INDUSTRY “inertia” because of perceived different interests is the biggest obstacle to implementing Dual Energy X-ray Absorptiometry (DEXA) technology to deliver objective carcase measurement (OCM) for the red meat sector, says Federal Agriculture Department secretary Daryl Quinlivan.
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Mr Quinlivan also believes the DEXA model has great capacity to build increased trust between sheep and cattle producers and red meat processors by providing automated and independent data feedback on carcase quality and commercial yields.
That information standard will also help to stimulate and build the genetic quality of Australian sheep and cattle over time to significantly increase farm-gate returns and industry competitiveness, he says.
The red meat sector, like sheep and cattle producers and various meat processors, are assessing their positions on DEXA implementation.
Last week, the Sheepmeat Council of Australia endorsed Meat and Livestock Australia’s proposal for DEXA’s voluntary installation in AusMeat registered processing plants.
The Australian Meat Processor Corporation and the Australian Meat Industry Council have also appointed Ernst and Young to conduct an independent review of the OCM technology.
In addition, MLA has a plan to roll out DEXA to AusMeat-approved meatworks for about $150 million.
Cattle Council of Australia President Howard Smith said his group supported DEXA as it improved efficiencies and feedback provided to the farmer.
Mr Smith said those efficiencies meant farmers could produce the right article and ultimately improve the competitiveness of Australian beef on the global stage.
But he said in terms of the $150m roll-out costs, the council believed a split across producer and processor levies was the fairest option.
CCA also insists that the x-rays are installed in all processors’ facilities, to the benefit of both large and small producers, he said.
Speaking to Fairfax Media, Mr Quinlivan said MLA deserved “full credit” for working up the DEXA proposal and putting it out there for the rest of the red meat industry to consider and work on.
But asked what the biggest enemy was to the system’s implementation, the Department Chief said “industry inertia”.
He also said “and possibly a desire to make sure we’ve got the perfect technology and arrangements in place before we move forward, and then perfect can end up being the enemy of the common good”.
“The concept of objective carcase measurement and the supply of those measurements back to producers to help them make better decisions has the capacity to improve the red meat industry’s productivity,” he said.
“And it will also help to build greater trust in the industry.
“I can’t say that DEXA is necessarily the best technology, although I understand analysis of the various alternatives is showing it is the best technology at present.
Mr Quinlivan said the Senate Inquiry into market consolidation was is also looking at the question of DEXA’s implementation.
He if the OCM tool was clearly shown to be of the benefit to the red meat industry generally, the only remaining questions were; how it would be done and how it would be funded?
Those questions would then need to be considered by industry and the various organisations involved in the process like MLA which they’re now doing, he said.
Mr Quinlivan said the starting date for use of the technology was a matter for the red meat industry to resolve.
But he said DEXA needed to be implemented in a cooperative way because agreements were required up and down the supply chain.
“There’s probably not sufficient awareness among producers yet about the potential benefits for them of using DEXA technology and there seems to be some parties in the processing sector that are yet to be convinced,” he said.
Queensland Nationals Senator Barry O’Sullivan has also pointed to the benefits of OCM data being shared between producers and processors via DEXA technology, in chairing the Senate Committee’s inquiry that’s due to report on June 15.