EXPLANATORY STATEMENT
Issued by the authority of the Minister for Agriculture, Fisheries and Forestry
Export Control Act 1982
Export Control (Orders) Regulations 1982
Livestock Export (Merino) Repeal Orders 2009
Regulation 3 of the Export Control (Orders) Regulations 1982 states that the Minister may, by instrument in writing, make orders consistent with regulations made under the Act.
OUTLINE
The Livestock Export (Merino) Repeal Orders 2009 repeals the Livestock Export (Merino) Orders 1990 which declare merino rams, merino reproductive material, merino ewes, merino ova and merino embryos as prescribed goods for the purposes of section 3 of the Export Control Act 1982.
CONSULTATION
The Department of Agriculture, Fisheries and Forestry reviewed the merino exports policy in early 2009, inviting submissions on the rationale of the current policy and the administrative arrangements. The department also wrote to the Australian Association of Stud Merino Breeders (AASMB), Australian Livestock Exporters’ Council, Australian Livestock Export Corporation Limited, WoolProducers Australia and the Australian Livestock and Property Agents Association Ltd, seeking their views. All industry groups supported the removal of the restriction on merino exports.
The department is continuing to liaise with the AASMB, which administers the Guidelines and Conditions for Merino Export Sales and Nomination of Merino Rams as Export Semen Donors, about the new arrangements for merino exports following the repeal of the Orders.
EXPLANATION
The Livestock Export (Merino) Orders 1990 prohibit the export, to any country other than New Zealand, of all merino rams, reproductive material, ewes, ova and embryos unless an exemption for reproductive, slaughter or scientific purposes is obtained from the Secretary of the Department of Agriculture, Fisheries and Forestry or an authorised officer.
The Orders authorise the Minister for Agriculture, Fisheries and Forestry to declare an
annual export quota comprising merino rams for export and rams from which reproductive material may be derived for export. A notice of the annual quota is set out in the Guidelines and Conditions for Merino Export Sales and Nomination of Merino Rams as Export Semen Donors, published by the AASMB.
An annual quota of 800 applies to rams that may be exempted for export, with a further 100 head quota reserved for studs to place rams on the National Register of Merino Semen Export Donors. The quota has not been filled since the Orders were introduced in 1990. Since 1992, approximately 1550 rams have been exported under these arrangements, at an average of 86 per year.
The merino export policy was introduced to protect the integrity of Australia’s merino genetics; however, this rationale is no longer justified as the breed is well established. Further, the quota restriction on the export of merinos and merino reproductive material could impede the future growth of the world merino trade. The Repeal Order will remove the restriction and provide greater access to Australian merino genetic material, encouraging other nations to develop their domestic merino markets and resulting in a more globally competitive industry.
The Orders provide the AASMB a statutory monopoly over the merino export trade which results from the requirement that all rams be sold at designated export auctions. Auctions are administered by the AASMB in accordance with the Guidelines and Conditions for Merino Export Sales and Nomination of Merino Rams as Export Semen Donors.
Further, the Guidelines provide the AASMB with the statutory control to determine ram suitability for export on the basis of quality. This is inconsistent with other livestock export industry policies where statutory authority is limited to ensuring the safety and welfare of livestock. The Repeal Order will remove the AASMB’s statutory authority over merino export auctions.
The Repeal Order will also remove an unnecessary regulatory burden on exporters seeking to export merinos for slaughter and bring the administration of merino exports in line with the requirements for export of other livestock and livestock reproductive material.
The Repeal Order is a legislative instrument for the purposes of the Legislative Instruments Act 2003.
The Office of Best Practice Regulation has advised a Regulation Impact Statement is not required for the order (OBPR ID 10217).