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NATIONAL VOICE FOR AUSTRALIAN WOOLGROWERS

WOOLPRODUCERS
ANNUAL REVIEW 2014

ANNUAL REVIEW 2014 1

BOARD OF
DIRECTORS
Geoff Fisken, President
Victoria
Richard Halliday, Senior Vice President
South Australia
Jim McKenzie, Vice President, Treasurer
Queensland
Steven Harrison, Independent
Victoria
Andrew Johnston
Tasmania
James Kirkpatrick
Victoria
Charlie Merriman, Independent
New South Wales
Ed Rogister
Western Australia

Max Watts, Independent


Western Australia

STAFF
Jane Brownbill
Chief Executive Officer

CONTENTS

Ed Storey
New South Wales

Jo Hall
Policy Manager
Animal Health and Welfare
Genevieve Morrow
Policy Officer
Animal Health and Welfare

Supported by:
AgriFood Skills Australia
Animal Health Australia (AHA)
Australian Wool Testing Authority (AWTA)
Australian Wool Innovation (AWI)
Australian Wool Exchange (AWEX)
Sheep Cooperative Research Centre (Sheep CRC)
WoolProducers Australia
PO Box E10, Kingston ACT 2604
www.woolproducers.com.au
Twitter @woolproducers
Cover photograph: Pauline Barnes

Executive Summary
Presidents Report
Sheep Health and Welfare Report

2
3
5

Member Organisations
Livestock SA
Western Australian Farmers Federation
AgForce Queensland
NSW Farmers Association
Tasmanian Farmers and Graziers Association
Victorian Farmers Federation

8
10
12
13
14
16

Independent Members Reports


Charlie Merriman
Max Watts
Steven Harrison

17
17
18

Contributed Reports
National Farmers Federation
Australian Wool Innovation (AWI)
AgriFood Skills Australia
Animal Health Australia
Sheep CRC
Australian Wool Exchange
Livestock Biosecurity Network
Invasive Animals Cooperative Research Centre
Australian Association of Stud Merino Breeders
Federation of Australian Wool Organisations
National Wild Dog Action Plan Implementation Begins
Australian Wool Testing Authority (AWTA)
Australian Superfine Wool Growers Association Inc.

20
22
26
28
32
36
38
40
42
44
45
46
48

Photo: Anne Rosewarne

PROUDLY SPEAKING
ON YOUR BEHALF
WoolProducers Australia
is the peak national body
for the wool producing
industry in Australia,
representing farmers
whose primary business is
growing wool.
It is the only national organisation
that can speak on behalf of the
mainstream wool industry and
represent the concerns and hopes of
wool growers.
WPA is led by a national executive
made up of woolgrowers from
around Australia. Each state farmer
organisation member is represented
on the executive, while another three
members are directly elected by
growers Australia-wide.
AgForce Queensland
NSW Farmers Association
Victorian Farmers Federation
Tasmanian Farmers and Graziers
Association

Democratically elected independent


members give anyone involved
with wool growing in Australia the
opportunity to be a part of the
leadership team.
This sets WPA apart from other
grower groups and gives it the
mantle of the true democratic voice
of the Australian wool industry.
This structure is unique amongst
other similar livestock representative
bodies in Australia, to which
membership is often only available
through state farmer organisations.
WPA plays a key role by working
with the companies funded by
grower funds - whether compulsory
levies or fees for service - to
develop constructive and profitable
outcomes for industry.
All members of state farm
organisations have a stake in WPA
through their local wool committees,
as well as the benefits of state
representation and direct support
through services such as industrial
relations, member discounts,
networking and training.

WPA representation
President Geoff Fisken
Australia Wool Testing Authority
The Australian Wool Exchange
Livestock Biosecurity Network
Federation of Australian Wool
Organisation
Australian Wool Innovation Industry
Consultative Committee
Emergency Animal Disease Outbreak
National Management Group
IWTO Growers Forum
Senior Vice President Richard Halliday
NFF Animal Welfare Taskforce
Emergency Animal Disease Outbreak
National Management Group
NFF Innovation Committee
Sheep Code Writing/Reference Group
Vice President Jim McKenzie
Treasurer WoolProducers Australia
Livestock Biosecurity Network (LBN)
National Wild Dog Implementation
Steering Committee
Emergency Animal Disease Outbreak
National Management Group
Livestock Production Assurance
Committee (LPA)
NFF Drought Taskforce
Other Committees
NFF Competitiveness Committee
Ed Storey
AgVet Chemicals Taskforce Max Watts
Animal Health Australia Industry Forum
Charlie Merriman
NFF Biosecurity Taskforce Ed Rogister
For a full list please see
www.woolproducers.com.au

Livestock SA
Western Australian Farmers
Federation

ANNUAL REVIEW 2014 1

EXECUTIVE
SUMMARY
Once again it is my pleasure
to provide a summary for the
WoolProducers Annual Review.
And it is a pleasure as the Review
provides an opportunity to reflect
upon all the achievements and
challenges that have faced the
Australian wool industry over the
previous 12 months. The following
pages bring together the key
organisations that are working
towards ensuring a sustainable and
vibrant Australian wool industry and
I thank them for contributing to the
2014 WoolProducers Annual Review.
The issues across many of our
contributors highlight certain themes
the urgent need for a better price
for wool, wild dogs and other pests,
disease management, an increased
community interest in what occurs
onfarm, and questions about how
to achieve greater productivity
gains. These are all real challenges
facing our industry and will require
a unified and coordinated effort
to make the urgent progress the
industry needs.
I would like to discuss a couple of
the themes coming out of the WPA
Annual Review.

The Price of Wool


The Australian flock is still
overwhelmingly Merino however
Australian wool production was
down 3% in 2013/14, and expected
to ease again in 2014/15. This
downward trend in wool production
coupled with a continued trend of
slackening wool prices is concerning.
The superfine sector of the industry
continues to be a concern. The
persistently low price for this high
quality luxury fibre that is precious,
rare and unique is actively working
against farm families in this area.

The message was clear from the


recent Superfine Industry Review
that growing quality superfine
and ultrafine Merino is currently
not viable. Equally clear is that
this challenge must be accepted
and a concerted effort across the
industry is required to ensure the
continuation of committed growers
producing this product.

Jane Brownbill
CEO, WoolProducers Australia
Photo: Dave Robinson

Greater productivity gains


WoolProducers was thrilled with the
announcement that the SheepCRC
was awarded an extension for five
years. WPA committed $750,000
towards the Program, Enhanced
monitoring systems for wellbeing
and productivity, that will focus on
early intervention against animal
health risks, thereby reducing
mortality rates as well as improving
productivity.
This wellbeing research is also vital
to the future of sheep producers due
to increasing consumer concern over
animal welfare. By taking a proactive
approach to preventative animal
health care the industry will be able
to positively influence consumer
attitudes to the sheep industry
which in turn will support long-term
demand for wool products.

The future for Australian


agriculture
WoolProducers was pleased
to be able to provide input
into the Australian Agricultural
Competitiveness White Paper this
year. We highlighted the importance
of the wool industry to Australia,
across the supply chain and as a
critical export. We also outlined
detailed advice regarding the
following priority issues for the
industry.
Biosecurity
Reduction of red/green tape
Attraction and retention of
personnel in the industry, both
at a grower and wool harvesting
level

Export market access and more


critically maintenance
Infrastructure
Drought relief and preparedness
strategies
Greater oversight into RDE&M
levy expenditure and a greater
commitment to on-farm research
and extension services
Strategic, integrated pest
management wild dogs, wild
pigs, foxes, rabbits and feral cats
Greater recognition of farmers as
the stewards of the land and the
work they do
The future for WoolProducers will
see us continue to engage our
members and stakeholders and to
pursue the priorities that will assist
greater productivity.
WoolProducers is guided by
a diverse Board of Directors
representing the different areas
of the industry- stud breeding,
superfine and large commercial.
A special thanks goes to them for
the time and energy they give. Id
also thank the ongoing dedication of
the staff of WoolProducers.
Lastly, Id like to particularly
acknowledge the President of
WoolProducers, Geoff Fisken, for
his commitment, support and good
humour over the last year.

SheepCRC
The SheepCRC brings together
industry and researchers to pursue
productivity gains through cutting
edge scientific advances. WPA
is delighted to once again be an
essential participant in the, recently
announced 5 year extension.
Geoff Fisken
President
WoolProducers Australia

WOOLPRODUCERS
PRESIDENTS REPORT
One of the most important objectives
of WoolProducers Australia (WPA)
is to provide a unified voice for the
Australian woolgrowing industry. This
is something the Board takes very
seriously and is always pursuing new
ways to acheive.
WoolProducers is the wool industry
member of Animal Health Australia
and this membership means that
we advise on the animal health and
welfare levy spend on behalf of the
industry. WPA enjoys a large network
of State Farming Organisation
memberships but we have also, this
year, initiated a process of targeted
engagement with woolgrowers to
help set priorities for animal health
and welfare expenditure, ensuring
feedback across stud breeders,
superfine woolgrowers and the
commercial and innovative growers.
These state roundtables not only
assist WPA advise on the strategic
spend of levy funds but also ensure
that more growers understand the
work of WPA and our role as a peak
industry body.
WoolProducers (WPA) is working
hard to provide solutions to assist
with grower productivity gains and
have successfully initiated a number
of programs to work towards this.
Our consultation with woolgrowers
around the country will also inform
how better we can assist growers to
remain in wool production.
Importantly WPA continues its work
across all the wool industry bodies
and service providers always aiming
for greater unity across the industry.

There have been two particular


highlights for WPA this year which
include

National Wild Dog Action Plan


The national control of wild dogs
is a critical issue for Australian
grazing industries from an animal
health, welfare, production costs
and productivity perspective.
A critical component and logical
step to secure the enduring
success of the National Wild
Dog Action Plan (NWDAP) is the
development and execution of an
implementation plan.
WPA working with a project
steering committee comprising
grazing industries, state/territory
and Federal governments and
research organization achieved
a ministerial commitment to the
5 year National Wild Dog Action
Plan. This endorsement means
a national commitment to work
collaboratively across Australia
towards the management of a
critical pest for the next 5 years.
The Plan was launched in July
2014 in Armidale NSW, by Minister
Joyce. The Minister also announced
an initial grant to ensure the
implementation of the Action Plan
is realised. WPA will continue to
work with the Implementation
Committee and government to
ensure ongoing funding and
support for The Plan.

WPA pledged funding towards the


extension for the wool industry.
WPA considers the SheepCRC a
critical body and were delighted to
ensure that the wool industry could
continue to be an essential part of
the programs.
The SheepCRC will continue its work
from previous CRC in the areas of
Program 1 Enhanced sheep
wellbeing and productivity
Program 2 Quality-based
sheepmeat value chains
Program 3 Faster affordable
genetic gain
WPA also continues to be actively
involved in a broad range of other
issues. Areas of note include, but are
not limited to
Livestock Biosecurity Network
partner
OJD National Plan completed
the national plan and moving
into an overarching endemic
disease management focus
International Wool and Textile
Organisations Guidelines for
Wool Sheep Welfare writing
group
Influence NLIS, Exercise
Odysseus, FMD realtime training,
Sheep Animal Welfare Standards
and Guidelines
Workforce Development
Shearers back on the
Immigration Skill List and
initiating work towards a Wool
Harvesting Visa which could also
be broadened to include general
station hand work
The following year will see WPA
focus on securing greater grower
understanding of the work of the
peak body and confirming priorities.
Importantly we will continue to
advocate the importance of a vibrant
and profitable wool industry to the
health and sustainability of rural
economies.

ANNUAL REVIEW 2014 3

ANIMAL
HEALTH
AND
WELFARE
WoolProducers continued
to invest significant
resources into animal
health and welfare over the
past 12 months on behalf
of wool growers.
This work is achieved through our
service agreement with Animal
Heath Australia, which acts as
the conduit for animal health and
welfare levy expenditure a service
that AHA provides for 15 other
animal industry organisations.
In April this year WPA welcomed
Genevieve Morrow to fill the role of
Policy Officer Health and Welfare.
Genevieve is a much needed
resource for WPA to ensure that we
can continue to cover the vast and
varied portfolio of animal health
and welfare on behalf of the wool
industry.

Traditionally in the health and


welfare environ WPA had operated
in four broad categories: biosecurity,
endemic disease, emergency
disease and animal welfare, however
this year in conjunction with the
Sheepmeat Council of Australia
(SCA), we agreed that a more
efficient approach would be to
incorporate endemic conditions and
biosecurity.

It is extremely important that


producers ensure that they are
doing their bit at the grass-root
level by practicing good biosecurity.
While most wool growers currently
practice biosecurity in their day-today management, it makes good
business sense to formalise these
arrangements to ensure there are no
disease or pest and weed incursions
on property.

It is anticipated that the newly


established pilot project
Livestock Production Conditions
highlighting the importance of
on-farm biosecurity and the overall
benefits that is achieved through
sound biosecurity practices will
automatically see an improvement
in the on-farm management of
endemic conditions.

WPA has been integrally involved


in the development of a number of
strategies aimed to help producers
in this area, including developing
Regional Biosecurity Guidelines,
the Grazing Livestock Production
Biosecurity Plan, EAD Business
Continuity Plan and the 30 Minute
Plan for Producers.

Livestock Production
Conditions
On-farm biosecurity
On-farm biosecurity is the most
important barrier to emergency and
endemic diseases. Wool growers
are keenly aware that breaches
of biosecurity barriers can have
dire ramifications for their flocks,
livestock productivity, farm income,
land value, and valuable export
markets.

WoolProducers
continued to invest
significant resources
into animal health
and welfare

Jo Hall
Policy Manager
Animal Health and
Welfare
Genevieve Morrow
Policy Officer
Animal Health and
Welfare

Photo: Judith Deener

WPA together with SCA has also


developed some video case studies
on a range of biosecurity issues,
including abattoir monitoring, the
importance of the Sheep Health
Statement and general on-farm
biosecurity practices. These videos
can be found on WPAs website or at
www.farmbiosecurity.com.au

National Sheep Health


Monitoring Project
The NSHMP captures abattoir
monitoring data for a number of
important sheep health conditions
that reduce farm profit through
productivity losses or wastage in
meat processing plants through
condemnations.
The NSHMP has two aims:
to collect information that
can be used by producers,
industry groups, processors and
governments to support ongoing
market access, and
to provide animal health status
reports to each individual
producer.

OJD
The National OJD Management Plan
(OJDMP) 2013-18 was implemented
on 1 July, 2013.
To date a number of regulated and
unregulated Regional Biosecurity
Plans (RBPs) are in place across the
country that enable trade between
these areas.
While WPA encourages producers
to take a collective approach to
biosecurity the organisation does
not play any role in approving,
funding or sanctioning these areas,
which are currently administered by
the managers of these RBPs.

NLIS

Emergency Diseases

WPA has been active in continuing


its support for the current mobbased identification for sheep over
the past 12 months.

Foot and Mouth Disease


Real-time Training

WPA drove a coordinated approach


between national bodies including
the Australian Livestock and
Property Agents (ALPA), Australian
Livestock Marketing Association
(ALMA), Sheepmeat Council of
Australia (SCA), and Goat Industry
Council of Australia (GICA) in
their opposition to the proposed
introduction of mandatory electronic
identification of sheep and goats.
The group wrote letters to each
jurisdiction and issued a joint media
release stating our position.
WPA also provided a detailed
submission into the public
consultation of the Consultation
Regulatory Impact Statement (RIS)
driven by the former Standing
Council of Primary Industries
(SCoPI). WPA also coordinated a
joint submission from ALPA, ALMA,
SCA, GICA and the following state
farming organisations: AgForce Qld,
NSWFA, TFGA, Livestock SA, and
WAFF in support of retaining the
current mob-based system.
There has not been an issue in recent
memory that has had this level of
unified support from across so many
industry sectors.
While WPA supports the right of
individual producers to utilise EID
technology we do not believe that
the cost of enforcing industry-wide
adoption justifies the perceived
benefits, particularly in light of a
number of recent state based audits
that have proved that the paperbased system is in fact meeting the
traceability standards.

In November last year the WPA


Board agreed to co-fund with the
Australian government, 10 positions
on behalf of the wool industry to
attend Foot and Mouth Disease
(FMD) preparedness training in
Nepal.
In 2012, the Australian Government
Department of Agriculture
entered into an agreement with
the European Commission for the
Control of Foot-and-Mouth Disease
(EuFMD) for the delivery of real-time
FMD training courses.
Throughout 2012 and 2013, 80
Australian veterinarians and
livestock handlers attended the
training in Nepal. The training was
an overwhelming success almost
all participants strongly agreed that
the course was a good use of their
time, and that they were more likely
to recognise and report a suspected
case of FMD to authorities.
Two courses have been conducted
in May 2014, with a further three
courses proposed to be held in
September and November this year.
Representatives from the wool
industry that have completed this
training include:
Dr Bruce Allworth (Wool Industry
CCEAD representative, CSU)
Jo Hall (WPA)
Andrea Lethbridge (ALPA)
Dr Scott Williams (Wool Industry
CCEAD representative)
Ken Clarke (WA Farmers
Federation)

Further information can be found


at www.ojd.com.au

ANNUAL REVIEW 2014 5

Photo: Dave Robinson

Photo: Lillian Frost

Exercise Odysseus
Exercise Odysseus is the name
given to a series of activities
throughout 2014 and into 2015 that
will have a focus on preparing for
and responding to a mock national
livestock standstill called in response
to a simulated outbreak of FMD in
SE Queensland in August 2014.
The primary purpose of Exercise
Odysseus, which is being coordinated by the federal Department
of Agriculture (DA), is to test the
nations preparedness for dealing
with a minimum 72-hour livestock
standstill and all that goes with it.
Every government and relevant
industry sector is being asked to be
involved.

For industry, the following actions


are expected:
Industry national (including
NFF)
participate in groups
established by DA to manage
the exercise
communicate with
jurisdictional farmer
organisations and others on
progress of the exercise and
results of the final analysis
revise, co-ordinate and test
emergency animal disease
response plans
become involved in CCEAD
and NMG when convened
at the time of the simulated
outbreak
participate in the final
analysis of the exercise and
ensure improvements where
necessary
Industry jurisdictional
participate in, and contribute
to, groups established by
jurisdictional departments to
manage the exercise

The fact cannot be


ignored that animal
welfare is continuing
to be more of a
mainstream issue

communicate information
to members and others on
progress of the exercise
review and test emergency
animal response plans
maintain dialogue with national
producer organisations and NFF
before, during and after the
simulation exercise
While governments and industry
have responsibilities for responding
to an emergency animal disease
incursion, the Federal Government is
widely viewed as the body with the
additional responsibility for organising
periodic exercises to check Australias
preparedness.
Reviews of Australias preparedness,
most recently in the form of the
Matthews Review, have highlighted
strengths and weaknesses in the system
should it be required to respond to a
FMD incursion.
Critical to any successful response will
be the early detection and reporting
of infection and the implementation
of a national livestock standstill for at
least the first 72 hours after disease
detection.
With this in mind, and in the knowledge
that the last national exercise (Exercise
Minotaur) was conducted over 12
years ago, the Federal Department
of Agriculture (DA) is orchestrating
Exercise Odysseus, in 2014 with a focus
on a national livestock standstill;
deficiencies can then be identified and
rectified. (Early detection and reporting
are being handled through other
means, mainly improving Australias
National General Surveillance
capability.)
Planning for Exercise Odysseus
commenced in late 2013 with the
formation of a Steering Committee
and Planning Team to assist the DA.
A number of meetings of these two
groups have been held.

Roles and Responsibilities


In testing Australias capacity to
handle a minimum 72-hour national
livestock standstill, all governments
and affected industries will have
responsibilities. In brief, these will
include:
Federal Department of
Agriculture
co-ordinating the standstill
exercise
chairing and administering the
groups established to manage
the exercise
maintaining dialogue with
jurisdictions and relevant
industry associations
preparing and communicating
discussion and issues papers
maintaining an activities list
and timetable
invite and co-ordinate
international observers
Jurisdictional departments
(in co-operation with DA)
participating in groups
established by DA to manage
the exercise
orchestrating and conducting
specific regional/
jurisdictional meetings and
exercises (Queensland DAFF
will be conducting front-line
exercises because of the
proposed outbreak being in
that State)
preparing for expected
announcement of livestock
standstill
consulting, and involving
where necessary,
jurisdictional farmer
organisations
conducting communications
activities in the lead-up to,
during and after the exercise
Animal Health Australia
participating in groups
established by DA to manage
the exercise

providing advice to
government departments and
industry on existing industry/
government emergency animal
disease arrangements
Industry national (including NFF)
participating in groups
established by DA to manage
the exercise
communicating with
jurisdictional farmer
organisations and others on
progress of the exercise and
results of the final analysis
revising, co-ordinating and
testing emergency animal
disease response plans
becoming involved in CCEAD
and NMG when convened
at the time of the simulated
outbreak
participate in the final analysis
of the exercise and ensure
improvements where necessary
Industry jurisdictional
participating in, and
contributing to, groups
established by jurisdictional
departments to manage the
exercise
communicating information
to members and others on
progress of the exercise
reviewing and testing
emergency animal response
plans
maintaining dialogue
with national producer
organisations and NFF before,
during and after the simulation
exercise

Animal Welfare
Animal Welfare Standards
and Guidelines - Sheep

The fact cannot be ignored that


animal welfare is continuing to be
more of a mainstream issue and that
governments will react to public
pressure if industry is not involved
in this process, decisions will be made
that potentially will not be practical
for industry to implement.
WPAs submission was formed on the
following basis:
WPA will continue to support the
development of the standards
and guidelines to achieve
harmonised minimum welfare
standards on the provisos that
other stakeholders continue to
work toward the same goal and
that the intent of guidelines are to
remain unenforceable.
Supporting standards backed by
science
Not supporting overly prescriptive
standards, rather working towards
achieving good welfare outcomes
that are practical for producers to
achieve.
The comments from public
consultation have been considered
by both the Writing and Reference
Groups and a decision RIS has been
developed to be considered by the
new Agricultural Ministers Forum.
It will now be at the discretion of
individual jurisdictions to implement
or disregard the standards as they
see fit.
WPA has continuously stated that
if there is not a uniform approach
to these standards across the
jurisdictions we would consider our
decision to support this process.
Whatever the outcome WPA is
firmly of the belief that we had to be
involved in the development process
to ensure industrys position was put
forward and fought for.

WPA has continued its involvement


in the development of Standards
and Guidelines for sheep. This
process was initiated in 2009 and
WPA sits on both the Writing and
Reference Groups as the wool
industry representative.

NFF Animal Welfare Taskforce

Whilst the development of the


standards and guidelines is seen
as contentious by some in the
industry, WPA strongly believes that
it is imperative that we continue
our involvement in this process to
ensure the most practical outcomes
for producers while delivering good
welfare outcomes.

WPA is providing the secretariat to


this Taskforce.

The NFF Animal Welfare Taskforce


has been established to consider
animal welfare issues at a national
level from a multi-industry
perspective.

The premise of this group is to


provide a platform for discussion
and strategy of animal welfare issues
across a broad range of animal
livestock industries.

ANNUAL REVIEW 2014 7

DIRECTORS REPORTS RICHARD HALLIDAY

LIVESTOCK

LIVESTOCK SA
One year on in new
advocacy structure.

Getting started

Issues

The first few months was spent in


establishing Livestock SA, including:

Based on feedback at meetings,


and members of Livestock SA, ten
priority issues were identified and
promoted during the 2014 State
Election campaign. Work has begun
on these with the new Agriculture
Minister and other Parliamentarians.
These issues are:

It has been a year of firsts for


Livestock SA establishing as
a new farm advocacy group for
South Australian sheep, beef
cattle and goat producers, setting
policy, signing up members, and
representing them to government,
the community and other industry
groups and businesses.

Employing chief executive officer


Deane Crabb.

Developing a website to
communicate with members
and stakeholders
www.livestock.org.au

Drought support for South


Australian pastoralists

Livestock SA is one of six


commodity groups in South
Australia that focuses on the needs
of its members. Livestock SA
works with Primary Producers SA
(PPSA) on the cross-commodity
issues affecting all farmers, such
as transport and natural resources
management.

Joining peak national bodies as


the South Australian member
(including WoolProducers
Australia).

Development of South Australias


live export trade

Finding an office, rented from


SA Dairyfarmers Association and
co-located with PPSA.

Developing services for


members, such as the provision
of industrial and legal advice.
With this establishment work
complete, Livestock SA started work
on advocacy on key issues impacting
the industry in South Australia.
As part of this process, meetings
continue to be held around the State
to get feedback from producers on
how they would like Livestock SA to
operate and the issues to tackle.

Reduction in the cost of water


for livestock

More support for Primary


Industries and Regions SA
(PIRSA), SA Research and
Development Institute (SARDI)
and Biosecurity SA
Review of the Pastoral Board and
its activities
A more efficient transport
system to allow for efficient
volume movement of livestock
Need to balance agriculture with
the environment and community
Maintaining and recognising the
value of the Dog Fence
Encouragement for the next
generation of primary producers
Funding for Livestock SA

This is our opportunity to build a strong and


independent voice for livestock producers and the
groups success will be built on how well it engages
with producers and the input they give in return.
Richard Halliday, Livestock SA Chairman

An immediate priority has been the


drought in the SA pastoral region
and ensuring that funding from
the Federal drought package is
available in South Australia, as well
as provision of State Government
support, this includes funding for
wild dog control. Livestock SA
was influential in getting both
governments to recognise that the
South Australian pastoral region is in
drought and needs assistance. The
State Government has re-established
the South Australian Drought
Reform Task Group, with Livestock
SA representing PPSA.

SA Minister of
Agriculture Leon Bignell
meeting Livestock
SA President Richard
Halliday at the Livestock
SA south east regional
meeting at Penola on
15 April 2014.
Photo: Tom Dawkins

Livestock SA was also involved in


fire recovery assistance following
several bushfires during summer.
With PPSA, Livestock SA provided
a register to match donations of
fodder, agistment and fencing with
those farmers most in need. There
were requests for assistance from
about 60 properties, with 20,000
sheep and 600 cattle. More than
80 offers of assistance were
received, including 30 offers of
fodder (sending approximately
30 loads of hay into the affected
areas) plus 16 offers of labour
(including offers from groups) and
offers of over 20,000 vineyard
posts for fencing through the Wine
Grape Council of SA. Almost all of
the offerings were allocated and
delivered.

Funding
This advocacy and industry
assistance through Livestock SA is
funded by levies paid by growers on
sheep and cattle sales. The money is
collected through the SA Sheep and
Cattle Industry Funds under the SA
Primary Industries Funding Schemes
Act 1998 including 35 cents a head
for every sheep transaction and
$1.10 per NLIS identification device
for cattle.
All livestock producers who pay
these industry levies are eligible to
be members of Livestock SA and
there is no additional cost. While
contributions to the funds are
compulsory, they can be refunded if
requested by producers not wanting
to participate, however the return
rate is very, very low.

Membership

The year ahead

At the end of June, more than


1,100 producers had signed up as
members. This follows a membership
campaign that started in December
2013, and compares more than
favourably with Grain Producers SA
which at the time of their second
AGM had 618 members (GPSA is
funded by a similar levy process of
20 cents a tonne).

Livestock SA provides the


opportunity for all South Australian
livestock producers to have their say
on the people and policies to best
represent them.
The first AGM will be held in August.
Your wool contact at Livestock SA is
Executive Officer Deane Crabb.

The eventual aim is for a set


proportion of the sheep and
cattle levies to automatically fund
Livestock SA, estimated at this stage
to be 5 cents a head for sheep and
25 cents per cattle NLIS tag. This is
still being negotiated with the State
Government though in-principle
support has been given following
widespread support from South
Australian livestock producers.

ANNUAL REVIEW 2014 9

DIRECTORS REPORTS ED ROGISTER

THE WESTERN AUSTRALIAN


FARMERS FEDERATION INC.
This year provided an
opportunity for individuals
to nominate for the AWI
Board by a way of gaining
100 shareholder signatures
to be considered as a
nominee for the AWI
Board 2013 AGM
elections.

Animal Health
issues such as
footrot and Ovine
Johnes Disease
still remains an
issue in WA.

The Western Australian Farmers


Federation (WAFarmers)
successfully assisted Great Southern
Zone President John Hassell in
gaining the necessary support from
shareholders. The Wool Section
opposed the reduction of AWI
Board members from 10 down to 7
to ensure the maximum number of
shareholder-nominated candidates
had the opportunity to be selected
onto the board of AWI.
WAFarmers made a strong
submission to Australian Wool
Innovation Ltd Strategic Plan
2013/14 to 2015/16 comprising of
75 statements/recommendations
for AWI Board consideration. The
Federal Minister for Agriculture has
provided a written assurance to
WAFarmers that the Department
will keep a watchful eye to ensure
ongoing compliance by AWI is
maintained under its Statutory
Funding Agreement with the Federal
government. WAFarmers is not
privy to the operational plan of the
organisation and its way of influence
can only be applied through the AWI
consultative cycle.
On a positive note, in a bid to
reduce woolgrowers input costs,AWI
is investing in three significant
phosphorus (P) projects over the
next three years with a range of
objectives, from benchmarking
pasture P use to unlocking P stored
in the soil. AWI has also pledged up
to $1 million dollars for local groups
to control wild dogs. However,
WAFarmers was disappointed that
AWI cut funding from its successful
Bred Well Fed Well program as well
as withdrawing support to fund
Sheep CRC Information Nucleus
Flock 2 Program a shock to WA
producers.

WAFarmers worked with


WoolProducers Australia to lobby
Federal members of Parliament
and the Minister for Agriculture to
ensure that financial support was
provided for the Sheep Co-operative
Research Centre (CRC) extension
proposal for five years. We are very
pleased that the Department of
Industry has announced that the
Federal Government will provide
$15 million and will be matched
by $45 million in cash and in-kind
contributions from 35 industry and
producer organisations to keep the
Sheep CRC operational. It is thrilling
to see industry support an initiative
which brings primary producers,
scientists and research institutions
together to increase productivity
and profitability through new
technologies adapted to meat and
wool supply chains. Although
WAFarmers is disappointed that AWI
chose not to support the CRC bid.
Animal Health issues such as footrot
and Ovine Johnes Disease still
remain an issue in WA. WAFarmers
is concerned that the proposed
Animal Welfare Standards and
Guidelines at this point in time pose
a risk of inconsistencies between
jurisdictions.

Ed Rogister
The Western
Australian Farmers
Federation Inc.

It is thrilling to see industry support an initiative


which brings primary producers, scientists and
research institutions together

Wool Section Achievements in a


snap shot
Successful in assisting a grower
candidate to nominate for the
Australian Wool Innovation Ltd
(AWI) Board by way of gaining
100 shareholder signatures.
Successful in lobbying (AWI)
for a State Farm Organisation
Executive Officer Forum to
be conducted to facilitate a
better relationship between the
RD&M organisation and State
Farm lobby groups such as
WAFarmers.
Successful in securing the newly
formed Livestock Biosecurity
Network officer to be housed
at WAFarmers head office to
ensure the livestock industry is
prepared for and understands its
key role in general biosecurity,
surveillance, detection and
reporting in the event of an
exotic disease incursion into
Australia or for the detection of
endemic disease in their region.

Wool Section President Ed


Rogister and Wool Council
member John Moyes successfully
appointed by the Minister for
Agriculture and Food on the
Biosecurity and Agriculture
Management Sheep and
Goat Industry management
Committee which manages
control of sheep footrot in WA.
General and Wool Executive
member Tony Gooch successful
in his appointment by the
Minister for Agriculture and
Food onto the Animal Welfare
Advisory Committee to inform
and advise the Minister on animal
welfare matters in WA.
Wool Executive member Max
Watts becoming an independent
director of WoolProducers
Australia.

Main Submissions:

Australian Wool Innovation


Strategic Plan 2013/14 2015/16
Australian Wool Exchange
Importation of Wool Pack Levy
Draft Code of Practice for the
operation of breeding and
rearing businesses
Australian Welfare Standards and
Guidelines for Sheep
Australian Welfare Standards
and Guidelines for Sheep
Consultative process
National Wild Dog Action Plan
National Ovine Johnes Disease
Management Plan
Australian Wool Exchange
National Wool Declaration
Sheep and Goats Industry
Funding Scheme extension to
pastoral areas
Your wool contact at WAFarmers
is Wool Executive Officer Lucy
Radzikowska.

ANNUAL REVIEW 2014 11

DIRECTORS REPORTS
JIM MCKENZIE

AGFORCE QUEENSLAND
Drought, Dogs & Some
Good News Jim McKenzie
AgForce WoolProducers
representative
Throughout 2013/14 WoolProducers
has continued to deliver real benefit
for Queensland wool growers. The
development of the National Wild Dog
Action Plan was in direct response to
concerns initially voiced by Queensland
and has for the first time reached, not
only agreement, but a commitment
by all stakeholders to play their part in
reducing the impact of this menace that
continues to affect the livelihoods of
Qld wool growers.
It has been a challenging 12 month
period for Queenslands agriculture
sector. What seemed to be a promising
start to a good season was overcome
by dry conditions. Coupled with an
over-supply of paddock and stockroute fed cattle due to the ban on live
exports, Queensland was 80 per cent
drought declared by January 2014.
An out-of-control kangaroo
population decimated what paddock
feed existed causing significant
rangeland degradation and losses to
producers. Also the detrimental impact
caused by wild dogs continues to be a
hot topic discussed around sheep and
wool areas of Queensland.
AgForce continues to fight for our
members to deliver solutions to these
ongoing challenges. A key focus
especially in the control of wild dogs
is promoting greater collaboration
between industry, state and local
governments and Natural Resource
Management groups. AgForce is
also leading the way with improved
industry-led coordination efforts
through two coordinator positions
funded by Australian Wool Innovation
(AWI) and the Queensland State
Government.

These roles have assisted to


establish individual area wild
dog groups; and coordinating
an aerial baiting calendar in
western Queensland that links
individual shires from north to
south covering approximately
69,500,000ha equating to 40%
of the state. Similarly, AgForce
successfully influenced the State
Agriculture Minister to announce
greater landholder access to the
1080 toxin. All of these we believe
will deliver tangible solutions for
our members in an attempt to
maintain the viability of the sheep
industry in Queensland.
Getting back to the grassroots
was a clear focus for AgForce in
2013/14 with the decision to hold
key regional forums throughout
the state.
These commenced with the
annual members conference in
Townsville in September 2013 and
have continued with a planned
run of regional forums for Roma,
Biloela, Charleville and Blackall
to culminate in a flagship event
in Brisbane late November 2014.
These forums have been embraced
enthusiastically by producers,
industry experts and politicians
providing the opportunity for all to
be heard on the issues facing the
agricultural industry and to come
up with two way decision making.
AgForces Sheep & Wool Board
continues to serve as the voice of
the Queensland sheep industry,
pursuing a wealth of policy,
advocacy and communication
across the areas of animal health
& biosecurity, animal welfare,
education and training, industry
systems, marketing, trade and
market access, rural crime and
livestock security.

Furthermore, AgForce continues


with media communications
regarding Queenslands livestock
producers positive animal welfare
outcomes to end consumers;
and provides a voice of reason
in response to alarmist claims of
extreme animal activist groups.
We need to satisfy ourselves and
our consumers that we are doing
the right thing and this will be an
ongoing priority for us looking
ahead.
On a closing note, thanks to
the producers and staff of both
WoolProducers Australia and
AgForce Sheep and Wool for their
support and hard work on state and
national issues
in 2013/14.
Heres to a positive 2014 -15, with
plenty of rain-soaked paddocks, fat
stock and full wool bales; and far
less predators.
AgForce Queensland (AgForce) is the
peak lobby group representing the
majority of Queenslands beef, sheep
and wool, and grain producers since
1999. AgForce represents around
6,000 members and exists to ensure
the long term growth, viability,
competitiveness and profitability
of these industries. Our members
provide high quality food and fibre
products to Australian and overseas
consumers, manage a significant
proportion of Queenslands natural
resources and contribute to the
social fabric of rural and remote
communities.
AgForce provides direction and
solutions for our members to
overcome challenges and build on
opportunities, and links rural and
regional Queensland with urban
communities through our Every
Family Needs a Farmer initiative.
Your wool contact at AgForce QLD
is Sheep and Wool Policy Director
Michael Allpass.

DIRECTORS REPORTS
EDWARD STOREY

NSW
FARMERS ASSOCIATION
In not an unusual situation
for agriculture, the season
has been the dominant
theme in NSW over the
past year. Pretty good
seasons in the south of the
state have been in stark
contrast to the very dry
conditions in the north,
west and New England
areas, which have had very
big impact on woolgrowers
in those areas.
Another dominate issue is the lack
of micron premiums in the wool
market at the moment. Medium wool
flocks are in a sweet spot at the
moment with the prices for this wool
spending much of the year in the
85th percentile or better and surplus
sheep sales being strong. Superfine
and fine wool growers, however
are questioning their continued
investment in the industry. Producers
will adjust production accordingly
but the lags are usually long, so the
outlook for the year ahead depends
on your production system. One
key point to remember is that there
is often more variation within an
enterprise than between them.
However, fine wool prices need to be
more sustainable to see continued
investment in this industry.

The NSW Farmers Wool Committee


has spent considerable time on
the OJD issue over the past two
years. With the new plan in place
and the Sheep MAP Review almost
concluded, I hope we can spend less
time on this issue and address other
issues on behalf of woolgrowers.
The emphasis in the abattoir
monitoring programme has changed
from just OJD to many production
conditions able to be seen through
abattoir surveillance. For some time
there has been a lack of reporting
back to producers of the results.
NSW Farmers has stressed to the
programme managers AHA that if
this doesnt change the programme
wont have our support. There is no
point gathering this data on a file
somewhere. It needs to be given
back to producers to allow them to
get on and address any issues that
they need to.
We made a submission to AWIs
Genetic and Genomic Issues Paper
calling on them to continue to invest
in this area until it is ready for full
commercialisation so that the model
is the right one. We also supported
Woolproducers contribution to the
Sheep CRC extension bid, which was
successful for another 5 years.
One of the biggest issues during
the last year has been the threat
of mandatory RFIDs for sheep and
goats. It is very frustrating that we
have to spend so much time on this
issue, but our members are very
clear they dont want this costly
system imposed on them. There
continues to be a strong push out
of Victoria for mandating these,
with support from the QLD DPI. The
current mob based system works
extremely well when the business
rules are implemented as they are
in NSW.

Sticking RFIDs an all sheep and


goats will not solve all biosecurity
issues, as some believe. What it
will do is impose a massive cost
structure on the sheep industry
and do untold damage to the goat
industry in NSW.
I would like to thank the NSW
DPI who are strongly opposed to
mandating RFIDs in sheep and
goats and have time and time again
demonstrated the outstanding
traceability in the current mob
based system and NSW Minister
for Agriculture Katrina Hodgkinson
who has stated that she is strongly
opposed. Their support is invaluable.
The RFID issue highlights that we
can no longer put up with top
down government imposed costly
programmes that the producer has
to pay for. Any programmes need
to be productivity and profitability
based to ensure our future is not
threatened.
The year ahead is shaping as a
critical one for the wool industry.
AWI are a having a review into the
way wool is sold and some supply
chain issues. This is not the first
review of its kind. At NSW Farmers
we support this review but do not
want to see levy payers money
wasted. The review needs to be a
meaningful one that considers a
wide range of future options and
provides some possible answers and
solutions for woolgrowers in getting
a sustainable price for their product.
The year ahead holds hope that
with a break in the season for those
that need it and the world economy
recovering from the GFC, that NSW
wool growers may have a better
2014-15 than the past year.
Your wool contact at NSW Farmers
is Duncan Bruce-Smith.

ANNUAL REVIEW 2014 13

DIRECTORS REPORTS
ANDREW JOHNSTON

TASMANIAN FARMERS
AND GRAZIERS ASSOCIATION
Between August 2013
and 2014 Tasmania
experienced a very wet
spring, a hot and dry
summer followed by good
growing conditions over
the autumn.
Overall wool production in Tasmania
is down by 3.8% with an expected
total production of 9.9 tonnes (mkg/
greasy) for the period. Significantly
for Tasmania, fine and superfine
wool prices are still poor while
crossbred wool prices have remained
strong. The latter is useful, given
the large investment made by the
Tasmanian government into its
irrigation infrastructure, which has
seen an increase in the volume of
prime lambs being finished under
water in previously traditional wool
producing dryland country like the
midlands.
The key issues impacting fine and
superfine wool prices in Tasmania
is the oversupply of wools from
drought affected areas across
Australia. The main buyer for
these wools is China, who buys
approximately 75% of the clip and
they have not been as buoyant in
the market. However, there are signs
of economic recovery in Europe
and Japan, both of which are major
buyers of Tasmanian fine wools and
this increase in activity and demand
is positive for the short to medium
term for the industry.

Sheep Health and Welfare


Footrot
The TFGA Wool Council, chaired by
Michael Parsons from New Norfolk,
has worked hard to get free market
access to the ovine footrot strain
specific vaccines developed by
Richard Whittington and his team at
Sydney University. A partnership was
formed between the University and
Tridlia BioVet Pty Ltd, a commercial
manufacturer of livestock vaccines
based at Seven Hills NSW, in
December last year. Mark White, the
Director at Tridlia Biovet submitted
a minor use permit for the footrot
strain specific vaccines to APVMA
in mid-May and hopes to receive
approvals by early spring.
Mark also submitted applications
for three licences in early
April, to the Office of the Gene
Technology Regulator (OGTR)
for the organisation, the physical
facility and the product and an
Institutional Biosafety Committee
has been established. Department
of Agriculture (DAFF) Quarantine
requires separate permits for each
of the growth media used in vaccine
production and the permits for the
most important ones were received
late May. TFGA would like to thank
the state farming organisations,
state departments, WPA, SCA and
individual sheep businesses who
provided letters of support to the
vaccine manufacturers for the minor
use permit application.

Tasmanian Sheep Health


Taskforce
In January the Tasmanian OJD
Taskforce, chaired by TFGA,
agreed to expand its remit to
include other sheep related health
conditions. The new Sheep Health
Taskforce identified Footrot control,
Sarcocystis, Toxoplasmosis, effective
vaccination protocols, internal
parasites and drench resistance
as the top health priorities for
Tasmania. Projects and activities
to manage these conditions will be
developed over the coming months.

Sport Shear Tasmania


TFGA is a proud sponsor of
the Novice Wool Handler and
the Intermediate Shearing
Competitions held over four events
at the Campbell Town Show, Melton
Mowbray Rodeo, Fingal Valley
Festival and the Hamilton Show.
The Fingal Valley Festival in March
saw a small field of promising Wool
handlers put to the test with their
accuracy and speed of sorting
crossbred lambs wool from sheep
generously supplied by Malahide
Pastoral Co. Following the Head
Judges instructions which are based
on the AWEX code of Practice, wool
handlers were required to sort the
lambs wool from four sheep into
lines removing any faults that would
down grade the value of the wool.
Competitors need to be efficient
to obtain the best score for time
penalties and were observed by
judges for their safe work practices
in accordance with industry Work
Place Standards. Emily Pennicott
from Oatlands took out the Strong
Wool Novice title which put her on
the top of the Aggregate leader
board just two points ahead of
Tamika Bone.

Significantly for Tasmania, fine and superfine


wool prices are still poor while crossbred wool
prices have remained strong.

Fingal Valley Festival saw one


new entrant into the Sports Shear
intermediate shearing division who
fought hard against experienced
competitors vying for the most
valuable points towards the
Intermediate Shearer of the year.
The entrants shore three first cross
White Suffolk lambs in the heats and
four in the finals. They were judged
on their ability to shear cleanly with
minimal cuts on weaned lambs that
tested the best of the best at this
competition. George Higgins from
Andover took out his second win
for the 2013/14 season from second
place getter and newcomer, Aiden
Clarke. George leads the aggregate
table with 20 points just four points
ahead of Jack Byers. An award
dinner is always held in September.

TFGA Wool Council meets


WPA Board
The Wool Council was pleased to
meet with the WPA board in March
when they had their meeting in
Launceston. A number of industry
related matters were discussed
including the Western Australian
Shearing Shed Safety Assessment
Training Programs, which we hope
to run in Tasmania in September and
the importance of building a more
constructive relationship between
WPA and AWI. The TFGA Wool
Council would like to encourage
greater emphasis is placed on
promoting the shearing industry as
a major career and believes more
effort is needed to encourage new
entrants given the overall age of
shearers.

The TFGA Wool Council is against


the mandatory RFID of individual
sheep and supports WPA position
on this matter. TFGA and selected
Tasmanian wool producers will be
contributing to the WPA strategic
plan at a Forum in Campbell Town
in July 2014.
Brian Horton, Tasmanian Institute
of Agriculture, is involved in the
Sheep CRC projects FlyBoss,
LiceBoss, WormBoss and
ParaBoss. Also genomic testing
to improve production gains and
the new Sheep Wellbeing plans to
use information from the nucleus
flocks to assist in early detection
of animals at risk of death or
sickness.
Each month the Australian Chief
Veterinary Officer, Dr. Mark
Schipp, selects for recognition,
an individual(s) who has made an
outstanding contribution to Foot
and Mouth Disease awareness
through their post-training
extension efforts. In June the
Tasmanian contingent of FMD
real-time trainees comprising
of Sue Martin and Debbie Grull
DPIPWE, Craig Dwyer Smithton
Vets and Kim Haywood TFGA won
the award for their activities in
Tasmania.

TFGA collaborates with WPA


to nominate suitable industry
representatives, like Warren
Johnston Livestock Manager Roberts
Livestock Agents, to participate in
the FMD awareness training in Nepal
during the year.

Livestock Biosecurity Network


The Livestock Biosecurity Network
(LBN) Officer for Tasmania, Jess
Coad, who is based at the TFGA
offices in Launceston, has been
busy working with sheep producers
to develop regional biosecurity
plans. She is assisting a working
group to develop a biosecurity
plan for the whole ofBruny Island,
which will include guidelines for
sheep owners.LBN will have an
ongoing role in working with key
stakeholders and producers to
develop biosecurity awareness and
resources and will be conducting
on-farm biosecurity plan workshops
later in the year.
Your wool contact at TFGA is
Commodity Advisor Kim Haywood.

ANNUAL REVIEW 2014 15

DIRECTORS REPORTS
JAMES KIRKPATRICK

VICTORIAN FARMERS FEDERATION


The last 12 months have
seen the Livestock group
meet with over 1,500
producers face-to-face on
key policy issues such as
Animal Welfare legislation,
Johnes Disease and NLIS
for sheep and goats.
Aside from meetings, other ways
the Livestock group is reaching
producers is through regional
dinners, online surveys and the
establishment of advisory groups
including a Wool Advisory Group.
The purpose of this group is
to include more Victorian wool
producers in the consideration of
important issues specific to the wool
industry, which is then conveyed to
the Livestock Council when they are
considering policy.
One of the recent achievements of
the VFF Livestock Group has been
the introduction of the Sheep Health
Statement booklet. The Sheep
health statement (SHS) was devised
in relation to the National Ovine
Johnes Disease management plan,
which asks producers to manage
their own risk. The Sheep health
statement (SHS) booklet makes
it easier for producers to use and
retain records for their own business
as previously the only way to access
the SHS was to print from the
internet. The new books are similar
to the National Vendor Declaration
books containing a carbon copy
sheet which is handy for record
keeping.

The booklet of SHS contains a


series of Yes/No questions detailing
property biosecurity information,
flock health history including
footrot, lice Ovine Brucellosis and
OJD history including testing and
vaccination. The booklet can be
used as a risk management tool to
help make sound trading decisions.
It can offer a level of assurance that
the sheep producers are purchasing
are relevant to thier needs. When
selling stock, providing a SHS will
help producers to make appropriate
purchasing decisions, and help
promote producer practices and
increase competition. The SHS is not
compulsory for trade within Victoria,
but is strongly recommended when
trading interstate. The books are
available for inter-state sale for the
price of $15 incl GST and postage.
The VFF Livestock Group also had a
win with the recent announcement
in June 2014 of the completion of
the North West Victorian Sheep
Biosecurity Area (NWVSBA)
agreement that mean sheep can
again be sold into SA without
the producer having to supply a
negative OJD test, which is costly
and time consuming to obtain.
From 1 July 2014 producers selling
sheep through the Swan Hill, Yelta,
Wycheproof and Ouyen yards can
expect the return of South Australian
competition. This process was driven
by a number of VFF Members, led by
the Chair of the Group, Kevin Crook.

The group has run a number of


highly successful livestock policy
dinners, with the first being held
in Hamilton in September 2013.
The sold out night included
presentations on media and social
media in agriculture by Kate Dowler
from The Weekly Times, and Tom
Whitty, VFF Media Manager and
from AgChatOz co-founder, as well
as an interactive Q & A session.
Since then, two more policy dinners
have been in held in Warragul and
Ballarat in 2014. The Warragul
dinner attracted 90 producers to
hear presentations on social media
and red meat processing. There
are further dinner plans in 2014
for Rutherglen, Wycheproof and
Bairnsdale.
VFF Livestock Group remains
committed to engaging with our
wool producers and the wider
farming community and these
sessions provide an opportunity for
people to let us know what issues
are affecting their business.
The Livestock group also continue
to be proactive in providing an
extension service to all Victorian
wool producers. Focus has been
placed on delivering best practice
animal health and biosecurity
messages, with an emphasis on
endemic diseases that effect onfarm production. The VFF Livestock
Group looks forward to continuing
to engage with WoolProducers and
industry alike into 2015 to ensure
they are coming up with best and
most informed policy and extension
services for the benefit of the state.
Your wool contact at VFF is
Livestock Commodity Manager
Alina Tooley.

INDEPENDENT DIRECTORS REPORTS

CHARLIE MERRIMAN
Independent Director (NSW)
I have been an independently
elected Director for 10 years and my
main duties as a Director of WPA has
been the Sheep Johnes Program.

The new program was implemented


on 1st July 2013 and is now widely
accepted by most sheep producers
throughout Australia with the main
concerns still being access to South
Australia due to their state legislation
requiring a certificate of freedom
from sheep Johnes for breeding
livestock.

The Review also highlighted the


benefits of a vaccination program
incorporated with an on-farm
biosecurity will give the highest
assurance possible. Along with the
new Sheep Health Statement sheep
producers will have the information
to purchase sheep to suit their
requirements.

WPA are currently very involved in


the Sheep MAP review which sheep
industries have asked Animal Health
Australia to conduct. The review, in
which I am the WPA representative
has already conducted the technical
review and has established that the
Sheep MAP program is working
very well and gives sheep producers
confidence in having a llow-risk
Johnes flock status.

WPA Directors have many and varied


duties and are to be congratulated
on the very recent finalisation of the
National Wild Dog Action Plan and,
also the on going animal welfare
discussions.

This Review will become very


beneficial for the next MAP program
to become more user friendly to
assist sheep producers in their
on-property biosecurity, to lessen
some of the Legislation and to give
assurance to sheep purchasers that
these properties have a high grade
program to ascertain their low-risk
Johnes status of their livestock.

MAX WATTS
Independent Director (WA)
I have been an independent Director
of WPA for many years and would
like to take this opportunity to
consider the reason why I continue
to be part of the Board.

WoolProducers was designed after


the collapse of the Wool Council of
Australia and adopted a structure,
which includes State Farming
Organisation membership and the
option for individual woolgrowers to
join. This structure was a deliberate
attempt to ensure inclusivity of all
interested growers. It has served WPA
well and is the only wool growing
body that can truly call itself the
national voice for woolgrowers. The
inclusion of 3 independently elected
Directors, allows for the diversity of
the industry and brings the whole
woolgrowing community together.
Reflecting on the membership of
the Board of WPA it highlights the
variety within the industry and
also proves that the industry can
work towards a united approach to
policy and advocacy for the wool
growing industry. The Board enjoys
representation from across all the
wool growing areas in Australia and
includes stud breeders, super fine
wool growers and large commercial
growers.

WPA Directors work very hard to


discuss with Governments and other
associated groups, such as Animal
Health Australia etc, involved with
the rights of sheep producers to
manage their properties and business
affairs without restrictive legislation.
I urge sheep producers to become
involved through their State Farming
Organisations or as an independent
member and to consider standing
for election to the WoolProducers
Australia Board.

The structure has allowed a truly


representational model for industry
representation ensuring the diversity
within the industry can be recognised.
It is a model that other industries are
now also adopting.
WPA is not always popular but we are
respected for the work we do and the
challenges we face up to for greater
industry good. The past year has seen
many acheivements from the Council
including but not limited to; being
an integral part of the success of the
sheepCRC extension, the National
Wild Dog Action Plan, oversighting
an improved national OJD Plan and
pursuing a mulesing accreditation
program.
Next year will provide opportunity
again for any levy paying woolgrower
to nominate for positions as
independent director of WPA and
I encourage people to seize this
opportunity. Being involved in the
leadership team of WPA is timeconsuming and sometimes challenging
but it also provides opportunities to
assist build the sustainability of the
industry, which is very rewarding.

ANNUAL REVIEW 2014 17

INDEPENDENT DIRECTORS REPORTS

This photo by Gary Rodda, courtesy


Stock and Land; Steve and Lisa Harrison

STEVE HARRISON
Independent Director (VIC)

WPA offers a wonderful opportunity


for like-minded people to meet to
discuss the variety of issues that
impacts on our wool industry.
I would be thrilled if more people
would put their names forward to
join us in the association to enable
more voices, and therefore more
opinions and ideas on how to
make this industry even better.
The initiative of WPA to travel to
other states has highlighted the
prospect to hear the concerns of
other growers.
As part of my role consists of
attending AWEX meetings, this
year there had been a focus on
revaluating minimum and maximum
bale weights. Initially, I thought this
would be a fairly simple decision to
increase bale weights to 130kg and
the maximum from 204kg to a limit
acceptable to all users. Apart from
the exporters, there was no support
at all to lift the maximum bale
weight, OH&S being the main issue
in the majority of the supply chain.
However there is a big push
to decrease the incidence
of soft bales with an education
and awareness program going to
begin soon.

I do think that the current wool


clip is overclassed with the average
lot size being a mere 5.9 bales. A
team effort from brokers through
to growers is required to lift the
average lot size and average bale
weight to maximise returns to the
woolgrowers.
Superfine woolgrowers are suffering
very low returns. Half of our merino
wool clip is now below 19 micron.
The drought has been only part of
the problem. However, with sheep
numbers at only 70 million and the
transition to other breeds of sheep
for meat production, the merino ewe
flock may become unsustainable due
to lack of numbers.
There have been a small number of
sheep producers that have worked
extremely hard to have their north
west part of Victoria involved in
the Regional Biosecurity Plan.
Personally, I am concerned that
South Australia will be unable to
contain OJD in its south east. The
Sheep Health Statement seems to
be working well and may go some
way to minimise the spread of this
devastating disease. Where it is a
problem, we vaccinate and get on
with life.
To my fellow committee members,
our President Geoff Fisken and the
staff of WPA, I would again like
to congratulate you all on what I
thought was a very successful year.
Well done.

Photo: Jo Hall

Led by industry. Funded by Government.


Driving skills and workforce development
across 43 sectors of the agrifood industry
and regional Australia
www.agrifoodskills.net.au

ANNUAL REVIEW 2014 19

NATIONAL FARMERS
FEDERATION
The National Farmers
Federation (NFF) is
the peak national body
representing farmers and,
more broadly, agriculture
across Australia.

This year is the 35th anniversary of


the NFF. The NFF was formed in
1979 as the single national voice for
Australian farmers, and is now one of
Australias foremost and respected
advocacy organisations.
The NFFs members include state
farm organisations, national
commodity councils, and other
affiliated members. The NFF works
with these organisationssuch
as WoolProducers Australiato
represent the interests of the
agricultural sector at the national
level.
The NFF focuses on policy issues
that affect all farmersregardless
of location or commoditysuch
as farm business and profitability,
access to markets, natural resource
management, biosecurity, animal
health and welfare, education and
training and workplace relations.
One of the keys to the NFFs
success has been its commitment to
presenting innovative and forwardlooking solutions to the issues
affecting agriculture, striving to meet
current and emerging challenges,
and advancing Australias vital
agricultural production base.

The NFF focuses on


policy issues that affect
all farmersregardless of
location or commodity

201314 key achievements


Cutting red tape for AgVet
chemicals
The NFF and members were
successful in calling for the
Government to reform regulation of
agricultural chemicals and veterinary
medicines. Reforms aiming to
substantially lessen the burden
imposed on the agricultural sector
by reducing red and green tape on
business by at least $1 billion per
year will commence 1 July 2014.
On July 14 2014, legislation passed
through the Senate that will remove
the requirement to re-register
already approved safe and effective
chemicals used on Australian farms
an outcome strongly welcomed by
the NFF.

Drought relief
Following intense negotiations
between the NFF, members and
the Federal Government, a relief
package designed to help farmers
and communities in the grips of
severe drought was announced
earlier this year. The briefing and
advocacy work the NFF conducted
was critical in ensuring Government
recognised that drought policy
framework should not only focus
on preparedness, but that in-event
and recovery support is sometimes
needed. The NFF is continuing to
work with Government on longerterm drought policy reform.

National Farmers Federation Board Members. L-R: Fiona Simson; Les Gordon; David Jochinke;
Brent Finlay (President); Christine Rolfe (Vice President); Ian Burnett; Peter Tuohey.

Trade
Details on Australias trade
agreements with both Korea and
Japan were made available earlier
this year. The NFF coordinated
and worked with commodity
groups to advocate for commercial
outcomes from the agreements. It is
important to present a unified and
collaborative whole-of-agriculture
approach in the consultation
and negotiation of these trade
agreementsto both officials from
Australian government but also
to media and other stakeholders
including industry groups and
officials in partnering countries.
The agreement with Korea sees
tariffs reduced on a number of
products in several sectors
including dairy, red meat, grains,
sugar, pork and horticulture
providing significant value to
Australian farmers. While the
agreement with Japan was less
satisfying, the NFF acknowledges
that a good outcome was likely to be
particularly challenging with regard
to agriculture in Japan. The NFF and
commodity groups have a sound
approach to trade negotiations,
and while we have not always
received the outcomes sought, the
agreements are far more beneficial
to the Australian agriculture industry
than they would be without our
involvement.

Other main trade priorities for the


NFF include bilateral agreements
with China and India, and regional
agreements such as the Trans-Pacific
Partnership (TPP) Agreement.
Gaining access to overseas markets
through agreements that provide the
best returns for Australian farmers
continues to be challenging. The
NFF will continue to push hard for
good outcomes.

Fuel rebate
In lead up to the Federal Budget,
the NFF acted on speculation that
the Government was considering
lessening, and even abolishing,
the off-road fuel rebate available
to primary producers as part of
National fuel excise. While fuel
excise indexation is returning, the
Government has committed to a
complementary increase in the offroad fuel rebate.

One of the
keys to the
NFFs success
has been its
commitment
to presenting
innovative and
forward-looking
solutions

These are just some of the


achievements over the past year that
will be of interest to the members of
WoolProducers Australia. For further
information, and to subscribe to the
NFF e-newsletterthe AGvocate
visit: www.nff.org.au

ANNUAL REVIEW 2014 21

Stuart McCullough
Chief Executive Officer
Australian Wool Innovation

AUSTRALIAN
WOOL INNOVATION
Australian Wool
Innovation (AWI) is the
research, development
and marketing (RD&M)
organisation for the
Australian wool industry.
AWI invests across the supply
chain to enhance the profitability,
international competitiveness and
sustainability of the Australian wool
industry, and to increase demand
and market access for Australian
wool.
AWI operates on a three year
business cycle. The current cycle
started on 1 July 2013 with the
implementation of the 2013/14 to
2015/16 Strategic Plan. This was
developed by AWI in consultation
with woolgrowers and other
stakeholders to ensure AWI is
meeting the needs of industry.

Throughout its business cycle, AWI


continues to consult widely with
woolgrowers and stakeholders.
This is done through AWIs Annual
Planning and Consultation Cycle that
includes the Woolgrower Industry
Consultative Committee (ICC),
biannual woolgrower forums, and
attendance at regional field days
and industry events. This allows
woolgrowers to drive AWIs RD&M
strategy and investments by telling
AWI what is important to them.
In WoolPoll 2012, woolgrowers voted
to continue the wool levy at the rate
of two per cent from 1 July 2013,
with AWI income being invested at
the following ratio:
On-farm R&D: 25%
Off-farm R&D: 15%
Marketing: 60%
Investment is also being made
across a number of category
segments which involves allocations
from both Marketing and Off-farm
R&D portfolios.

AWI invests across the supply


chain to enhance the profitability,
international competitiveness and
sustainability of the Australian
wool industry, and to increase
demand and market access for
Australian wool.

On-farm research and


development
The objective of AWIs On-farm
R&D portfolio is to increase the
profitability and sustainability
of growing wool. There are four
strategies being undertaken to
facilitate this:

Strategy 1: Sheep Health,


Welfare & Productivity
Health, welfare and productivity
gains are all linked. Some important
investments during 2013/14 were:
improvements to fly, lice and
worm management by the
creation and co-funding of
ParaBoss which includes
LiceBoss, WormBoss and
FlyBoss.
the further development of a
process using liquid nitrogen
to reduce breech wrinkle and
breech wool cover with improved
lifetime welfare.
reduced impact of wild dog
predation by the provision
of funding for groups across
Australia to conduct on-ground
activities.
reduced impact of husbandry
practices by trialing pain relief
products for mulesing, castration
and tail docking.
improved genetic gain through
continued adoption of breech
wrinkle and dag breeding values.
increased demand for Lifetime
Ewe Management training,
with 85 AWI-funded groups
completing the training, and 137
new groups established across
all states.

AWIs vision is for it to be a significant contributor


to a vibrant, stable and profitable wool industry
providing the world with the best natural fibre.

Strategy 2: Wool Harvesting


& Quality Preparation
Efficient delivery of high-quality
wool clips depends on investment in
the delivery of high-quality shearer
and wool handler training and career
promotion. AWI investments during
2013/14 resulted in:
2269 training visits were made
by shearers (a 44% increase from
2012/13) and 1320 training visits
were made by wool handlers
(a 34% increase from 2012/13)
directly through AWI-funded
programs across Australia.

wool carbon credentials work


and Life Cycle Analysis was
completed with a large amount
of data generated.

Strategy 4: Education &


Extension
Grower confidence in the wool
industry requires investment
in effective communications,
new skills training, peer support
and networking, leadership and
mentoring, and availability of
experts. Highlights during 2013/14
in these areas included:

seven state-based extension


networks across Australia
involved more than 9000
producers.
More than 80 Making More From
Sheep events have been held
across Australia, attracting more
than 1700 attendees.
AWI is supporting
Art4Agriculture Young Farming
Champions who share their
passion for agriculture with
urban students and show there is
a bright and prosperous future in
the industry.

55 local shearing competitions,


plus state and the national
shearing and woolhandling
championships, were supported
by AWI to promote excellence in
the wool harvesting industry and
encourage young people to join
the industry.

Strategy 3: Production Systems


& Eco-Credentials
Managing productive and profitable
woolgrowing systems while
enhancing the eco-credentials
of wool requires investment in
new and improved tools that help
woolgrowers make better informed
decisions. During 2013/14:
EverGraze helped producers
across the high rainfall zone of
southern Australia mange their
pasture and livestock systems
up to 2014 Evergraze has
prompted practice change on
4400 farms impacting more than
900,000 hectares.
a program for delivering
knowledge about methane
emissions in livestock was
developed to identify feed
conversion efficiency.

The Lifetime Ewe Management course provides materials and develops skills to help
sheep producers improve animal nutrition, lambing percentages and weaning rates.

ANNUAL REVIEW 2014 23

Off-farm research and


development

Strategy 6: Fibre Advocacy and


Eco-Credentials

Off-farm R&D/Marketing
Category Management

The objective of AWIs Off-farm R&D


portfolio is to facilitate the creation
of business opportunities within the
wool-processing sector, which foster
diversification of regional processing
capacity, and support the creation of
demand for Australian wool.

This strategy involves the acquisition


of data which enables AWI and the
industry to advocate the benefits of
wool fibre and reduce or eliminate
the risk from environmentally
related threats. During 2013/14, AWI
continued to:

Typically, AWIs marketing activities


target the dominant fashion apparel
category. But by combining AWI
investment capabilities across
Marketing and Off-farm R&D
resources, key consumer segments
that have high-margin growth
opportunities for Australian wool are
also being targeted.

Strategy 5: Technical Services


AWI has been fostering the
diversification of regional woolprocessing capacity by providing
technology transfer to wool
processors and manufacturers. In
2013/14, highlights included:
53 new businesses working with
AWI in Vietnam, 28 in Russia and
12 in Belorussia.
800,000kg per year demand for
Australian wool from Vietnam
and 1,000,000 kg per annum
demand from Russia.

support the recognition of wool


bedding as part of a healthy
nights sleep.
demonstrate the role of fine
Merino baselayers in ameliorating
chronic skin conditions
associated with microclimate
management of the skin, such as
atopic dermatitis.
support the development of
product market opportunities
in categories that support the
LOHAS (Lifestyles of Health and
Sustainability) consumer.

apparel is now commercially


available in store from brands
that have used innovations
developed by AWIs Merino
Casual product development
program.

Strategy 7: Category
Management

Sports & Outdoor


During 2013/14, AWI has been
working with leading sports
designers, professional users and
innovative brands in business-tobusiness and consumer-facing
marketing activities with the
aim to increase the awareness
of, and add value to, the Merino
fibre in sports and performance
garments.
The worlds biggest sports
trade show, ISPO in Germany in
January, showed sign of Merinos
increased presence. This year
there were more than 50 brands
promoting Merino wool in their
sports collections, compared to
just five brands six years ago.

Nurture by Nature
During 2013/14, AWI has
continued to work with its
partners to develop targeted
marketing programs and
promote new Merino wool
products in the mothers and
babies segment.
The average number of wool
pieces sold by AWIs 18 new
partners this year has exceeded
targets; for instance Bugaboos
first ever wool accessory
collection sold more than 32,000
units.

Urban
During 2013/14, AWI has focused
on increasing the penetration
of wool across an emerging
group of discerning consumers
that are categorised as Urban/
Contemporary consumers.

AWIs marketing campaigns are driving a new demand for Australian


wool across international consumer markets.

Iconic US apparel brand, Levi


Strauss & Co launched the
iconic 501 wool/denim jeans
in October 2013 and became
Woolmark, Woolmark Blend and
Wool Blend licencees.

Apparel Care
In 2013/14, AWI began rolling out
a new Tested by Nature, Tested
by Us washable wool campaign
to teach consumers that many
wool products do not need to be
dry cleaned or hand washed.
AEG-Electrolux developed
two washing machines with
automatic gentle washing
technology that handle fibres
such as wool. These two
innovations have been awarded
the highest Woolmark Apparel
Care certification in their class.

Interior Textiles
The Wool Lab Interiors a
guide to the best wool textiles
and to the most interesting and
innovative applications of wool
in the furnishing and interior
textile sectors continued to
be showcased to current and
prospective users of wool.
A new range of brochures,
fact sheets and PowerPoint
presentations were presented
and distributed this year to help
AWI market the benefits of wool
interiors to trade and consumer
audiences. This sector supports
the proportion of the clip that
is of a broader micron and
crossbred wool.

Marketing
The objective of AWIs Marketing
portfolio is to help increase demand
for Australian wool by recognising
and addressing the information
barriers to consumption at consumer
and trade level.

Strategy 8: Fibre Marketing &


Eco-Credentials
AWI is focusing on the development
of content to support fibre advocacy,
and implement campaigns that
explain to consumers and trade the
relevant benefits of Australian wool.
During 2013/14:
the Campaign for Wool
continued to educate consumers
about the fibres unique natural
benefits and drive a new demand
for wool on an international
scale. The 2013 international
Wool Week involved the
UK, Australia, Germany, the
Netherlands, Belgium, Italy,
Spain, Japan, Korea and China.

In 2013 the campaign generated


editorial coverage across print,
online and broadcast media
totaling AU$40.1 million, up from
AU$29 million in 2012.
the International Woolmark
Prize was incredibly successful
at showcasing the versatility
and quality of Merino wool to
the fashion and textile industries
and consumers. It continues to
gain extraordinary momentum,
generating significant interest
across the globe over the
past two years the initiative
has generated more than
$105 million in editorial value.
Through this competition, we
now have a network of the
worlds leading influencers of
fashion endorsing wool, and
broader recognition of the fibres
qualities amongst consumers
across the world.
the spring/summer and autumn/
winter editions of The Wool
Lab AWIs seasonal guide to
the most inspiring wool trends
and best wool products were
produced to educate the trade
and stimulate demand for wool
at the targeted premium end of
the market.
AWIs websites Merino.com
(for consumers), Woolmark.com
(for the textile trade) and Wool.
com (for woolgrowers) were
enhanced with extra functional
elements and additional content
to promote wool, and AWI
continued to increase its use of
social media to generate online
conversation about wool and
help reconnect a new generation
of tech-savvy consumers with
the natural wonders of wool.
AWIs in-house Graphic Design
team completed more than
560 jobs (brochures, flyers,
factsheets, magazines, posters/
billboards, promotional items,
trade-stand design etc) and the
in-house Video Production team
produced more than 90 videos
to promote wool and global
brand partnerships.

Strategy 9: Product Promotion


AWI provides marketing services,
development and implementation
of campaigns that generate sales
of specific wool products with key
partners and in priority markets and
segments.

These programs aim to generate


incremental new demand, or result
in an improvement of the quality of
products sold. During 2013/14:
the Merino Wool. No Finer
Feeling fibre advocacy campaign
continued to establish Merino
wool as the fabric of choice
for fine, contemporary fashion.
The campaign involves AWI
strengthening its partnerships with
well-known designers and fashion
houses and promoting wool across
the world through numerous highprofile publications. The campaign
now has more than 80 partners
globally well above the target of
42 that AWI set out to achieve in
AWIs 2013/14 to 2015/16 Strategic
Plan.
AWI activity in China continued
to expand. AWI has implemented
programs in the premium sector of
the market that have driven sales
growth for premium retail partners
and expects the impact of these
programs to build demand pressure
for wool through the China supply
chain as well as in the Woolmark
Gold luxury imported fabric market.
A review and development of a
revised China Strategy and Plan
took place in the second half of the
year.
AWI continued to promote the Cool
Wool product marketing platform
as a basis for growing demand in
the spring/summer season as well
as in those markets that have the
climate to support this positioning.
12 strong brand/retail partners
promoted Cool Wool product for
spring/summer 2014; the number of
Cool Wool licensed manufacturing
partners making up the Cool Wool
Weavers Guild has increased to
23, up from six in 2011/12; and
Cool Wool ticket and label sales
increased by more than 200% from
51,600 tickets and labels in 2012/13
to 159,725 in 2013/14.
2014 marks the 50th anniversary of
the world-famous Woolmark brand.
The Woolmark logo has been
applied to more than five billion
products worldwide since it was
first launched in 1964. Its enduring
appeal continues to deliver
significant returns to Australian
woolgrowers who own it. As well
as its use on products through
the Woolmark Licensing Program,
the logo is being used widely to
promote Australian wool through
all of AWIs global marketing
campaigns.

ANNUAL REVIEW 2014 25

AGRIFOOD SKILLS AUSTRALIA


AgriFood Skills Australia is
helping the agrifood industry
across Australia to meet its
need for a skilled workforce and
to take advantage of growing
markets in Australia and Asia.

Australias agrifood industry


employs some 825,000 workers
across 180,000 enterprises. They
contribute more than $237 billion to
the national economy and account
for 18 per cent of Australias gross
domestic product.
Seventy per cent of the industry is
based in regional Australia.

Skilling the
Agrifood
Workforce

Our focus is on attracting,


developing and retaining talented
people with high level skills.

Finding solutions
AgriFood Skills Australia works
with industry to find solutions to
skills shortages and to attract more
people into industry sectors and
enterprises. We work across the
food supply chain to ensure that
agrifood workers have the skills and
capabilities to enhance production
and profitability.
Our focus is on the current and
emerging needs of agrifood
enterprises, employees and students
in regional and urban Australia.

Key clients are rural and related


industries, food processing, meat,
racing and seafood.
AgriFood Skills Australia has a
strong reputation for success, with
a track record of understanding
what industry needs and developing
innovations that deliver real benefits
to enterprises.
We provide industry with key
information, foster partnerships, and
develop and implement workforce
development strategies and develop
nationally endorsed qualifications.
Through our partnerships
with industry, enterprises and
governments we are helping to
build new skills bases and new
business models to tackle the skills
and people shortages in regional
Australia.

Food in the Australian


Curriculum
AgriFood Skills Australia has
been charged with delivering the
Governments Agriculture and
Food in the Australian Curriculum
initiative, a key plank in the National
Food Plan launched in May 2013.
The initiative builds the professional
skills of primary and secondary
school teachers to strengthen their
knowledge and networks across
agriculture and the supply chain.
Career advice, teaching and learning
materials are developed to help
build student knowledge of food and
agriculture, encouraging them to
consider worthwhile careers across
the industry.

Teachers have enjoyed seeing the


hands-on potential of integrating
agriculture, food and fibre into their
lessons and have valued seeing links
to the new Australian Curriculum.

Contact Details

Education Officers will continue to


work with primary school teachers
and students while also extending
the programmes work into
secondary schools and universities,
along with school career advisers.

P: (02) 6163 7200


F: (02) 6162 0610
E: rose.schmedding@agrifoodskills.
net.au

For more information visit


our website at
www.agrifoodskills.net.au

Rose Schmedding
Manager, Communications
AgriFood Skills Australia

Address:
Level 3, 10-12 Brisbane
Avenue Barton 2600
PO Box 5450 Kingston
ACT 2604

AgriFoods Education Officers


present interactive and hands-on
lessons to students centred on
food, the supply chain, sustainable
practices and new technology.

AgriFood Skills
Australia has been
charged with delivering
the Governments
Agriculture and Food
in the Australian
Curriculum initiative

ANNUAL REVIEW 2014 27

Kathleen Plowman
CEO

ANIMAL HEALTH AUSTRALIA


Working together with
wool producers
For close to 20 years
Animal Health Australia
(AHA) has been working in
partnership with livestock
industries, producers and
governments to strengthen
local and international
confidence in Australias
animal health system;
thereby helping to grow
and secure market access
for our livestock and
livestock products like
wool.

We work with others to improve the


coordination and management of
animal health systems that help keep
Australia free from exotic diseases,
contributes to more sustainable and
competitive livestock industries and
promotes the humane use of animals
for food, companionship, recreation
and sport.
Each year AHA delivers a range
of national programs and projects
developed in partnership with
industry members such as
WoolProducers Australia (WPA)
that give sheep producers the tools,
information and assistance they
need to keep their livestock healthy,
creating tangible benefits for
producers both on-farm as well as
extending beyond the farm gate.
In 2014, one of these initiatives is
the recently launched Livestock
Production Conditions Project
(LPCP), which has been designed
specifically to help producers
tackle sheep production conditions
through effective and practical
on-farm biosecurity practices.
These practices, which are easy
to implement, will help producers
secure their farm income and access
to a variety of markets.
AHAs newly revamped Spotted
anything unusual? campaign is
designed to help producers identify
exotic diseases on their properties
by promoting early identification
of sick animals or livestock that
are showing unusual signs of
disease. As early detection of and
response to an exotic disease is
vital in preventing or minimising
livestock deaths, production loss and
potential impacts on human health
and the environment, this campaign
is a timely reminder of the direct
benefits of regular surveillance.

AHA has also been working closely


with industry and government on the
planning and implementation of a series
of exercises that aim to test Australias
emergency animal disease response
preparedness.
The Australian Governments Exercise
Odysseus has resulted in a number of
national livestock standstill activities
to gauge Australias ability to stop the
movement of all susceptible livestock
in the event of a major outbreak of an
exotic emergency disease such as footand-mouth disease (FMD). The more
coordinated and prepared a response
is, the less devastating the outcome for
producers, rural communities, industries
and consumers.
This past year has also seen AHA
deliver several projects which aim to
support humane and acceptable sheep
welfare such as our contribution to
the National Wild Dog Action Plan and
the completion of nationally consistent
Australian Animal Standards and
Guidelines for Sheep.

Tackling sheep production


conditions
In July this year AHA launched the LPCP
which was developed together with
WPA and other sheep industry peak
bodies to streamline governance costs,
enhance collaboration and take a more
holistic approach to addressing endemic
conditions for wool producers.
The LPCP takes a proactive approach
to tackling sheep production issues,
with greater emphasis on biosecurity
and associated communication and
extension activities. It also aims to
address the issues of lost production
across the entire sheep supply chain
and ensure these animal health
improvements are value added both
on-farm and post-farm gate.

The pilot will run from July 2014


through to June 2015 and will
identify and fill gaps in work
undertaken with, and by, research
and development corporations
across all sheep production
conditions, increase the efficiency
and consistency of management of
national sheep production condition
projects and provide a forum to
involve all stakeholders contributing
to activities that will address a range
of sheep production issues.
LPCP is being coordinated by AHA
through the recently established
sheep industries LPCP Steering
Committee, which includes
representatives from WPA and other
key sheep industry stakeholders,
as well as state governments, the
Australian Veterinary Association
(AVA) and Livestock Biosecurity
Network (LBN).

Disease awareness and farm


biosecurity
Contributing to efforts that
safeguard against the entry and
spread of pests and diseases into
Australia is vital for protecting
the livelihood of producers and
maintaining Australias reputation as
being a provider of high-quality and
safe animal products.

Screw Worm Fly is


considered to be the
most serious exotic
pest threatening
Australias northern
livestock industries and
public health.

In 2014 exotic threats to Australias


animal health system are being
emphasised, with Screw-worm fly
(SWF) being highlighted in AHAs
long-running national surveillance
awareness campaign Spotted
anything unusual?. The campaign
promotes awareness of the role
on-farm surveillance activity plays in
early identification of diseases and
urges producers to call the national
emergency disease hotline if they
suspect they have spotted anything
unusual in their flock.

SWF is considered to be the most


serious exotic pest threatening
Australias northern livestock
industries and public health. SWF
is widespread in a number of
Australias neighbouring countries
particularly Papua New Guinea,
Indonesia, Malaysia and the
Philippines.

photo: Shuttershock, David Lade

According to research by Australian Bureau of Agricultural and Resource Economics and Sciences (ABARES).

ANNUAL REVIEW 2014 29

AHA also helps producers reduce


disease risks on-property through
the Farm Biosecurity program.
Effective on-farm biosecurity
practices and ongoing vigilance by
producers is crucial to minimising
the risks animal diseases present
to Australias livestock industries.
Through the Farm Biosecurity
website, AHA provides support
to wool producers by providing
an online portal of information
about easy-to-implement on-farm
biosecurity practices and principles.
By going to the websites dedicated
toolkit section, wool producers are
able to create their own biosecurity
toolkit with industry- specific tools
such as National Sheep Health
Statements, Farm Biosecurity gate
signs and information relevant to
their farm profile. There is also a
series of how to farm biosecurity
videos which explain to producers
some of the six biosecurity
essentials they need to address,
including the risks posed by feral
animals and weeds. The website can
be found at www.farmbiosecurity.
com.au.

Exercise Odysseus a national


livestock standstill exercise to
stop FMD in its tracks
It is 140 years since the last recorded
outbreak of foot-and-mouth (FMD)
in Australia, but emergency animal
diseases such as FMD would still
have a devastating impact on sheep
producers and the wider community,
costing the economy up to $52
billion over 10 years.1

It is 140 years
since the last
recorded outbreak
of foot-and-mouth
(FMD) in Australia

Strengthening emergency animal


disease preparedness is a key
activity of AHA with the success of
any response being dependant on
having strong and proven national
arrangements that keep Australia
prepared and ready to respond in
the event of an emergency animal
disease.
A critical way to help control the
spread of disease would be to
stop the movement of livestock
throughout Australia for an
initial period of 72 hours when
it is first recognised. A national
livestock standstill will allow
time to investigate the origins
of the outbreak and prevent
further spread while other control
measures are put in place.

Improving sheep welfare


Another significant achievement
through industry and government
collaboration this year was the
launch of the National Wild Dog
Action Plan which aims to deliver
and support safe, humane and
effective wild dog management
activities that are financially and
environmentally viable.
It is estimated that wild dogs cost
the Australian economy between
$4860 million annually as a result
of production losses, disease
transmission in livestock and
control costs.
Unveiled in July by the Federal
Minister for Agriculture, WPA
was instrumental in initiating the
plan and recognising the need
for a more nationally coordinated
approach in dealing with the issue
of wild dogs in Australia. AHA
worked with WPA to coordinate
the technical input about disease
risks for the development of the
plan which was developed through
wool funds through AHA.
With animal welfare becoming
increasingly significant for
Australian and international
producers and consumers of
animal products, 2014 will also
see the culmination of nationally
consistent Australian Animal
Standards and Guidelines for
Sheep, a development process
AHA has been coordinating over
the past four years in collaboration
with WPA, governments and other
relevant stakeholders.

According to research by Australian Bureau of Agricultural and Resource Economics and Sciences (ABARES).

Nationally consistent welfare


standards and guidelines will
underpin community confidence in
sheep production, enhance producer
access to domestic and overseas
markets and reinforce Australias
leadership in livestock welfare.
When implemented, they will help
ensure improved welfare outcomes
that are practical for industry to
implement and will harmonise
livestock welfare legislation across
Australia. They will also be tangible
evidence of the wool industrys
commitment to animal welfare.
To find out more visit www.
animalwelfarestandards.net.au

An international approach to
Johnes disease
In June, AHA staff and key sheep
industry groups joined more
than 250 leading researchers,
veterinarians and public health
authorities from around the world at
the 12th International Colloquium on
Paratuberculosis (ICP) held in Parma,
Italy.
Australia is globally recognised as
leaders in the research and control
of Johnes disease. AHA and sheep
industry representatives and shared
and exchanged expertise and
experience of national programs for
the control or eradication of Johnes
disease (JD) with their international
counterparts at the five-day
colloquium.
AHA also presented a series of
seven scientific posters outlining
Australias efforts in preventing and
managing Johnes disease. The AHAproduced posters were developed
in consultation with sheep industry
and were on display for the duration
of the event where they were
viewed by hundreds of conference
participants all impressed by the
breadth of Australias research and
control efforts.
For more information about
AHAs programs and projects
visit the website at www.
animalhealthaustralia.com.au where
you can subscribe to a number of
free publications AHA produces to
keep members, stakeholders and the
wider community informed about
animal health in Australia.

ANNUAL REVIEW 2014 31

Professor James Rowe


Chief Executive Officer

SHEEP CRC
The Cooperative
Research Centre for Sheep
Industry Innovation (Sheep
CRC) is embarking on a
new five-year research
program to develop new
technologies which drive
productivity gains for
Merino producers and
WoolProducers Australia
will be a key player in
driving this transformation
of the sheep industry.

At the forefront of the Sheep CRCs


new research agenda is improving
animal health and wellbeing,
which will be crucial to positioning
the sheep industry to respond
to changing consumer demands
relating to animal welfare.
The issue was recognised early by
WoolProducers Australia (WPA) and
Meat and Livestock Australia (MLA),
which have been engaged in the
creation of the new animal-wellbeing
research program.
WPA has committed $750,000
towards the Program, Enhanced
monitoring systems for wellbeing
and productivity, that will focus on
early intervention against animal
health risks, thereby reducing
mortality rates as well as improving
productivity.

The research will put the sheep


industry at the forefront in using
a combination of information to
determine approaching risks for
individual sheep based on genetics,
parasite and environmental
factors, as well as using the latest
technologies for monitoring flocks
under extensive grazing systems.
The goal is to improve wellbeing
and productivity through more
timely response to defined risks for
grazing sheep, as well as develop
auto-monitoring systems that can
reduce labour costs, decrease onfarm mortalities and improve culling
decisions.
Commercial sheep production in
Australia involves managing sheep in
large flocks. Under these conditions
it is difficult to identify the individual
animals that, at any time, are
approaching conditions where there
is a risk of compromised wellbeing.
The challenge is to make
the transition from flock to
individual animal assessment and
management without increasing
labour requirements or costs.
The development of new flock
monitoring and management
systems can achieve this, while
also improving the productivity of
the sheep industry through early
intervention in animal health issues.
The research will draw on the
extensive data from the Information
Nucleus program and, for the
first time, provide a basis for
understanding the genetic as
well as the environmental factors
contributing to adaptation and how
animals should be managed.

The concept of wellbeing includes


consideration of the animals
ability to overcome difficulties
through being well adapted to
the environment and resistant
to diseases and parasites. It
also includes the ability of the
people managing farm animals to
anticipate, recognise and respond
to factors that are likely to result in
compromised wellbeing.

The challenge
is to make
the transition
from flock to
individual animal
assessment and
management
without
increasing labour
requirements or
costs.

Although production performance


is not considered to be a measure
of welfare or wellbeing, it is well
known that good management to
ensure wellbeing results in positive
productivity outcomes. This means
that the additional costs of selecting
well-adapted animals and managing
them to ensure wellbeing delivers
benefits in terms of increased
productivity and this aspect will be
important in ensuring its adoption
by commercial producers.

The AWTA launched its commercial


testing services to the Australian
industry in May, and showcased
the technology to the international
supply chain at the ITMA Asia expo
in Shanghai in June.

Not only does the risk of prickle


decrease as the micron levels descend,
but the finer wool microns also provide
additional comfort if the wearer
perspires as there is less of a clingy or
sweaty feel.

The instruments demonstrate that


if you wish to produce next-to-skin
product with guaranteed comfort
you must invest in a supply chain
that utilises superfine and ultrafine
Merino wool.

One of the main research outputs


will be a new scientifically-verified
system for predicting the risk of
compromised wellbeing for grazing
sheep, based on phenotypic
status, genetic information and
historical data. Recommended
intervention thresholds and
management protocols, designed
to provide timely and effective risk
management, will complement the
risk assessment system.

The Wool ComfortMeter and related


wearer trials have shown that
comfort levels improve with finer
micron wools all the way down to
13.5 micron, creating a clear product
differentiation and the opportunity
for price premiums for superfine
and ultrafine wools knowing that the
resulting fabrics will be suitable for
next-to-skin applications.

The Wool ComfortMeter counts


the number of fibres protruding
from a fabric that can cause wearer
discomfort, and then accurately
predicts a consumers response
crucial information for manufacturers
of next-to-skin fabric as well as for
retailers and consumers.

The new system will be developed


in close collaboration with specialist
sheep data management companies,
service providers and producers
all of whom are CRC Participants.

Wool handle has traditionally been


measured subjectively by judges,
who often have differing views on a
fabrics smoothness, softness, hairiness,
tightness and perceived weight. The
Wool HandleMeter overcomes this with
objective data. Importantly the Wool
HandleMeter provides an objective
definition of the luxurious handle of
wool and its positive differentiation for
other fibres.

WPA has indicated the wellbeing


research will be vital to the future of
sheep producers due to increasing
consumer concern over animal
welfare. By taking a proactive
approach to preventative animal
health care the industry will be able
to positively influence consumer
attitudes to the sheep industry
which in turn will support long-term
demand for sheep products.

Wool ComfortMeter to drive


demand for Australian wool
Australian wool growers are also
poised for potential increases
in demand in the wake of the
successful global launch of the
Wool ComfortMeter and Wool
HandleMeter by the Australian
Wool Testing Authority (AWTA).
Developed by the Sheep CRC,
the technology has the capacity
to revolutionise production and
marketing of wool garments. Strong
interest has already been received
from leading fashion and sports
brands, as well as wool processors
and mills.
Enhanced monitoring systems for wellbeing and productivity

ANNUAL REVIEW 2014 33

The findings that superfine and


ultrafine wools are critical for top
quality next-to-skin wool knitwear,
is an important breakthrough for
Australian wool producers that
dominate this market sector and are
currently getting no premium.
The technology provides retailers
and brands with a means of
differentiating their next-to-skin
Merino wool products, enhancing
consumer trust in their products and
increasing their willingness to pay a
premium for quality attributes that
can now be measured.
As the largest wool-testing
organisation in the world, AWTA
will provide fabric and garment
testing services to wool processors,
knitwear companies, fashion houses
and garment retailers through its
facilities in Melbourne, New Zealand
and in China.
The market relevance of the
Wool ComfortMeter and Wool
HandleMeter was tested in a
pre-commercialisation pilot trial in
which AWTA provided a test service
to a range of major Chinese knitwear
companies, leading brands and
retailers. As part of the Pilot Project
the CRC provided participants with
a technical report and suggestions
on how to interpret and use the
new data.
The Sheep CRC also conducted
workshops to showcase the
equipment in Seattle, New York
and London, that were attended by
brands including Nike, Nordstrom,
Macys and Brooks Brothers in the
United States, and Jaeger, Next,
Arcadia and Bodin in the United
Kingdom.

Genetically brighter future for


Merino wool
The future looks bright for
Australian wool producers with more
advanced DNA genotyping tests
delivering increased accuracy for
key traits including fleece weight
and fibre diameter balanced with
characteristics essential for the
modern Australian sheep industry
such as good maternal genetics,
meat production and resistance to
parasites.
The Sheep CRCs research program
for the next five years includes
further development of the highly
successful genomic technologies
with a view to making DNA testing
even cheaper and more accurate for
Australias Merino breeders.
More accurate identification of
genetically superior animals at
lower cost that will significantly
increase industry participation in
genetic improvement, allow more
sophisticated and comprehensive
breeding programs and result in
accelerated genetic gain. This will
be of particular advantage to the
Merino industry which is composed
of many strains of the breed and
more genetically-diverse than meat
breeds.
Already the 12k SNP test released by
the Sheep CRC last year is delivering
a cost-effective accuracy in
predicting breeding values that add
significantly to the rates of genetic
gain achievable in Merinos.

The Sheep CRC and Sheep Genetics


have also been working with wool
producers to identify the best
methods of using DNA testing
to maximise genetic gain under
different ram breeding models.
Each breeding program is slightly
different and getting the value
from the combination of traditional
performance measurement, pedigree
data and genomic predictions needs
careful planning for each business.
In addition to using genomic
testing to improve breeding values,
the Merino horn-poll test and
DNA-based parentage tests, can
also be very useful stand-alone
technologies for wool producers.
The horn-poll test enables breeders
to test all new rams in order to
identify carriers of the horn gene,
and achieve a rapid reduction in the
proportion of horned animals in their
flocks.
The parentage test has been
particularly useful to sheep breeders
using syndicate mating as it can
quickly, cheaply and accurately
update their flock pedigree records
and also to identify rams that are
carriers of genes for black wool.
The Sheep CRCs planned use of
full genome sequencing will lead
to an even better understanding
of genetic selection and the use
of this new knowledge to improve
the national sheep flock and its
continued adaptation for new
market opportunities.

The companies involved immediately


recognised the potential value
of the Wool ComfortMeter and
HandleMeter for achieving a high
level of quality and consistency in
their branded wool garments; the
opportunity to improve customer
satisfaction; reduce customer
returns; expand sales and enhance
their competitive edge in the apparel
retail.
The Sheep CRC developed the
technology in conjunction with the
CSIRO, Australian Wool Innovation
(AWI), the Australian Wool Testing
Authority (AWTA), Deakin University
and the Department of Agriculture
and Food WA (DAFWA).

James Rowe (Sheep CRC CEO) and Michael Jackson (AWTA Managing Director)
at the global launch of the Wool ComfortMeter and HandleMeter

Australian
Wool Innovation
On-farm tools for woolgrowers
Get involved in key initiatives such as:
Join an AWI-funded Lifetime Ewe
Management group to lift production
www.wool.com/ltem
Join your states AWI extension network
www.wool.com/networks
Benchmark your genetic progress with
MERINOSELECT
www.wool.com/merinoselect
Reducing wild dog predation through
coordinated action www.wool.com/wilddogs
Training shearers and woolhandlers
www.wool.com/shearertraining
Enhanced worm control through
planning www.wool.com/wormboss
Getting up to scratch with lice control
www.wool.com/lice
Flystrike protection and prevention
www.wool.com/flystrike

www.wool.com | AWI Helpline 1800 070 099


Disclaimer: Whilst Australian Wool Innovation Limited and its employees, officers and contractors and any contributor to this material (us or we) have
used reasonable efforts to ensure that the information contained in this material is correct and current at the time of its publication, it is your responsibility
to confirm its accuracy, reliability, suitability, currency and completeness for use for your purposes. To the extent permitted by law, we exclude all conditions,
warranties, guarantees, terms and obligations expressed, implied or imposed by law or otherwise relating to the information contained in this material or your
use of it and will have no liability to you, however arising and under any cause of action or theory of liability, in respect of any loss or damage (including indirect,
special or consequential loss or damage, loss of profit or loss of business opportunity), arising out of or in connection with this material or your use of it.

ANNUAL REVIEW 2014 35

GD1187

Mark Grave
Chief Executive Officer
Australian Wool Exchange

AUSTRALIAN WOOL EXCHANGE


50 Years of Woolclasser
Registration
2013 marked a significant year for
woolclassing and woolclassers.
It was in 1963 that woolclasser
registration commenced.
The history of how it began and
was implemented is a little sketchy,
however, the fact that it was
brought in demonstrated Australias
intentions to lift the professionalism
of the industry and to recognise
that the quality of wool preparation
would separate Australian wool
from the rest of the world.
It is not often that Australia can
say that it is the dominant player
in a particular agricultural industry
in wool, it can. Australia has
been the worlds largest producer
of quality apparel wool for over
a century. Not only have wool
growers invested heavily in sheep
genetics and breeding but also in
pasture improvement and skills and
training of those who work within
the industry.
The woolclasser has been a key
element in the success of the
industry over a very long period of
time.
It is recognised that woolclassing
commenced well before 1963 but
until then it was a course taught at
various schools of technology but
there was no formal record of those
who had completed the course and
were qualified to professionally
class wool.

Woolclasser registration is important


to the Australian/Global wool
industry for a number of reasons:
It recognises those who
are qualified to class wool
(domestically & internationally),
It increases the level of integrity
of the Australian wool industry,
It makes the industry
accountable,
It allows information and
training to be delivered to those
registered, and importantly
It gives buyers and processsors
confidence in Australian wool.
Only wool classed by a registered
woolclasser receives a P certificate
when tested the most highly
sought certificate by buyers,
exporters and processors. This is a
symbol of integrity in the product
and is why Australia has such an
enviable reputation for producing
quality apparel wool.
AWEX is proud to be able to
recognise those woolclassers who
have been continuously registered
for 50+ years. It is an extraordinary
commitment to an industry that they
passionately love.
Our records show that we have 181
woolclassers who have reached the
50 year milestone (first registered
1963 &1964). Nearly of them are
still actively classing today with one
woolclasser classing over 1,100 bales
in 2013 alone.
This is a wonderful heritage and
something that the industry has
and continues to benefit from.
All 50 year woolclassers receive
a certificate of recognition and a
special 50 year stencil so they
can proudly display reaching the
milestone.

Wool Packs
Last year AWEX reported that it had
approved a new design wool pack
to address safety issues raised by
the NSW Roads & Maritime Services
(formerly RTA). The Australian
standard is written into Customs
regulations and that process has
taken longer than expected.
The new four seamed base and Bale
Fastening Guide on each flap, when
used correctly, will go a long way
to improving the standard of bales
pressed.
AWEX understands that the rewriting of the Customs regulation
is underway and we remain hopeful
that it will be introduced in 2013/14.

Bale Weights
The industry has been made
aware of the negative impact of
low weight and over weight bales.
Concerns range from WH&S issues
in warehousing and transport to
additional costs in handling over
and underweight bales for both
woolgrowers and wool buyers/
processors.
The current bale weight limits are:
Minimum 110kg
Maximum 204kg
Single bale lines of speciality
superfine fleece wool <18.6
micron 90kg.
An ongoing awareness and
education campaign will be
introduced in 2014/15 to highlight
these concerns and together with
the introduction of the new wool
pack (design) will address how
to improve the standard of wool
pressing and reduce the above
issues.

AWEX - Eastern Market Indicator


1155

AU c/kg clean

1130
1105
1080
1055
1030

AWEX MARKET INDICATORS


The Australian Wool Exchange
(AWEX) has completed its periodic
review of the structure and profile
of the AWEX Market Indicators.
The review examined the relative
proportion of the current wool
types included in the AWEX
high-level Market Indicators
(including the AWEX Eastern
Market Indicator) and Micron Price
Guides, and is designed to keep
them relevant to all wool market
participants and reflective of the
profile of the Australian wool clip.
First released in 1994/95 and last
revised at the commencement of
the 2011/12 season, regular revisions
are required in order to mirror the
composition of the Australian flock
which has changed over time. Only
modest changes were required
to the main indicators during this
review while the Micron Price
Guides have remained unchanged.

Jul 14

Jun 14

May 14

Apr 14

Mar 14

Feb 14

Jan 14

Dec 13

Nov 13

Oct 13

Sep 13

980

Aug 13

1005

Key points:
AWEX-EMI - North/South
composition changed from
42%:58% to 39%:61%
North Merino fleece
component slightly finer (19.66
to 19.20). Crossbred percentage
of indicator increased from 13%
to 15%.
South Merino fleece
component slightly finer (20.51
to 20.21). Crossbred percentage
of indicator increased from 15%
to 18%.
West Merino fleece component
slightly finer (20.68 to 20.25).
No change to the Micron Price
Guides (MPGs) or Merino
Carding Indicators.
Rebased Indicators will
be effective from the
commencement of the 2014/15
wool selling season on July 1.

The AWEX EMI opened in 2013/14


season on 1,047 AUD c/kg clean
(USD 972) and closed on 1,016 AUD
c/kg clean (USD 953).
At current prices, the change in
composition is expected to make
the following adjustments in the
Indicators:
Indicator

Adjustment

AWEX-EMI

-6

North

-7

South

-4

West

+5

A back series is available after the


commencement of the new season.
Contact Lionel Plunkett for further
information at lplunkett@awex.com.
au or 02 9428 6130.

AWEX Facebook
AWEX first opened our Facebook page in
September 2013 and to date it has proven to
be very popular for those wanting to keep
abreast of issues in the industry and for AWEX to
communicate with industry as issues occur.

Go to:
www.facebook.com/woolexchange

ANNUAL REVIEW 2014 37

Warren Clark
National Manager

LIVESTOCK
BIOSECURITY
NETWORK
Wool growers better
prepared for biosecurity
risks
The Australian wool industry will
benefit from improved animal health,
welfare and biosecurity on-farm
practices thanks to the Livestock
Biosecurity Network (LBN) industry
partnership.
LBN was established nationally in
2013 by WoolProducers Australia
(WPA), the Sheepmeat Council of
Australia and the Cattle Council of
Australia.
The initiative aims to address
industry concerns about the
potential impact of diseases and
pests on our wool, sheep and cattle
industries.

Within the current pilot phase,


LBN has successfully established
networks within Queensland,
Northern Territory, New South
Wales, Western Australia, South
Australia, Victoria and Tasmania,
combining forces with a wide range
of industry stakeholders.
The team of six LBN regional officers
have achieved much in the last
12 months for the wool industry,
through the delivery of biosecurity
workshops, coordination of regional
biosecurity groups, surveillance
awareness and e-communication
to ensure wool growers are kept
informed of the latest information.
LBN has delivered extensive
activities and events strategically
targeted to benefit wool growers
and industry stakeholders over the
last year. Following is a summary of
some of these key activities for LBN
in each state.

NSW
Promotion of the national
freedom from disease program
for Transmissible Spongiform
Encephalopathies to both vets and
producers. Bilateral support, due
to incentives to both fields, means
more surveillance data to support
freedom from disease
Involved in producer forums to
increase surveillance and awareness
of exotic and endemic diseases in
partnership with NSW Department
of Primary Industries and Local
Land Services, determine the
current baseline of awareness and
surveillance in each region. Once a
baseline has established, targeted
awareness sessions are held, and
Partnership with Animal Health
Australia and Charles Sturt
University to present and engage
with producers at the regular
Graham Centre Sheep Forum. Allows
one-on-one time to assist producers
to develop a personalised on farm
biosecurity plan, through the Farm
Biosecurity Toolkit

VIC/SA

The initiative aims to address


industry concerns about the
potential impact of diseases and
pests on our wool, sheep and
cattle industries.

Produced two videos at Beaufort


farm and Ballarat saleyards specific
to the Sheep Health Statement
(SHS) - the videos focussed on lice
control and the SHS
South West Prime Lamb Group
University of Melbourne - Addressed
producers on the benefits of simple
practical biosecurity practices, and
Plans for a Sheep Health Monitoring
Project (SHMP) - developed in
collaboration with Victorian Farmers
Federation, the proposed project
would be funded by the Victorian
Sheep and Goat Compensation Fund
for direct reporting of disease data
collected in the SHMP to affected
producers.

QLD
Presented an interactive pilot
workshop in collaboration
with Agforce and DAFF to
assist producers to develop an
on-farm biosecurity plan. Key
areas addressed included feral
animal control, minimising and
controlling weed seed spread on
vehicles and equipment, animal
health management and waste
management
Attended Leading Sheep
Predator Control Days to
provide an introduction to LBN
and our priorities and activities,
reaching approximately 300-350
participants, and
Presented at Queensland State
Sheep Show, focusing on ovine
brucellosis and sheep measles.

TAS
Developed and currently
implementing a Bruny Island
regional biosecurity plan with
a residents working group.
Initiated due to concerns small
landholders were not aware of
the risk they pose in introducing
sheep pests, diseases and weeds
Managing proposed regional
biosecurity plan for Nile
Catchment to improve lice
control. Engaged over 20 local
sheep producers help identify
the biosecurity risk priorities
and plan for the new lice control
program, and
On-farm biosecurity workshops
developed and ready to be
delivered to groups of producers,
with the first workshops in the
August in Campbell Town and
Deloraine.

WA
Collaborating with private
consultants, processors and the
Department of Agriculture on
a series of pilot sheep health
workshops to show producers
how to use their abattoir
feedback to plan their sheep
health strategies and identify
major sheep health issues
Working with agricultural show
societies on ways to incorporate
the National Sheep Health
Statement into show entry
documentation, specifically
attending the Wagin Woolorama
to promote biosecurity measures
Planning for a series of animal
health and welfare days in
regional centres in Spring 2014,
with a strong emphasis on
sheep. Collaborators for these
events will be animal health
representatives, Department
of Agriculture vets, local
processors, private vets and local
agricultural merchandisers.

To help protect their livelihood and


income, producers are encouraged
to visit the LBN website and create
their own Farm Biosecurity Plan at
www.lbn.org.au
For more information or to contact
your local LBN Regional Officer:

Northern Australia
(Qld, NT and Northern WA)
Dr Sarah-Jane Wilson
m: 0437 725 877
e: sjwilson@lbn.org.au

Corrie Grimmett
m: 0403 863 413
e: cgrimmett@lbn.org.au

Victoria and South Australia


Dr Patrick Kluver
m: 0499 077 213
e: pkluver@lbn.org.au

Tasmania

Dr Jess Coad
m: 0488 400 209
e: jcoad@lbn.org.au

Western Australia

The cooperative nature of the


program extends beyond the
regional officer level, with LBN also
establishing links with government,
industry and commercial
organisations who are involved in
implementing, communicating and
promoting best practice animal
health, welfare and biosecurity.

Megan Harrod
m: 0488 100 426
e: mharrod@lbn.org.au

The continued support of the


three Peak Industry Councils
WoolProducers Australia, the
Sheepmeat Council of Australia
and the Cattle Council of Australia
- is much appreciated, and LBN is
determined to create an enduring
program beyond the life of the
current pilot phase.

Warren Clark
m: 0488 625 635
e: wclark@lbn.org.au

New South Wales

Louise Pearce
m: 0488 400 207
e: lpearce@lbn.org.au

National Manager

ANNUAL REVIEW 2014 39

INVASIVE ANIMALS
COOPERATIVE
RESEARCH CENTRE
We understand the
battles that farmers are
facing due to feral animal
impacts on production
and stock losses. The
Invasive Animals CRC
(IA CRC) is working
together with producers to
deliver practical solutions
to the problem of wild
dogs, rabbits and other
feral animals.

Andreas Glanznig
Chief Executive Officer
Invasive Animals Cooperative Research Centre

The threat to agricultural


productivity from feral animals is
estimated at more than $1 billion per
year. Major stock losses from wild
dogs are on the increase, with sheep
production being driven out of some
regions. Rabbit numbers are swelling
due to increased food availability
and Rabbit Haemorrhagic Disease
resistance. Increases in feral pig and
fox numbers are also having major
impacts.
Efficient and new and improved
tools and biocontrols are needed to
complement traditional methods to
save time and money. The IA CRC
focuses on regional coordination,
landscape-scale pest animal control
and bringing effective efficient
products on to the market through
our R&D program.
The IA CRCs five-year, 27-partner
collaboration between government,
industry and research organisations
is developing and delivering worldleading controls for invasive animals
that are cost-efficient, effective and
humane.
The IA CRC has strong industry and
government support. Australian
Wool Innovation and Meat and
Livestock Australia are major
industry partners investing in wild
dog and rabbit control solutions, as
are most States and Territories in
Australia.

The IACRC
has strong
industry and
government
support.

Wild dog management


The IA CRC Wild Dog innovation hub
is a collaboration centred on:
Computer Assisted Technology
new automated systems to
detect wild dogs before they
attack.
National Wild Dog Action
Plan the IA CRC will work
with industry and government
partners to roll out a wild dog
extension and training initiative
and is the R&D representative on
the action plan Implementation
Steering Committee.
National Wild Dog Facilitator
- continued promotion and
support of regional wild dog
efforts through the AWI-funded
National Wild Dog Facilitator,
Greg Mifsud.
Practical new control tools - into
the market in the next two years
will be mechanical toxin ejectors,
lethal trap devices and a new
toxic bait with an antidote for
working dogs.

Launch of the
Wild Dog Action
Plan 4 July
2014 (l-r): Guy
Ballard, Greg
Mifsud, Minister
for Agriculture
Barnaby Joyce,
Greg Falzon, Paul
Meek (credit:
Dave Robinson)

Rabbit biocontrol

PestSmart Toolkit

The IA CRC has been involved in the


largest strategic rabbit biocontrol
research program in almost 20 years.
There has been an estimated $70
billion in agricultural benefits over
the past 60 years from two rabbit
biocontrol agents: myxoma virus and
rabbit calicivirus.

ThePestSmart Toolkitprovides
information and guidance on
best-practice invasive animal
management on several key pest
species including rabbits, wild dogs,
foxes, feral pigs, feral cats, carp and
tilapia. There is also information
and links to specific resources on
themes such asanimal welfare,
vertebrate pest policy,social
issuesandrisk assessment. Also
check out thePestSmart YouTube
Channelwhich contains video clips
on pest animal control methods.

To ensure these benefits are


not eroded by increasing rabbit
resistance the Rabbit Haemorrhagic
Disease (RHD) Boost project, led
by NSW Department of Primary
Industries scientists, has evaluated
a variety of naturally evolved RHDV
strains. They are identifying new
strains that can overcome this
resistance, and ideally work better in
wetter, cooler parts of Australia than
the existing RHDV strain already
here.
We are now close to registering a
new strain of RHDV for the improved
biological control of rabbits,
including a freeze dried version to
reduce transport costs and improve
virus efficacy.

The PestSmart: Working Plan to


Manage Wild Dogs and PestSmart:
Guidelines for Preparing a Working
Plan to Manage Wild Dogs details
strategic management to control
wild dogs and documents a
collaborative approach across
boundaries that has been used for
more than a decade to significantly
reduce stock losses from wild dogs.
These booklets were funded by
Australian Wool Innovation and
ABARES.

Further information:
Invasive Animals CRC:
www.invasiveanimals.com
or contact@invasiveanimals.com
(02) 6201 2887
PestSmart Toolkits:
www.feral.org.au/pestsmart
Map wild dog activity at
WildDogScan:
www.feralscan.org.au/wilddogscan
National Wild Dog Facilitator:
greg.mifsud@invasiveanimals.com
National Rabbit Management
Facilitator:
lisa.adams@depi.vic.gov.au

The threat to agricultural productivity


from feral animals is estimated at more
than $1 billion per year

ANNUAL REVIEW 2014 41

AUSTRALIAN
ASSOCIATION OF
STUD MERINO
BREEDERS

The photograph: Rob Ashby, President, World Federation Merino Breeders and Phil
Toland, President, AASMB inspecting sheep at Bloemfontein, South Africa.

The Australian Association


of Stud Merino Breeders
(AASMB) has been the
peak body for stud Merino
breeders since 1959 when
the six state associations
united to provide national
representation of their
industry.
Fifty-five years later the AASMB
represents over 1030 Merino studs
through their state bodies on all
national and international matters
concerning the Merino industry.
Mr Philip Toland, President of the
AASMB said, Today our Merino
industry focuses on the production
of wool plus meat, with the latter
component becoming more
important over the past 5 10
years. The Merino ewe also has a
major role as a maternal breed since
more than 75% of all lambs bred
for human consumption in Australia
are derived from a Merino ewe.
Hence the Merino as a breed is also
the cornerstone of the prime lamb
industry.
As highlighted at major Merino
shows, in recent years, there are
more stud stock producers moving
to the Poll Merino genetics as a
means of further increasing gains in
the all purpose characteristics of
the Merino breed.

Never the less the Merino is


essentially a wool growing breed of
sheep with various meat production
capabilities. What sets the Merino
apart from other breeds is the
unique wool growing capacity of
the skin, which produces white wool
fibres that are fine, dense and long.
Heavy cutting fleeces of high quality
wool are the hall marks of Merino
wool production.

Control. It also represents on


committees with AWI (the Industry
Consultative Committee and
the Merino Consultative Group),
Australian Merino Sire Evaluation,
the Australian Wool Forecasting
Production Committee and Rural
Youth Leadership. Recently a
thorough and extensive document
was submitted to AWI reviewing the
genetic programs for Merinos.

The role of meat production,


reproduction and disease resistance
are important aspects that are
continually receiving attention to
improve the Merino breed,
Mr Toland said.

The National Flock Register is


maintained by the AASMB to provide
a reliable database for statistical and
stud information for the stud Merino
industry. This information is also
used in the wider industry.

The benefits that commercial


woolgrowers are receiving from
surplus ewes in todays markets are
outstanding. It is also heartening to
see younger sheep producers being
involved in this dynamic and diverse
Merino industry, he said.

Promotion of the Australian Merino


nationally and internationally
highlights the versatility and
profitability of Merino enterprises.
In April and May 2014 the AASMB
headed a most successful delegation
of over 80 participants to the 9th
World Merino Conference in South
Africa, which included both stud and
commercial breeders of Merinos.

The AASMB has developed and


approved standards for the
Australian Merino that includes
definitions, categories and
standards. These are readily
available on our website www.
merinos.com.au. These standards
aim to foster the improvement of
the Australian Merino breed. The
pinnacles of these standards are
displayed at the major Merino shows
around Australia, the largest in the
world being at the Australian Sheep
and Wool Show at Bendigo Victoria.
The AASMB concentrates on core
issues affecting the Merino industry.
These are advocacy, promotion,
breed standards and flock registry.
The AASMB continually advocates
nationally in the areas of OJD
Management, Flystrike Prevention,
Sheep Welfare Standards, Live
Sheep Exports and Wild Dog

This tour took in several cultural


aspects of South Africa, both
before and after the conference and
included some interesting visits to
farming properties. The different
Merino breed societies in South
Africa combined cooperatively
to host the conference. Speaker
presentations can be found from
the Merinos website and these
presentations make interesting
reading.

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www.awta.com.au
ANNUAL www.awta.com.au
REVIEW
2014 43
AD044
AD044

FEDERATION OF
AUSTRALIAN WOOL
ORGANISATIONS
Members of the Federation
Of Australian Wool
Organisations (FAWO)
have played an important
role within FAWO to
address various wool
industry issues.
Over the past few years FAWO has
also developed a good working
relationship with many industry
groups and government bodies.
As a result this has raised the profile
of FAWO and its achievements.
Its more important than ever
that the wool industry along with
other industries, government and
the community work together to
maintain Australias biosecurity
integrity. In saying this, each FAWO
Member plays a role within the
industry and this was recognised on
4 March 2014, when FAWO became
the recipient of an Australian
Biosecurity Award.
The Hon. Barnaby Joyce MP,
Minister for Agriculture made
the presentation to the FAWO
Chairman, Robert Ryan at the
Australian Biosecurity Awards
Ceremony on Tuesday 4 March
2014, which was held as part of
ABARES Outlook 2014 in Canberra.
Border Compliance Division,
Department of Agriculture received
11 nominations from which 5 awards
were presented. Border Security,
Seven Network received a Lifetime
Achievement Award.

The AUSVETPLAN Wool Industry


Enterprise Manual has been
completed and is currently with the
Technical Review Group at Animal
Health Australia.
Work on the EAD RD&E Strategy
continues.
A prototype bale sprayer has
been built to determine whether
it could be effectively used to
spray citric acid over the bale of
wool for the decontamination
process during an EAD outbreak.
Tests are currently being
undertaken on coverage and bale
penetration.
A project on the traceability of
wool bales from farm gate to
export will be undertaken in
the second half of 2014. The
purpose will be to identify
any gaps that may impact on
traceability during an EAD
outbreak.
Funds have been received from
IFC which have been allocated to
an EAD education and training
program to be delivered in
Victoria.
FAWO members also work closely
with Animal Health Australia
and Department of Agriculture
on Biosecurity and FMD issues.
Some members belong to various
industry groups working on EAD
preparedness These include: The
Valuation and Compensation Writing
Group, the ACVO EAD Advisory
Group and the Exercise Odysseus
Communications Group.
As an example of the collaboration
a publication was recently published
Preparing your business to survive.
Risk management planning for an
emergency animal disease outbreak,
April 2014 with the assistance of
WoolProducers Australia and FAWO.

The FAWO China Australia Joint


Working Group have been active
and continue to meet at least twice
during the year. A meeting was
recently held in Cape Town and
another one will be held at the
Nanjing Wool Market Conference in
September 2014.
The Indian MOU Joint Working
Group continues to move slowly.
With the recent government election
in India it is expected that the work
on an agreed action plan will be
finalised during the year.
WoolProducers Australia President,
Geoff Fisken and Jo Hall have also
been actively involved with IWTO
on various issues raised in the
Sustainable Practices Working Group
and the Wool Trade Biosecurity
Working Group.
We need all sectors to work together
and FAWO creates this opportunity
to come together and present an
Australian united position. Funding
is always a big issue and FAWO is
no different to any other industry
body. There are many achievements
through the combined efforts of
Members and I thank Members for
their continued support.
To find out more about FAWO
and becoming a Member please
contact the FAWO office on
(03) 9311 0103 or visit our website
www.woolindustries.org/FAWO.htm
Robert Ryan
Chairman

NATIONAL WILD DOG ACTION


PLAN IMPLEMENTATION BEGINS
The Plan takes a nil-tenure approach.
For example, wild dogs dont abide
by farm boundary lines or regional
or state borders. Nil-tenure takes
this into account and uses an overall
landscape approach.

Photo courtesy Invasive Animal CRC


Feral Images: Houston

Since February 2013


WoolProducers Australia
has been working
with critical industry
stakeholders to develop a
National Wild Dog Action
Plan (the Plan) to combat
the economic and personal
devastation caused by wild
dogs across rural Australia.
WoolProducers identified a gap in
the management of wild dogs, being
a national coordinated approach
where all states, territories and the
Commonwealth work together,
and initiated the consultation for
the Plan. Much work is done by
community groups, biosecurity
groups, and regional environment
groups to address this significant
pest issue.

The Plan provides a framework that


brings together all stakeholders,
and all jurisdictions, so that they
are working on the same page and
making best use of always limited
resources. The Plan offers the
opportunity to reduce duplication
and eliminate inefficiencies brought
about by uncoordinated efforts.
Indeed, this is a model that could be
replicated to tackle other vertebrate
pests.
Just 12 months in the making and
three months gaining support from
the Australian Agriculture Ministers,
the next exciting phase of the Plan
was confirmed on 4 July, with
the Minister for Agriculture, the
Honourable Barnaby Joyce officially
launching the Plan and announcing
the allocation of a $280,000 (GST
exl) investment grant. The money
will be used to begin initiation of the
Plans key foundation action items.
At the launch, Minister Joyce said
he was proud to be able to provide
Federal support to launch this
important industry-driven initiative.
Its clear that there is a real need for
a co-ordinated approach to this issue
and I congratulate WoolProducers
Australia for taking such a leading
role in development of the National
Wild Dog Action Plan,.
It is expected the initial phase of
implementation will take up to nine
months, overseen by an appointed
interim Chair.

The team working on the


implementation consists of
representatives from the small and
large production animal sectors,
delegates from the Department of
Agriculture and Vertebrate Pests
Committee as well as a research
and development corporations
representative.
The outgoing Project Steering
Committee chair, Jim McKenzie,
WoolProducers Vice President
said, The next stage of the Plan
is going to be in good hands, we
are confident in handing over
the implementation to this group
who between them have excellent
on-the-ground management
and dog experience, they really
understand the devastation that
wild dogs cause. The group is also
committed to dealing with the very
serious problem of wild dogs in a
coordinated way.
Having all State Agriculture or
Environment Ministers signed off on
the Plan and endorsement from the
Federal Government makes this a
first in pest management in Australia
and a possible future model for
tackling other pests.
The investment grant will be
administered by the Invasive Animals
Cooperative Research Centre to
coordinate the management efforts
of the industry led-Implementation
Steering Committee. The Committee
will be supported by a stakeholder
consultative group who will be
confirmed by the implementation
team.
It all comes down to sharing
problems, sharing solutions and this
is what the Plan delivers:
DOING THINGS SMARTER.

ANNUAL REVIEW 2014 45

Michael Jackson
Chief Executive Officer

AUSTRALIAN WOOL
TESTING AUTHORITY LTD
AWTA Ltd is a Company Limited by
Guarantee established to assist and
promote the development of the
pastoral, agricultural, manufacturing
and industrial resources of
Australia, in particular, by providing
independent objective data and
information services which will
facilitate the efficient production,
marketing and processing of wool,
other fibres, textile products and
related materials. The company is
owned by the various sectors of the
Australian wool industry each of
whom has a director on the board.
Over the last 57 years, AWTA
Ltd has built a highly successful
business providing independent
test information to its customers,
primarily the Australian wool
industry. The company has
established and maintained a
national and international reputation
for technical expertise, commercial
independence and professional
integrity, while its corporate
structure facilitates the minimisation
of the fees that it charges for its
services.
During the last 2 decades wool
production in Australia has fallen
steadily and significantly, causing a
consequent fall in testing volumes
and AWTA Ltd revenue.

The company has responded to


this situation with the objective of
minimising fee increases for its raw
wool clients by:
reducing costs by improving
labour productivity and
significantly reducing
management overheads; and
diversification into related
testing markets to improve
profitability by growing revenue
from non-wool sources.
AWTA Ltd, as a consolidated group,
now comprises 3 operating divisions
in Australia (AWTA Wool Testing,
AWTA Product Testing and Agrifood
Technology), its wholly owned
subsidiary NZWTA Ltd and its joint
venture, JinAo Testing Co Ltd, which
is managed through AWTA Product
Testing.

Australian Wool Production


During the 2013/14 season the
volume of Australian wool tested
by AWTA decreased by 4.4% from
370 to 354 million kilograms.
Fair seasonal conditions were
experienced across most wool
producing areas with poor seasonal
conditions in Northern New South
Wales and severe drought in
Queensland.
The volume of wool tested
decreased in all Australian States
except Western Australia where
there was an increase of 2.2%.
The greatest decreases were in
Queensland (-27%) and Victoria
(-7.4%). Care must be taken when
interpreting the volume of wool
tested by state due to the movement
of wool across state borders for
storage and sale.
The number of core tests conducted
by AWTA decreased by 5%
compared with last year and the
average lot size increased slightly
from 5.76 to 5.78 bales/lot.

Figure 4 Wool ComfortMeter

Figure 5 Wool HandleMeter

Wool ComfortMeter and


Wool HandleMeter

The Wool ComfortMeter counts the


number of fibres protruding from
a fabric that could cause wearer
discomfort, and then accurately
predicts a consumers response
crucial information for next-to-skin
fabric manufacturers.

Blue-sky research aimed at


guaranteeing the comfort of
wool to the consumer is now
a commercial reality with
the Australian Wool Testing
Authority (AWTA) taking over
the marketing and manufacturing
of the Wool ComfortMeter
and Wool HandleMeter during
2014. Developed by Australias
Cooperative Research Centre for
Sheep Industry Innovation (Sheep
CRC), the technology is set to
revolutionise the production and
marketing of wool garments, with
strong interest already received
from leading fashion and sports
brands, as well as wool processors
and mills.
Used together the Wool
ComfortMeter and Wool
HandleMeter objectively and
accurately measure the comfort
and handle of light-weight wool
garments, and provide an effective
method of assuring next-to-skin
comfort and predictable feel for
the consumer.

Volume of wool tested by state


Tonnes

Change

2012-13

2013-14

Wool handle had traditionally been


measured subjectively by judges,
who often had differing views on a
fabrics smoothness, softness, warm
feel, dry feel, hairiness, tightness
and perceived weight. The Wool
HandleMeter overcomes this with
objective data.
The accuracy of the ComfortMeter
and HandleMeter in predicting the
feel of garments was validated by
the Sheep CRC through a series
of wearer trials where volunteers
have rated the comfort and nextto-skin feel of various garments
while exercising in a controlled
environment.
As the largest wool-testing
organisation in the world, AWTA
will provide garment testing services
to wool processors, knitwear
companies, fashion houses and
garment retailers through its
facilities in Melbourne, New Zealand
and in China.

Lots tested by state


Lots

Change

2012-13

AWTA will also manufacture and sell


the equipment to those parties that
wish to purchase the instruments for
their own in-house testing.
The Sheep CRC developed the
technology in conjunction with the
CSIRO, Australian Wool Innovation
(AWI), the Australian Wool Testing
Authority (AWTA), Deakin University
and the Department of Agriculture
and Food WA (DAFWA).
The Sheep CRC conducted
workshops to showcase the
equipment in Seattle, New York and
London, which were attended by
brands including Nike, Nordstrom,
Macys and Brooks Brothers in the
United States, and Jaeger, Next,
Arcadia and Bodin in the United
Kingdom.
The companies involved immediately
recognised the potential value
of the Wool ComfortMeter and
HandleMeter for achieving a high
level of quality and consistency
in their branded wool garments;
improving customer satisfaction;
reducing customer returns;
expanding sales and enhancing their
competitive edge in the apparel
retail.

Lot size by state


2013-14

Lot Size

Change

2012-13

2013-14

Qld

-27.0%

13,354

9,755

Qld

-22.9%

11,366

8764

Qld

-5.3%

6.47

6.12

NSW

-2.6%

106,328

103,565

NSW

-5.9%

129,186

121549

NSW

3.0%

4.73

4.87

Vic

-7.4%

127,195

117,834

Vic

-5.1%

119,515

113415

Vic

-2.4%

6.06

5.92

Tas

-2.4%

10,473

10222

Tas

0.4%

5.74

5.77

-2.7%

6.75

6.57

Tas

-1.5%

10,493

10,338

SA

-4.8%

38,498

36,664

SA

-2.3%

31,750

31021

SA

WA

2.2%

73,921

75,533

WA

-1.3%

62,926

62091

WA

3.0%

6.66

6.87

Australia

-4.4%

369,789

353,689

Australia

-5.0%

365,216

347,062

Australia

0.4%

5.76

5.78

Footnote: Volumes of wool tested by state is reported by testing location not state of origin. Significant volumes of wool are transferred interstate for
testing and data should not be relied upon as an indicator of a states production.

ANNUAL REVIEW 2014 47

AUSTRALIAN SUPERFINE
WOOL GROWERS
ASSOCIATION
The parlous state of the
superfine woolgrower
becomes more evident
weekly as premiums for this
sector continue to decline.
Superfine woolgrowers continue to
leave the industry or diversify toward
more productive sheep to increase
their profitability.
Many of these growers have
established flocks held by their
families for generations. The loss of
these bloodlines and their unique
genetics poses a threat to the whole of
the finewool industry.
Price differentials for superfine wool
reached an all-time low the week
ending the 13th June 2014 when the
19 micron premium over 21 micron
reached an 11 year low of 10 cents at
the Melbourne sales.
That week also saw one of the highest
percentage of wools on offer in the
fine and superfine categories, 56% of
wools on offer that week were 19.5
microns and finer. This was the largest
proportion of these wools offered
since records began in 1995.
Superfine premiums over medium
wool types have dropped to the lowest
for a decade. Wools measuring 18
micron were just 39 cents above 21
micron the lowest in 20 years.
Forecasters predict superfine prices
to continue to fall in the short term.
These sobering figures depict the
current gloomy state of the superfine
industry.
Many growers have been growing
wool below the cost of production.
Others are determined to continue to
grow superfine wool, some of these
growers altering their breeding to
sheep cutting heavier weights whilst
still producing finer microns.

Frustrated with the current prices


others have chosen to hold wool
in the hope of better prices in the
future.
While the prime lamb industry
remains buoyant more woolgrowers
will be encouraged to move into this
market.
There is potential for merino ewe
numbers to drop below a critical
mass for its sustainable survival.
Apart from the over supply of
finewool the other main feature
affecting prices is the dominance of
China now taking almost 80% of the
Australian wool clip.
This dominance has allowed Chinese
buyers to manipulate the market so
that prices are fixed within a narrow
price band regardless of micron.
Traditional superfine producers are
the growers most feeling the pain.
Lower wool cuts do not allow them
to be profitable and the other wool
characteristics once recognised by
the trade for producing superior
cloth have been discarded. The
Chinese insist that the only
measurement of significance is
micron.
Further, despite changes by AWEX
to superfine specifications to better
differentiate fine crimping wool,
appraises have been reluctant to
grant AS (Australian Superfine)
certification. By grouping these
wools as merino they have only
served to dumb down these special
wools to commodity status.
The next two years will continue to
sort out those growers who wish
to leave or remain producers of
superfine wool.
Eventually the supply demand
balance will be reversed as buyers
realize the critical shortage of
these wools.

One can only hope that once this


happens there will be sufficient
growers left to respond.
Many overseas processors recognize
superfine woolgrowers are not
being rewarded but also realise the
dominance of China.
The ASWGA has a close association
with industry bodies including
FAWO, AWEX, AWTA and AWI
as part of the ICC (Industry
Consultative Committee). The ICC
Committee meets regularly with
input from other key organisations
including Wool Producers.
The Superfine Wool Industry
Strategic Review was released earlier
last year. The review was prepared
by John Powell Woodvale, Yass
and funded by AWI, with much
of the information gathered by
ASWGA.
It also confirmed that prices received
for traditional high quality superfine
merino of 18.5 and finer do not cover
production costs.
Despite low prices Australian
production of superfine wool has
doubled in the last decade.
The trend has however been away
from producing well prepared
traditional fine crimping superfine
Saxon style wool toward a lower cost
broad crimping wool from bigger
merino and non merino sheep.
Recommendations from the review
included a campaign for superfine
merino to help increase awareness
and prices for growers and to restore
traditional superfine wool to the
status it once had.
This organization is determined to
continue to champion the cause of
beleaguered superfine woolgrowers
in the hope that soon there will be
a significant turn around in their
fortunes.

STAKEHOLD
TOGETHER ERS WORK
COORDINATTO DELIVER EFFECTIV
E,
MANAGEMEED AND HUMANE
NT OF WILD
DOGS.

MISSION
The Plan provides direction for the national
management of wild dogs to minimise their
negative impacts on agricultural, biodiversity
and social assets.

GOALS
+ EFFECTIVE LEADERSHIP
& GOVERNANCE

+ PEOPLE AND

COMMUNICATION

+ TOOLS AND METHODS


+ MONITORING, EVALUATION,
REPORTING & IMPROVING

PPORTING
U
S
D
N
A
G
PROMOTIN RIVEN ACTION FOR
Y-D
T
COMMUNITLD DOG MANAGEMEN
LE WI
A
C
S
E
P
A
C
LANDS

ANNUAL REVIEW 2014 49


WWW.WOOLPRODUCERS.COM.AU

Working together for animal health

One way AHA improves animal


and associated human health

is through the development of


campaigns to raise awareness of the
risks posed by emergency animal
diseases. AHAs latest Spotted
anything unusual? campaign
encourages sheep and wool
producers to be aware of livestock
that show signs of disease and
to take action if they observe any
changes in their animals.

h
t
y

u
n
s
u
u
g
al?
n
i

Spotted

We do this through partnershipswith


industries and governmentswhich
help keep Australia free from exotic
disease, build the sustainability of
ourlivestock industries and promote
the humane use of animals for food,
companionship, recreation and sport.

an

Animal Health Australia works


to protect and improve animal
health within Australia.

www.animalhealthaustralia.com.au

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