal care standards, according to the newspaper.
“This ban is an important step forward in ensuring that animal welfare standards are met,” Dr. Lisa Johnston, an animal welfare expert, told the Sydney Morning Herald. “Conditions on board these ships are often inhumane, and this “The decision will help prevent unnecessary suffering.”
Influence on Arab countries
The Middle East is an important market for Australian live sheep exports. In 2023, Kuwait was the largest importer from the country, receiving 271,162 sheep, representing 46% of total Australian sheep exports by sea.
Other major importers include Israel (16%), Jordan (14%) and the United Arab Emirates, Oman and Qatar combined (25%).
The decision to ban these exports will have many repercussions, according to experts, including:
- Economic impact on importing countries: Countries such as Kuwait and Jordan, which rely heavily on Australian sheep for their meat supply, will face disruptions to the meat supply chain. The ban may lead to higher meat prices and a search for other suppliers, according to Reuters. Dr. Ahmed Al-Mutawa, an economist specializing in Middle Eastern markets, told the agency, “The economic repercussions on countries dependent on Australian sheep are significant.” Al-Mutawa added, “These countries will need to re-evaluate their supply chains and may bear higher costs.”
- Food security concerns: For many Arab countries, Australian sheep are an important component of their food security strategy. A sudden cessation of these imports will require adjustments to national policies related to food supplies. Dr. Fatima Al-Khoury, a food policy analyst, indicated in an interview with Reuters that “food security is a major concern,” stressing that: “Governments will need to find alternative sources to ensure that there is no shortage in the market.”
- Commercial adjustments: Importing countries will need to explore new trade relationships, perhaps increasing imports from other regions or investing in local livestock industries to mitigate the impact. Australian trade expert John Davies told the Financial Review, “This decision will push countries to diversify their suppliers, and may also stimulate local industries to increase production.”
Largest importing countries
The following are the largest live sheep importers by sea from Australia in the Middle East and surrounding areas:
- Kuwait: 271,162 heads
- Israel: 94,000 heads
- Jordan: 84,376 heads
Impact on the Australian economy
A ban on live sheep exports will have profound effects on the Australian economy. The live sheep export industry, centered in Western Australia, has historically been a significant contributor to the agricultural sector.
In the 1990s and early 21st century, Australia exported about 5 million heads of sheep annually, but this number gradually decreased, as 684 thousand heads of sheep were exported in 2023, with a value of about 50 million dollars.
Dr. Khaled Mahmoud, an economist, said in an interview with Bloomberg: “Although the ban is a victory for animal rights, it poses major economic challenges. The affected farmers and related companies will need to adapt or face financial difficulties.”
The government’s transition package aims to mitigate some of these impacts, but the long-term impacts on local economies, particularly in Western Australia, could be severe.
Agricultural economist Dr. Michael Edwards added in an interview with the Australian newspaper The Daily Telegraph, “The growth in livestock exports is encouraging. It shows that there are still viable markets for Australian livestock, but the transition will be difficult.”
The future of live sheep exports
Despite the upcoming ban, Australia’s exports of live livestock by sea saw an increase in 2023, with live livestock exports rising by 12% for the first time in many years of decline in the sector, and Indonesia was the largest importer, followed by Vietnam and China, he said. Dead & Live Stock Australia website. This shift may provide a pivot for the livestock export sector as it adapts to new regulations.
“The growth in livestock exports is encouraging and shows there are still viable markets for Australian cattle, and may help mitigate the impact of the sheep export ban,” Dr Edwards said.
Australia’s decision to ban the export of live sheep by sea represents a major shift in livestock export policy, driven by animal welfare concerns. The impact on the Arab world will be significant, affecting major importing countries economically and leading to shifts in food security strategies.
