REPUBLIKA.CO.ID, JAKARTA -- PT Austasia Stockfeed, a subsidiary of PT Santosa Agrindo or Santori (Japfa Group) planned to import a thousand head of breeding cattle from Australia at the end of November 2015. The import was made to increase the capacity of breeding Wagyu cattle that has been developed since 2012.

Until the end of November, Santori was the only company in Indonesia which imported breeding cattle. The high cost of import of breeding cattle and also the high cost of the farming of breeding cattle, make only less companies which were willing to import breeding cattle.

"Santori can realize the import of breeding cattle because of government support, especially from Director General of Livestock and Animal Health Ministry of Agriculture, Muladno," said Country Head of Beef Division Japfa Indonesia, Safuan K Suwondo, Thursday (19/11).

Support of the government to simplify the breeding cattle health protocols made the quarantine period in Australia was reduced from 14 days to seven days. Reduction of the quarantine period gave direct impact on the reduction in the cost of quarantine and inspection of breeding cattle from 220 US dollars per head to 50 US dollars per head.

"Although the costs have decreased, the duties on imports of breeding cattle is still expensive. Import duties for breeding cattle is five percent. If the weight of a breeding cattle is 300 kg, then the import duty is Rp 600 thousand per head," he continued.

Safuan explained, although the price of imported breeding cattle has decreased, but the cost to do the cultivation of breeding is not necessarily cheap. Breeding systems with grounded model which are generally carried out in Indonesia because of the lack of land, became a major cause of high cost of production.

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