THE fallout of the Indonesia live export ban is still being felt by Australia's largest beef cattle producer.
Australian Agricultural Company today announced a full year loss after tax of $8.4 million.
Managing director David Farley said AACo and other northern cattle producers were still reeling from the 2011 ban by the Federal Government of live cattle exports and the cut in import quotas by Indonesia.
Mr Farley told a media conference the ban had led to a write-down of property values across northern Australia.
He said AACo's properties which were carrying export cattle for Indonesia were written down, while others that had some capital investment were not.
Mr Farley said it was "a reality" that the ban had affected land values.
"It will be felt on the balance sheet of our company and smaller producers until restitution is made."
However, Mr Farley, in an announcement to the Australian Stock Exchange, was positive about the year ahead.
He said AACo had achieved a $63 million turnaround improvement in operating cash flow and had a record herd poised to generate cash this year.
Mr Farley said AACo held back trading cattle to add weight to and sell into a market "we predict will improve following recent rains, and align with the price gains seen on the global market."
"This was the result of a strategic decision in the second half to increase AACo's breeding herd to 330,000 head and maximise calf production in coming years while good grass is available.''
Mr Farley said AACo had grown its herd to a record size while global supply had shrunk and was well placed to take advantage of rising beef prices.
