MLA has rejected a request to use contingency funds to help cattle growers affected by the suspension of live exports.

Agriculture Minister Joe Ludwig has written to the MLA proposing it release $5 million in contingency funding.

Senator Ludwig said the MLA was "critically placed" to help the industry through the suspension period.

The minister also warned he was prepared to force MLA to release the funding.

MLA chairman Don Heatley said in a statement this afternoon his organisation had declined the minister's request.

"The industry's priority is to direct available resources into implementing urgent measures in Indonesia to assure the welfare of Australian cattle and give government the confidence to reopen the trade," Mr Heatley said.

"Reinstating this trade under an accredited supply chain is the most effective means to provide financial security to cattle producers and businesses across northern Australia."

Mr Heatley said the MLA was focused on resuming the live cattle trade with Indonesia, but would "engage with government to find a practical solution".