Wheatbelt economy at risk under ‘live sheep exports by sea’ phase out
Recently released figures have highlighted significant negative economic implications for rural towns in Western Australia if the proposed phasing out of live sheep export policy is implemented.
Should the Federal Government progress with their proposed live sheep export ban, the potential economic impact on the North Eastern Wheatbelt could range from $39 million to $128 million over 20 years, according to estimates by Econosis.
If the Federal Government proceeds with the policy then they will need to significantly invest in and financially compensate farmers, communities and local economies that will be impacted by the introduction of the market-limiting policy.
Made up of the local government areas (LGAs) of Koorda, Mt Marshall, Mukinbudin, Nungarin, Trayning, Wyalkatchem and Dowerin in Western Australia, NEWROC is advocating for its member communities and economic sustainability of the region.
Analysis conducted in June 2023 by Acil Allen estimated that the West Australian sheep industry contributed $45 million in value-added and employed 52 FTEs post farm-gate annually, jobs that will no longer exist when the phase out takes place.
The NEWROC region alone is home to more than 400,000 sheep, with the Mount Marshall LGA containing the largest population of 124,000 sheep. The sheep industry supports 180 local businesses across the NEWROC and contributes over $18.7 million in gross value to the economy.
The economic impact will also be a further be felt with a reduction of between $21.2m and $34.6m in household expenditure and consumption.
The Federal Government has indicated that it is committed to the phasing out of live sheep exports from Australia by sea in the coming terms of Parliament, saying that it wants to provide time for individuals and businesses to prepare to transition away from the industry.
More than 4,100 submissions were presented to Minister for Agriculture, Fisheries and Forestry, Senator Murray Watt last month via an independent panel consultation process.
The Government is yet to release its report on how the phase out will be implemented.
