Fed: Drought cutting beef farmer incomes 67 p/c: ABARE

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Fed: Drought cutting beef farmer incomes 67 p/c: ABARE

Australia's chief commodities forecaster says the drought has slashed the incomes ofbeef farmers by 67 per cent.

The Australian Bureau of Agricultural and Resource Economics reports beef farms recordedan average loss of $66,000 in the 2002-2003 financial year because of the drought.

Higher farm costs, lower demand from key markets, increased competition from overseasproducers and the stronger dollar also contributed to the sharp fall in farmer incomes.

ABARE executive director BRIAN FISHER says that after a good year in 2001, farmershad to sell off cattle for lower prices when the drought dried up pastures and farms ranout of water.

AAP RTV sw/sb/dl/jmt

KEYWORD: BEEF (CANBERRA)