Foreword
This is the second kangaroo
industry Strategic Plan, the first having been funded by the Australian
government and released in 1994. This Plan will guide industry, government,
researchers, consultants and R&D priorities for the kangaroo industry
over the next five years. The Plan was developed in extensive consultation
with the kangaroo industry.
This project was funded by
RIRDC using industry levies matched by the Australian Government.
This Plan is an addition
to RIRDC’s diverse range of over 1200 research publications and forms part
of our New Animal Product R&D Program which aims to accelerate the
development of viable new animal industries.
Most of our publications
are available for viewing, downloading or purchasing online through our
website:
downloads at www.rirdc.gov.au/fullreports/index.html
purchases at www.rirdc.gov.au/eshop
Peter O’Brien
Managing Director
Rural Industries Research
and Development Corporation
Executive
Summary
Five species of kangaroos
are commercially harvested by the kangaroo industry on mainland Australia.
The number harvested is limited by an annual quota determined by the Australian
Government. Over two million kangaroos are usually harvested per annum
by harvesters licensed by a State authority. Harvested kangaroos are processing
into a range of primal and value added products at government approved
processed establishments which must have an approved quality assurance
system and Hazard Analysis Critical Control Points (HACCP). The establishments
are audited by government inspectors to ensure meat hygiene practices.
Kangaroo meat is sold in
Australia for human consumption to the food service industry and retail
outlets. The meat is also marketed in Australia for the pet food industry.
Since 1959 kangaroo meat has been exported for human consumption and pet
food with 5,000 to 6,000 tonnes exported annually in the early 2000s. Between
1.5 million and 2 million skins were exported annually during these years.
This is the kangaroo industry’s
second Strategic Plan. The first was released in 1994 and has been fully
implemented.
This Strategic Plan has been
developed through extensive consultation with the kangaroo industry. All
kangaroo processors and harvester organisations were invited to contribute
to it’s content at consultative meetings in each State. The Plan was then
further refined via extensive consultation with the Board of the Kangaroo
Industries Association of Australia and the RIRDC Kangaroo Industry R&D
Committee. It is therefore seen to accurately represent the the industry
and its R&D priorities.
Like the first plan these
priorities have been divided into six areas of ‘Key Issues’ relevant to
industry needs:
-
Industry Image
-
Industry Management
-
Marketing & Quality
-
Industry Practices
-
Resource Sustainability
-
Industry Viability.
Within these R&D Objectives
have been listed and suggested strategies to deliver the objectives detailed.
These strategies have been ranked by priority. The Industry sees these
three strategies to be of clear overriding priority:
information flow to product
users and government on the industries responsible conduct
rationalising industry entry
diversifying markets for human
consumption manufacturing meat.
1.
The Industry
Structure
The kangaroo industry operates
in all States except Victoria and the NT, with the largest numbers of kangaroos
being harvested in NSW and Qld. Each state operates under a Kangaroo Management
Plan controlled by the conservation authorities and overseen by the Federal
authority. Each Plan lays out specific requirements and operational procedures.
For the purpose of this Strategic
Plan ‘The Kangaroo Industry’ will be taken to comprise the range of enterprises
shown in Fig1. These vary in size from ‘one man shows’ to major exporters
employing over 100 staff.
Fig 1: Kangaroo Industry
product flow chart
Outside of these and also
vital to the ‘industry’, but not normally considered a part of it are:
-
Food distributors
-
Food retailers e.g. supermarkets
-
Export agents etc
The ‘Industry’ generally thinks
of itself as being divided into 4 sectors, viz. harvest, pet meat processing,
human consumption meat processing and skins.
Harvest
Virtually all harvesters
are independent small businesses. They are generally paid on a per kg basis
for the kangaroos they supply to processors, although in Queensland there
is also a small ‘skin only’ harvest in which the harvesters remove the
skin in the field and are paid for the skin. Individual harvesters generally
supply one processor (via contract field chillers), however they can and
do readily switch alliances.
All Harvesters must be accredited
and licensed by State agencies. They must operate under strict hygiene
and animal welfare Codes of Practice. Kangaroos are delivered directly
to processing premises or to field chillers with the Codes giving strict
controls over delivery conditions to ensure a hygienic product.
Field chillers are generally
operated by independent contractors, who are often also harvesters in their
own right. The operator will generally be contracted to one processor,
although some are independently owned and operated.
Pet
meat processing
This comprises the largest
portion by volume of the industry with about 60-70% of kangaroos taken
being processed for pet meat. The pet meat sector operates within an independent
supply chain, kangaroos are taken by harvesters, delivered to dedicated
pet meat field chillers and processed within premises registered to only
process pet meat. Hygiene and operational standards are high, but not as
stringent as within the human consumption processing chain. Virtually all
pet meat kangaroo is sold domestically.
Human
consumption processing
Kangaroos processed for
human consumption must be taken by harvesters appropriately licensed, delivered
to dedicated and licensed human consumption field chillers and only processed
in human consumption registered premises.
A human consumption premise
can be registered either for the domestic market only or also for various
export markets. Approximately 70% of human consumption production is exported.
Skins
Skins are sourced from the
meat processing sector or from the skin only harvest (which operates only
in Queensland). There are a range of dedicated skin agents and processors.
Some of the larger meat processors operate their own skin processing premises.
Almost all skins are exported. The level of value adding varies from a
raw (salted) form, to partially processed (pickled or wet blue) or as finished
leather produced by dedicated kangaroo tanners.
Kangaroo leather is widely
used in the manufacture of first class sporting shoes and gloves as well
as dress shoes and accessories. It’s recognised internationally as the
strongest light weight leather available.
The
Resource
The kangaroo industry harvests
five species of macropods (kangaroos) on Mainland Australia and two species
of wallaby in Tasmania. Total populations within the commercial harvest
zones are monitored every year by aerial population surveys and a sustainable
harvest quota is then set by the conservation authorities. The harvest
is closely monitored by highly developed systems to ensure the take does
not exceed the quota.
Total populations vary widely
according to seasonal conditions as demonstrated in fig 2.
Fig 2: Kangaroo populations
vary with seasonal conditions (from Dept Environment and Heritage data)
This variation has not greatly
bothered the industry in the past as takes have always been well below
quotas. However the industry has a long term average annual growth rate
in take of 7%, this coupled with population declines as a result of the
ongoing drought since 2003 have lead to the situation where the industry
is highly likely to take the entire annual quota through the next few years.
In some areas this is even likely to happen well before years end.
Performance
The Kangaroo Industry can
boast a twenty year average growth in productivity of 7% per annum. Few,
if any, industries in Australia (let alone rural industries) can boast
that sort of sustained growth. As demonstrated by the graphs below export
growth, in both volume and value is equally dramatic.
Fig 3. :Kangaroo Skins
Exported and Value of Skins (Aust.$) 1988/89 to 2001/02.(Hercock and Tonts
2004).
Fig 4: Exports of Kangaroo
Meat (for human consumption and pet food 1988/89 to 2001/02 . (Hercock
and Tonts 2004).
It should be noted that the
graphs given in fig 3 & 4 are taken from ABS data, which industry experience
has shown doesn’t fully capture all exports, so whilst the trends may be
accurate, the actual volumes and values may not be.
The kangaroo industry is
currently worth approx $230 M/year to the Australian economy. It creates
about 4000 full time jobs, the vast bulk based in rural and remote regions.
Kangaroo meat, skins and leather are exported to over 60 countries around
the world.
Regulatory
Control
The kangaroo industry is
regulated by various government mechanisms. It’s activities are controlled
by a wide range of Codes of Practices and Management Plans. Some of the
major ones being:
Government control mechanism
area of oversight
Individual State Kangaroo Management
Plans sustainable utilisation of kangaroo resources, these require example
an annual population estimate to determine harvest quotas
Code of Practice for the Humane
Harvesting ensures humane welfare outcomes of kangaroos.
Standard for the Hygienic Production
controls all aspects of meat production of Game Meat for Human Consumption.
Standard for the Hygenic Production
of Kangaroo controls all aspects of pet food production
Meat for Pet Food.
Standard for the Hygienic Transport
of Meat controls all aspects of kangaroo meat transport
Kangaroo Harvester accreditation
requirements each State has a TAFE course which harvesters must pass in
order to gain licences.
Public
Support
Numerous professional and
credible environmental management organisations have published guidelines
for the sustainable utilisation of wildlife resources including:
CSIRO
Australasian Wildlife Management
Society
International Union for the
Conservation of Nature (IUCN)
World Wide Fund for Nature.
In all cases the kangaroo harvest
fits perfectly or very tightly to the criteria for sustainable utilisation.
Indeed the first two organisations have openly endorsed the kangaroo industry
as fitting their criteria. For example CSIRO (Australia’s peak scientific
research body) states:
"Kangaroo harvesting clearly
meets most of the principles of sustainable use of wildlife" (CSIRO 1998).
The Australasian Wildlife
Management Society, the peak representative body for professionals actively
involved in wildlife management, state:
"AWMS supports the idea of
achieving a conservation benefit from a government regulated, high value,
sustainable kangaroo industry" (AWMS 1998).
Even many non government
‘conservation’ groups are vocal in supporting the utilisation of kangaroos.
The South Australia Nature Conservation Society told a Senate Inquiry into
Wildlife Utilisation that:
"We are in full agreement
that regulated commercial utilisation eg. Kangaroo harvesting, on private
lands are a potent driving force for the retention of habitats." (SANCS
1997)
Indeed many Australian NGO’s
dedicated purely to wildlife preservation support commercial kangaroo harvesting
as delivering conservation benefits. The Australian Wild Life Preservation
Society is actually the oldest conservation NGO in Australia, and regularly
comment on the industry.
"There is no problems with
harvesting native wildlife given adequate controls as well as no cruelty
in the gathering." (WLPS 1998)
The level of support for
the kangaroo harvest amongst professional Australian ecologists and conservationists
sometimes astounds international commentators. Public groups vocal in supporting
the industry or with position papers in support of kangaroo use include:
-
The Australian Veterinary Association
-
The Australasian Wildlife Management
Society
-
Australian Association of Veterinary
Conservationists and Biologists
-
Ecological Society of Australia
-
Wildlife Preservation Society
of Australia
-
Wildlife Preservation Society
of Queensland
-
Conservation Council of South
Australia
-
Nature Conservation Society
of South Australia
Research has indicated that
the majority of the Australian public also support the sustainable utilisation
of kangaroos. Market research published by RIRDC has shown that in response
to the question "Do you think kangaroos are a valuable natural resource
and we should make use of their meat and leather", 77% of Australians said
yes, 16% had no opinion whilst only 4% said no (RIRDC 1998). The study
also demonstrated that over 50% of Australians have tried kangaroo meat.
More details on the industry
can be found at www.kangaroo-industry.asn.au
2.
Vision
The kangaroo industry will
be a profitable, sustainable and resilient industry delivering economic
and environmental benefits to all Australians
In ten years time the kangaroo
industry sees itself as:
consistently and profitably
utilising the full sustainably available kangaroo resource.
being broadly recognised by
the Australian public as delivering an essential and valuable environmental
management tool.
marketing 80% of its meat product
within Australia at prices 10% (in real terms) above current levels.
In formulating this vision the
industry recognises that with respect to meat:
sales of kangaroo meat, be it
for human consumption or pet food, within Australia are, on a national
red meat market scale, tiny. There is huge room for growth.
Even if all kangaroos which
could be taken were taken, and all the product was sold domestically, sales
would only represent approx 4.5% of the domestic red meat market.
Exporting kangaroo meat is difficult,
expensive and subject to huge risks in loss of market access or anti-industry
campaigns.
On the other hand acceptance
of the kangaroo industry domestically is strong, improving and easier to
manage. Whilst actually selling kangaroo domestically may, especially in
the past, be more difficult than internationally, the market must be considered
more secure.
3.
Kangaroo Industry S.W.O.T. Analysis
Strengths
-
A great message to sell, ie
the industry delivers positive environmental benefits for the kangaroo
population and rangelands.
-
A unique product.
-
Industry levy means good funding
pool for R&D projects now available.
-
Human Consumption Sector
-
Broad health benefits in meat
identified for human consumption by medical fraternity but public knowledge
still limited.
-
Australian consumers increasingly
more prepared to try new foods.
-
At current prices and supply,
demand is exceeding supply.
Pet Meat Sector
-
Fresh kangaroo meat is addictive
for cats and a great pet food product.
-
Industry is very well regulated
and conducted and delivers a wholesome product.
Skin Sector
-
Kangaroo leather is recognised
as being truly unique, the strongest light weight leather in the world.
|
Weaknesses
-
Supply is independent of demand
(eg. quota fluctuations due to seasonal conditions) limiting responsiveness
in supply to increased demand.
-
Low recruitment rates of new
harvesters.
-
Small low-tech meat processing
systems.
-
Complex and variable regulatory
environment.
-
Industry representative organisations
have low funding levels.
-
Human Consumption Sector
-
Still some problems with consumer
perceptions of kangaroo.
-
Domestic restaurant trade uptake
low.
-
Limited technical information
sharing between processors, eg no benchmarking study.
-
Product variability.
-
Taste can be challenging.
-
No generic product marketing.
-
The bulk of export production
is sold to the consumer as ‘meat’ not ‘kangaroo’.
-
Low price points.
Pet Meat Sector
-
Competing against HC prices
for supply.
-
Low use by major manufacturers.
Skin Sector
-
Product variability.
-
Cost of tag removal and disposal.
-
Most end products are sold to
the consumer as ‘leather’, not ‘kangaroo leather’.
|
Opportunities
-
Strong good-will in government
and public for wildlife utilisation and improvements in rangeland sustainability.
-
Some resource in Vic, SA, NT,
NSW not under current commercial use Management Plans.
-
Some proportion of the resource
falling to shoot and let lie takes.
-
Human consumption
-
Increasing domestic acceptance
of game/ indigenous meats, especially at retail level.
-
Improved exposure to kangaroo
for trainee chefs.
-
Strong potential for domestic
market growth (including smallgoods), see appendix 1.
-
Improved pricing for red meats
generally domestically and demand for kangaroo exceeding supply may lead
to potential for price increase.
-
Buoyant export demand for manufacturing
meat.
-
Room for new product development
eg ready to heat meals.
Pet Meat Sector
-
Pet owners increasingly willing
to pay for premium packaging/image.
Skin Sector
-
Increased value adding prior
to export.
|
Threats
-
Staff shortages due to buoyant
economy, high employment and some harsh working environments.
-
Freight a relatively high component
of product cost and margins are therefore highly sensitive to fuel costs.
-
The Australian education system
is emphasising environmental issues and without a good understanding of
the industry teachers can readily portray it as having negative environmental
or animal welfare consequences.
-
Public liability insurance for
harvesters expensive and may be increasingly called for.
-
Human Consumption Sector
-
Loss of access to high value
export markets.
-
High reliance on a few key markets
especially for manufacturing meat.
-
No significant domestic manufacturing
meat market.
-
Lack of confidence amongst consumers
in how to use kangaroo meat may be limiting growth.
Pet Meat Sector
-
Low current supply due to low
quota means that many consumers will have been lost to alternative products.
-
Victorian use of beef cadavers
for pet food
-
Requirement to use blue dye.
Skin Sector
-
Ongoing challenges from Animal
Liberationist’s, eg targeting the skin sector internationally.
-
Substitution with cheaper but
slightly inferior options such as goat or calf keeps a cap on prices.
|
4.
The issues
The industry views its strategic
needs as falling into six key areas:.
Industry image
The kangaroo industry is
one of the few in the country forced to spend the bulk of its marketing
effort simply defending what it does. The industry kills an iconic wildlife
species for commercial gain. It has been demonstrated via several intensive
and independent investigations to operate humanely and sustainably, although
there are still many vocal opponents who campaign actively against it.
Due to the unique and emotive nature of the industry these campaigners
readily attract wide media attention which the industry is constantly having
to counter or address.
Industry
management
Covering the management
of the industry associations, communication within industry and communication
with governments.
Product
Marketing and Quality
Covering all sectors of
the industry, harvest, pet food production, human consumption meat production
and skins.
Industry
Practices
Kangaroo processors operate
under one of the most complex regulatory environments in the Australian
food and pet food industry. Keeping this environment workable is a constant
task.
Resource
sustainability
In a broader context this
could even be taken to cover rangeland environmental sustainability issues
in general. But for the purpose of this Strategic Plan it has been limited
to kangaroo population sustainability.
Industry
viability
Covering all fiscal influences
on industry profitability.
Text in italics in the following
sections after each Strategy/Project indicate date targets and priorities.
"Highest" being those industry perceive as most urgent. Within in each
block of objectives the strategies are listed by level of priority. Footnotes
to individual objectives discuss their relevance to industry development.
5.
Key issues
Industry
Image
Goal: An image highly appealing
to the Australian public and understandable by the international public
| Objectives |
Strategies/projects
to deliver objectives |
| Determine
current domestic public image for the industry and its products |
Conduct
a market survey asking if the public supports the industry. This should
give results on a regional basis and identify what factors influence or
would influence their support.
(research released by
2007, High) |
| Maintain/build
a positive domestic industry image |
Based
on research, design and implement a domestic kangaroo industry image plan,
Identify and map factors needed for achievable outcomes. This should have
as an option a low key response based strategy. Other options to investigate
could include:
an aggressive attempt to capitalise
on the perceived environmental benefits of the industry
attempts to ensure the Australian
education system portrays the industry as an environmental management model
a 'packaged media response kit
and guidelines' to guide individual industry members response to media
inquiry
a PR program which may for example
attempt to harness debate in popular entertainment programs.
All could be stand alone projects
(priority
to be determined in light of first project)
Prepare a Guide of Best Practice
for harvesters in community relations setting standards of how to operate
to improve the industries image and stressing why the standards are important
eg photos of what to do and what not to do and why. (Guide released
by 2009, Medium)
Improve the visual quality
and circulation of the industry newsletter.
(New look Newsletter out
by 2007, Medium) |
| Manage
international industry image |
Formalise
a response strategy to international anti industry campaigns based on case
study research. (Strategy developed by 2007, High) |
Industry
Management
Goal:
Professional
and united industry representation
| Objectives |
Strategies/projects
to deliver objectives |
| Ensure
industry is perceived by government as an 'industry' not just a 'management
tool'. |
Conduct
at least one KIAA Board meeting in Canberra each year. Invite appropriate
government personnel. Present Industry fortunes paper and also deliver
it to Ministers Offices.
(first meeting in Canberra
by 2005, High) |
| A
strong industry representative body. |
Determine
appropriate ongoing funding needs for the KIAA and a fee structure to maximize
membership.
(position in place by
2005, High)
RIRDC to inform industry
members of R&D developments.
(first industry R&D
update out end 2005, High)
Study best practice in industry
representation.
(EO study completed by
2007, Medium) |
Marketing
and Quality
Goal:
Maximise
industry returns
| Objectives |
Strategies/projects
to deliver objectives |
| Human
Consumption
A strong domestic market
in all HC sectors (food service, retail, manufacturing). |
Develop
use of Human Consumption (HC) meat by domestic smallgoods manufacturers.
(increased
domestic HC meat sales by 2008, Highest)
Develop a program of stalls
selling products at all major domestic food fairs which target consumers.
Focus on use of secondary cuts, include local availability information.
(a
schedule for stalls by 2007,Medium)
Ongoing projects to inform
chefs about the industry and it’s products. (medium)
Produce a product development
plan targeting the diet industry, dietitians, GP’s and producers of ready
to heat made ‘diet’ meals. (plan developed by 2007, Medium)
Develop improved product
image via increased exposure in food industry press. (strategy developed
by 2007, Low)
Develop and test-market new
products such as ready to use meals for domestic market or kangaroo burgers
into Pacific destinations. (strategy developed by 2008, Low) |
| Increased
export market diversification, especially in manufacturing meat. |
Facilitate
market access negotiations to targeted new destinations. (strategy developed
and implemented by 2006, High) |
| Pet
Meat
Increased use by major domestic
pet food manufacturers. |
Attitudinal
research on major pet food manufacturers (especially targeting cats) to
identify and act on barriers to use. (research released by 2007, Low) |
Skin
Sector
Decrease the incidence of
faults in raw skins. |
Quantify
significance of the various handling mistakes and transport deficiencies
focusing on the processing sector and direct efforts to minimise them.
End product should be a Code of Best Practice for processors. (Code
released by 2008, High) |
Industry
Practices
Goal:
A
favourable regulatory environment
| Objectives |
Strategies/projects
to deliver objectives |
| Efficient
use of capital |
Commission
research investigating the benefits of rationalising industry entry to
meet resource availability and giving a program to implement recommendations.
Eg limiting the number of processing licences. See footnote
1:
(Report produced by end
2006, Highest) |
| Remove
impost of plastic tags on skin processors. |
Research
and design a more easily disposable and or biodegradable tag to be introduced
in all states.
(new tag in use by 2009,
High) |
| Minimise
the issue of shoot and lie quota. |
Research
the extent of useable resource lost to shoot and lie and recommend on developments
to minimize. Footnote 2. (report released
with recommendations by 2008, High) |
| Ensure
industry is heard on regulatory issues |
Develop
an improved system to facilitate more effective industry input to KMAC
meetings.
At state level address the
following issues:
-
introduction of minimum carcass
sizes in WA & SA as a means of improving resource and industry sustainability.
-
document the regulatory and
behavioural problems which regularly prevent full quota use especially
in SA &NSW and seek to develop changes.
Footnote 3.
(recommendations in place
by 2008, Medium) |
| Seek
to make monitoring systems more efficient. |
Examine
the cost/benefit of the quota setting process.
(report released by 2010,Low) |
Resource
Sustainability
Goal:
A
viable industry built on long term sustainable kangaroo resource
| Objectives |
Strategies/projects
to deliver objectives |
| Efficient
use of capital |
Commission
research investigating the benefits of rationalising industry entry to
meet resource availability and giving a program to implement recommendations.
Eg limiting the number of processing licences. See footnote
1:
(Report produced by end
2006, Highest) |
| Remove
impost of plastic tags on skin processors. |
Research
and design a more easily disposable and or biodegradable tag to be introduced
in all states.
(new tag in use by 2009,
High) |
| Minimise
the issue of shoot and lie quota. |
Research
the extent of useable resource lost to shoot and lie and recommend on developments
to minimize. Footnote 2. (report released
with recommendations by 2008, High) |
| Ensure
industry is heard on regulatory issues |
Develop
an improved system to facilitate more effective industry input to KMAC
meetings.
At state level address the
following issues:
-
introduction of minimum carcass
sizes in WA & SA as a means of improving resource and industry sustainability.
-
document the regulatory and
behavioural problems which regularly prevent full quota use especially
in SA &NSW and seek to develop changes.
Footnote
3. (recommendations in place by 2008, Medium) |
| Seek
to make monitoring systems more efficient. |
Examine
the cost/benefit of the quota setting process.
(report released by 2010,Low) |
Industry
Viability
Goal:
A
sustainable viable stable industry
| Objectives |
Strategies/projects
to deliver objectives |
| Ensure
industry has the freedom to operate |
Prepare
an annual brief covering
-
the industries fortunes in the
past year and directions in year to come
-
improvements in regulatory environment
-
audit outcomes under the various
Codes of Practice
-
market developments
-
societal developments.
Circulation to include:
-
State and Federal Departments
and Ministers
-
important industry customers
-
relevant NGO’s.
The first brief should include
a schematic and easily digestible presentation of the regulatory controls
over the industry.
Ensure key personnel are
updated regularly during the year on important industry issues. These must
be very easily digestible and followed up to clarify any questions. Footnote
5:
(first brief by 2005,
Highest) |
| Attract
new professional harvesters. |
Improve
Harvesters career path eg instigate a Kangaroo Harvesters Apprenticeship
include business management training. (recommendations by 2007, High)
Create a harvester business
model. Footnote 6.
(Model in place by 2008,
High) |
| Improve
the supply chain. |
Detail
the costs of each link in the chain and examine potential improvements.
(report released by 2008,
Low) |
| A
supply chain more responsive to demand |
Examine
means of smoothing out supply variations.
(report released by 2009,Low) |
11.
Footnotes
Footnote 1: Industry
Entry. The kangaroo industry utilises a relatively small resource strictly
limited by government decided quota. Yet only in NSW is industry entry
restricted by regulation in any way, and then ineffectually. A intuitive
argument can be presented that limiting entry will create a more favourable
environment for industry investment and better facilitate higher value
adding.
Footnote 2: Shoot and
lie culls. All State Management Plans allow for pastoralists to destroy
kangaroos causing economic loss if it appears commercial harvesting is
not available. An unquantified number of animals are lost to the industry
annually via these culls. A number of strategies could be employed to reduce
this waste of resource and improve industry product supply. Given the current
gross under-supply relative to demand, doing so would help alleviate a
major (and recurring with every significant drought) development problem
for industry.
Footnote 3: Input into
KMAC’s. Each state government operates a Kangaroo Management Advisory
Committee comprising representation from pastoralists, animal welfare groups
and the industry. Getting industry development initiatives past these committees
is notoriously difficult, time consuming and beyond the resources of the
unpaid individual industry KMAC representatives. An example is introduction
of a minimum carcass size. This has two benefits, it improves the quality
of industry skin product by eliminating under-size skins from the market
place and it help ensures that all females have a chance to reproduce since
the minimum. size is set above the sexually mature weight. Yet WA and SA
steadfastly refuse to introduce a minimum weight and industry doesn’t have
the dedicated resources to effectively achieve this important elopement
outcome.
Footnote 4: Extending
available resource. There are substantial portions of Australia which
do not have Kangaroo Management Plans in place to enable commercial harvesting.
These include all of Vic, the NT and significant portions of NSW. In these
areas kangaroos are killed for agricultural damage mitigation and the bodies
left to rot. Given the industry is currently grossly under-supplied due
to the extended drought and has more demand than it can possibly supply,
this situation is a shamefully waste of a valuable resource. Extending
Management Plans into these regions an important industry development.
Footnote 5: The freedom
to operate. The kangaroo industry utilises an iconic species for food
and leather. As a result it spends a large portion of its ‘marketing’ effort
simply justifying what it does. This places it at a significant disadvantage
to it’s competitors. The industry needs on an ongoing basis to ensure it
retains the simple freedom to operate. This represents the industries single
greatest development need since it is under continual attack from groups
who would have it shut down. The regular updates refereed to in this strategy
would cover issues not necessary discussed in general circulation material
and would include personal follow-up to key people to ensure they have
been read and understood. Such key personnel would include Federal Ministerial
Advisers, key customers such as Adidas etc.
Footnote 6: Retaining
harvesters. Kangaroo harvesting is a unique occupation with very unique
operating conditions. This is even more so in WA and SA where harvesters
are most often based in bush camps rather than operating out of rural towns
as in the Eastern states. Attracting people to this lifestyle in times
of high employment is not easy. Ensuring ongoing product supply is critically
important for the industry, hence anything which can make harvesting a
good career option is an important development for the kangaroo industry.
12.
Guidelines for Researchers and Consultants
Kangaroo Industry R&D
has funding available via the RIRDC, however the industry also encourages
Researchers and Consultants to seek funding from other sources. Researchers
and Consultants are encouraged to use this Strategic Plan as a guide to
the R&D activities the Kangaroo Industry sees as having the greatest
priority. Projects designed to address Objectives and Strategies detailed
in this Plan are most likely to receive funding. Current (2005) highest
priority issues for industry are:
-
information flow to product
users and government on the industries responsible conduct
-
rationalising industry entry
-
diversifying markets for human
consumption manufacturing meat.
However project submissions
on areas outside those raised in this document will also be considered.
Researchers and Consultants and indeed the industry as a whole should not
consider this an exhaustive consideration of Kangaroo Industry R&D.
In any R&D application
it should be remembered that to be successful the project must demonstrate
that it will add significant value to the industry and its profitability.
13.
How this Plan was developed
This Strategic Plan has
been formulated in close consultation with the kangaroo industry. A series
of meetings were held in each State to which all processors and representatives
of the harvest sector were invited. Participants were lead through a facilitated
process to identify their R&D ‘wish lists’ under the various Key Issues.
The results from all meetings
were then consolidated and further refined by the Board of the Kangaroo
Industry Association of Australia (KIAA).
Appendix
1
Domestic
Human Consumption Volumes
Whilst the kangaroo industry
has made huge gains in domestic human consumption sales over the past decade,
there is still considerable room for improvement. This is particularly
so in manufacturing meat sales for small goods production and sales of
cuts to the restaurant sector.
Manufacturing meat sales:
No major smallgoods producer in Australia uses kangaroo on a regular basis.
However it has gained a strong reputation on export markets as an excellent
manufacturing product. It’s low fat content gives it very high water absorption
capacities.
The restaurant sector:
Sales of kangaroo meat to the Australian restaurant sector are well below
what could be expected. Addressing this is identified as a potential priority
in this Plan. Below is an analysis demonstrating the potential for sales
in this sector.
The ATO reports that 29,551
restaurants are registered for the GST.
BIS Shrapnel reports that
36.1% of restaurants describe their cuisine type as "Modern Australian".
Full break-ups being:
Modern Australian 36.1%
Italian 9.1%
Japanese 1.9%
Other 21.1% |
Chinese 14.5%
Thai 4.0%
Malaysian 1.1% |
Seafood 9.2%
French 2.0%
Greek 1.0% |
3) The Restaurant and Caterers
Association report the average seating capacity of Australian restaurants
is 100 and average occupancy is 60%, with restaurants opening
on average 300 days/year.
4) Let us conservatively
assume that 10% of diners eating in a restaurant with kangaroo on
the menu would select the kangaroo and that average portion size will be
200
gm of meat.
5) Let us also conservatively
assume that 15% of ‘Modern Australian’ restaurants and 1%
of all other restaurants could be expected to have kangaroo on their menu
at any one time.
Under these assumptions it
becomes possible to estimate the total domestic consumption of prime cuts
of kangaroo meat in the domestic restaurant sector per year. The equation
reads:
Consumption = {(Modern Australian
restaurants * 15%) + (other restaurants * 1%)] * seating * occupancy *
no trading days/year * rate of selection of kangaroo * portion size.
It only looks complicated,
it’s really a very simple equation giving an answer of:
[(29,551* .361 * .15) + (29,551
* 639 * .01)] * 100 * .6 * 300 * .1 * .2 = 643,748 kg = say 645 tonne
of prime cuts per year consumed in the Australian restaurant sector alone,
on very conservative assumptions which take no account of function menus,
caterers, retail, specialist tourism operations etc.
Compare this with production.
At least 3 million animals/year with at least 40% processed for HC yielding
1.5 kg each of prime cuts (fillets, topside, rump) = 1800 tonne/year.
This analysis suggests that
with very conservative penetration into restaurant menus and conservative
rates of selection of kangaroo by diners the domestic restaurant sector
alone could consume about one third of total current production of prime
cuts. Industry estimates on the other hand suggest consumption is less
than 10%.
14.
References
AWMS 1998. Submission to
Senate Reference Enquiry
CSIRO 1998. Submission to
Senate Reference Enquiry
Hercock M. and Tonts M.
(2004) From the Rangelands to the Ritz – Geographies of Kangaroo Management
and Trade. Geography, Vol 89 (3)
RIRDC (1998). Improving
consumer perceptions of kangaroo products, Rural Industries Research &
Development Corporation. Pub. no97/36.
SANCS (1997) Submission
to Senate Inquiry into Wildlife Utilisation.
Wild Life Protection Society
1998. Submission to Senate Reference Enquiry |
Foreword
