As Australia stops to watch the 'Cup, Aussie equine industries watch their exports climb

Austrade media release

07 Nov 2006

While the nation fixes their eyes on Flemington, Australia’s equine exporters are busy carving out lucrative international markets for their products.

Australian equine exports in 2005-06 topped $135 million.

The products and services equine exporters are selling range from thoroughbred breeding racing horses, safety stirrups, exercising equipment and feed mineral supplements, to vocational and recreational horse management, jockey training, stud groom training and rehabilitation centres.

Austrade’s equine industry export adviser Geraldine Doumany said promoting thoroughbred sales and the studs overseas is delivering increasing foreign interest in Australian bloodstock.

This is also producing and a flow-on effect with interest increasing in sporting horses, products and services.

She said the principal markets were New Zealand, Hong Kong and Macau, the US, South Africa, United Arab Emirates, the Philippines, South Korea, Japan and Malaysia

"And as a result of growing demand for ancillary products and services, the June 2005 and 2006 Gold Coast Magic Millions Sales combined a tradeshow and networking events,” Ms Doumany said.

“At this year’s June Magic Millions foreign buyers numbered 300, from around 14 countries and almost 25 per cent of total earnings, or $20 million, came from export sales.

“Twenty-five percent were from Queensland studs, 66 per cent from NSW studs, 6 per cent from Victorian studs and 2 per cent from South Australia.

"This demonstrates that the thoroughbred industry has a national focus, while exports are also benefiting rural and regional Australia.”

Austrade chief economist Tim Harcourt said the Melbourne Cup itself was a major event in international trade in more ways than one.

"First, the Melbourne Cup is a reflection of globalisation in many ways. We have foreign horses, foreign trainers, and many foreign punters all trying to win the multi-billion dollar prize," Mr Harcourt said.

"In addition, foreign entrants lift standards, enhance competition and skills and ultimately, the amount of prize money on offer, transforming the Melbourne Cup into a lucrative world-class event.

"Third, the spring racing carnival is a major part of the fashion industry’s year, show-casing Australia’s fashion export talent, which is doing wonders in overseas.

"Finally, there’s business networking that always occurs in hospitality tents (and maybe later in the car park.) Hospitality is the name of the game, and Australia’s fine food and beverage exporters use the Melbourne Cup to raise awareness of their brands.

"And helping facilitate international trade and investment, Austrade’s Business Club Australia (BCA) will be there, working closely with the Victorian Racing Club to promote international business networking and matching through the Melbourne Cup.

"This will add to the success that the BCA had with the Olympics, Rugby World Cup and Commonwealth Games, which have generated over $1.7 billion in trade and investment deals so far."

Interviews with Austrade’s Tim Harcourt or Geraldine Doumany are available.

ENDS

Media contact

Simon Kelly
Tel: 02 9390 2077

For further news and information from the Australian Trade Commission (Austrade) visit www.austrade.gov.au//mediacentre.