S Kidman & Co managing director, Greg Campbell, says Australian agriculture is still "digesting the doomsday scenarios from Garnaut and the CSIRO", but warns assistance for the livestock sector may fall short.
Speaking to the Agribusiness Association of Australia in Adelaide yesterday, Mr Campbell said "a more sane approach to food production" was needed than what has been presented in the government green paper.
"The reality of grazed landscapes also sequestering carbon as part of the general carbon cycle seems lost in the debate, simply because it's too hard to measure," Mr Campbell said.
"A sane position would, therefore, to require livestock producers to offset a fixed percentage of their methane emissions, which reflected a best guess at the nest emissions arising from grazed landscapes."
But Mr Campbell also said there were positives arising from the ETS that livestock producers could look forward to.
"After some early years of cost and readjustment as livestock producers account for the methane within an emissions trading scheme, there should eventually be a new dawn," he said.
"This will come with the realisation of the stupidity of restricting food production, through livestock, particularly across the cast tropical savannas and temperate steppes of the world were not other forms of agriculture can prevail.
"Science will have progressed to have determined that the carbon cost in free-range ruminant meat production is less severe than that first thought and worth pursuing in an increasingly food-constrained world."