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Speaker 1: Now live.

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Speaker 2: Exports from Northern Australia to Indonesia are reportedly in limbo,

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Speaker 2: with the industry waiting for import permits to be issued

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Speaker 2: for this year. It's understood that no cattle have been

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Speaker 2: shipped this year after a record breaking number of exports

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Speaker 2: in December. That is according to report by the ABC

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Speaker 2: and cattle exporter Patrick Underwood joins me on the line

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Speaker 2: to give us a bit of an update on the situation.

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Speaker 1: Good morning, Patrick, Good morning Katie.

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Speaker 3: How are you.

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Speaker 1: Yeah, good mate, good to have you on the show.

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Speaker 2: Now, tell me what's behind the hold up for permits

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Speaker 2: from Indonesia at this point.

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Speaker 3: Yeah, the delay continues. Then they're issued annually, so we

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Speaker 3: normally see that the year aheads permits via early in January,

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Speaker 3: but this year they just you know, nothing to date.

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Speaker 3: We're expecting them the sort of third week and then

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Speaker 3: the fourth week and to date nothing. So we're aware

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Speaker 3: there's a presidential election out there on the fourteenth of February,

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Speaker 3: so we're just a little bit worried that as it

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Speaker 3: gets as close to the election might get caught up

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Speaker 3: in events around that might be a delay for another

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Speaker 3: couple of weeks.

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Speaker 2: Yeah, right, And what kind of impact then, does that

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Speaker 2: have for someone like you. You know, you've obviously got

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Speaker 2: Australian cattle enterprises and.

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Speaker 1: Trying to export cattle. What's it mean for you?

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Speaker 3: No, it's difficult because we export, like the industry works

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Speaker 3: three hundred and sixty five days a year and we

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Speaker 3: sort of pride ourselves on being able to deliver cattle

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Speaker 3: to our customers in markets who sell cattle on a

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Speaker 3: daily basis. So there's a number of exporters like US

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Speaker 3: who had ships planned, so you know that's a shipping

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Speaker 3: commitment and therefore across to not deliver cattle. And also

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Speaker 3: you know there's a number of producers. Luckily there's a

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Speaker 3: big wet season underway, but there certainly produces out there

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Speaker 3: that cattle would aside to sell to US and other exporters.

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Speaker 3: You know, I've probably got commitments with their banks and

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Speaker 3: other supplies and things. So the delay is not great.

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Speaker 1: No, it wouldn't be.

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Speaker 2: It'd make it very very difficult to do business. I mean,

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Speaker 2: how much livestock is currently waiting at holding yards ready

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Speaker 2: for export.

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Speaker 3: There's only that there's definitely a couple of consignments and

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Speaker 3: the three or four yards have got cattle in once

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Speaker 3: the delays started coming. You know, the rest of us

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Speaker 3: where possible sort of held cattle back. So we're sort

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Speaker 3: of all in agreement where we can now. Then once

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Speaker 3: the permits come, we'll we allway cattle in and get going.

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Speaker 3: But certainly those consignments that were and I think the

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Speaker 3: earliest one was due to go on the fourteenth of

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Speaker 3: January and another one a few days after that. So

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Speaker 3: they're now sort of talking two three four weeks of delays.

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Speaker 1: Yeah, gee, it makes it difficult. Now.

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Speaker 2: I understand that you recently traveled to Jakarta as well

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Speaker 2: to meet with those importers and the embassy.

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Speaker 1: I mean, what did they say to you?

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Speaker 3: Oh, the importers are keen. Obviously there are you know,

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Speaker 3: they in the Indonesia markets pretty healthy at the moment.

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Speaker 3: There's been some issues up there with with LSD and

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Speaker 3: FMD sort of restricting demand, but at the moment it's good.

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Speaker 3: So they're all one in cattle. I don't want to

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Speaker 3: have a big gap in the importing programs. We didn't

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Speaker 3: talk to the Indonesia government. We talked to the embassy

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Speaker 3: guys up there, who were obviously who do talk to

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Speaker 3: the Indonesian government. Yeah, so industry and Indonesia industry is

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Speaker 3: ready to go. Indonesian government, I think are quite preoccupied

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Speaker 3: with the election.

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Speaker 1: Yeah, that's a tough part, isn't it.

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Speaker 2: We know, even for us here in the territory, we

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Speaker 2: get a bit preoccupied somewhat sometimes when there is an

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Speaker 2: election nearby. So then you know, when you look at

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Speaker 2: a place like Indonesia, they you know, sometimes they operate

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Speaker 2: a bit differently too.

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Speaker 1: I guess it is.

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Speaker 3: And look, we've just got to be patient. We can't

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Speaker 3: push them too much. At the same time, you know,

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Speaker 3: we did anything to be cognisant that you know that

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Speaker 3: there's cattle here. The thing is, it's not just Australian cattle.

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Speaker 3: It's Australian bee, but it's also other commodities and horticulture

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Speaker 3: and other countries as well. So I know New Zealand, USA,

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Speaker 3: et cetera. They're also waiting on different permits for different products,

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Speaker 3: so at least you know it's not specific for our cattle.

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Speaker 2: Yeah, hey, Patrick, I know the ABC was reporting that

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Speaker 2: the last time Darwin Port had a month with no

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Speaker 2: exports was thirty five years ago. Do you know if

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Speaker 2: that was the case or thirty four years ago, I

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Speaker 2: should say, no.

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Speaker 3: No, I heard nineteen ninety. I'm a little bit surprised

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Speaker 3: because it's been if you think of back to the

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Speaker 3: currency crisis and then the suspension of trade to Indonesia.

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Speaker 3: Of course we do export cat to other markets, perhaps

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Speaker 3: from Indonesia, but I was a little surprised. But there's

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Speaker 3: certainly a big statistic, particularly after as you said earlier,

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Speaker 3: we had a record December. So fifty thousand plus going

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Speaker 3: out in December, zero in January, so quite the change, Yeah,

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Speaker 3: far out.

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Speaker 2: That makes it like it just makes it sort of

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Speaker 2: difficult in terms of I know that things like this

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Speaker 2: happen from time to time, but I guess you'd do

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Speaker 2: lots of you know, of estimating and sort of and

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Speaker 2: looking at what you're expecting numbers to be, and then,

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Speaker 2: like you said, to go from fifty thousand to sort

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Speaker 2: of zero in January.

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Speaker 1: It would have a big impact on any business.

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Speaker 3: It does. And the likely thing is that once the

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Speaker 3: permits are released, then they'll be really strong demand from

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Speaker 3: Indonesia for a while, but because of the web season,

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Speaker 3: depending on how the rest of the web seeds go,

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Speaker 3: but supply could be limited, so it's much better to

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Speaker 3: have that continuous supply of shipment was going out on

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Speaker 3: a weekly basis rather than nothing for two months and

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Speaker 3: then an attempt to send twenty in a month.

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Speaker 2: Yeah, hey, Patrick, before I let you go, I know

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Speaker 2: that it was being reported around the place yesterday as well,

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Speaker 2: that travelers are being warned to be a bit cautious

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Speaker 2: when they visit Indonesia at the moment because of that

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Speaker 2: election that's du to kick off, and also with political rallies.

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Speaker 2: You were there as we touched on before, was it like,

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Speaker 2: did it seem much different while you're over there?

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Speaker 3: No, And I was traveling around Jatata and we had

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Speaker 3: a couple of trips outside of Jatata. I've been there

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Speaker 3: before an election where there's sort of a little bit

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Speaker 3: more for the feeling of potential unrested your like, or

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Speaker 3: look from what we were sort of hearing up there

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Speaker 3: this election, you know there is a strong favorite of

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Speaker 3: it for a particular party in a candidate. And so

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Speaker 3: I didn't seendthing like that up there. No.

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Speaker 2: Well that's good to hear because I know a lot

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Speaker 2: of territories to head across two different parts of Indonesia,

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Speaker 2: So it is good to hear, really good to speak

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Speaker 2: with you this morning. I appreciate you making us aware

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Speaker 2: of the issue with the Cadileic sports.

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Speaker 1: No fingers crossed, thank you, thank you, all the best