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Red meat producers warn of fuel crisis escalation this month

Sheep Central April 1, 2026

A RED meat producer survey on fuel availability has revealed most respondents would exhaust their supplies within a week.

The Red Meat Advisory Council said its national survey has revealed Australia’s red meat industry is approaching a critical breaking point.

Producers have warned fuel shortages could trigger widespread animal welfare risks and severe disruption to the supply chain within weeks.

The RMAC survey revealed that 85 percent of producer respondents have enough fuel for just one week and 52pc can stretch their reserves to two weeks. Nearly half (48pc) of survey respondents are uncertain about access beyond two weeks

The survey found that 97pc of respondents depend on diesel and 60pc say petrol is also essential, yet supply is rapidly tightening.

Conducted throughout March on behalf of the Red Meat Advisory Council (RMAC), the survey captured responses from across Australia, highlighting an industry under escalating pressure, particularly among producers in New South Wales, Queensland, Victoria, and Western Australia.

RMAC Independent Chair John McKillop said the findings make it clear: immediate action is needed to secure fuel supplies and protect both livestock and the nation’s food security.

“The situation is rapidly deteriorating,” Mr McKillop said.

“Up to 76pc of producers identified April and May as a peak period when reliable fuel access is absolutely critical.

“Without it, they simply cannot operate.”

Mr McKillop warned that pressure is being felt across the entire supply chain — from feeding and watering livestock to transporting animals — placing many businesses under serious strain.

“This isn’t a future problem — it’s happening now,” he said.

“Producers are already facing difficult decisions, including the potential early slaughter of animals, where access to feed, water and transport cannot be guaranteed.”

With peak demand now underway, Mr McKillop warned that without immediate intervention, the sector will come under severe strain.

RMAC said the red meat sector has welcomed yesterday’s Federal Government decision to defer planned increases to fees and charges for export regulatory services by 12 months. However, with global uncertainty and a lack of decisive action from the government, the sector will face increasing pressure in the coming months.

Fuel supply constraints — driven by rapidly rising prices and tightening availability — are leaving producers unable to secure the fuel needed to sustain operations, RMAC said.

Mr McKillop said discussions with federal and state governments are ongoing; however, he stressed that time is running out.

“What we need now is urgent, practical action to prioritise fuel access.

“This is about protecting animal welfare and safeguarding Australia’s food supply.”

In mid-March, the National Farmers Federation welcomed Minister for Energy Chris Bowen’s announcement that an extra 100 million litres of fuel would be kept in Australia as a first step. But NFF president Hamish McIntyre said the Government must be prepared to pull other available levers both now and if the situation continues to deteriorate.

“Firstly, we strongly encourage the government to continue to work closely with the major fuel companies.

“Failing that, the Government should consider appropriate regulatory options,” he said.

“These may include geographic or sector-specific measures to ensure fuel reaches critical industries.

“Should the situation continue to worsen, food supply should be considered a priority under the Liquid Fuel Emergency Act 1984.”

Mr McIntyre said the situation was rapidly escalating from a fuel logistics problem into a serious risk for Australia’s food production system.

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