Changes to Harness Racing Australia's import fees could cripple the lower end of the export market out of Otago and Southland, a southern bloodstock agent says.
The levies, which take effect on April 1, mean the fee to register a New Zealand-bred pacer or trotter when bringing it into Australia could be as high as $A2200 ($NZ2768).
Australian buyers of New Zealand colts and geldings will have to fork out the top amount of $A2200, while fillies and mares up to the age of 4 will incur a fee of $A1650. Mares over the age of 5 will attract only a $A275 fee.
This a considerable increase from individual state fees, which at present are about $A400-$A500 for colts and geldings and about $A100 for mares.
Winton bloodstock agent Geoff Gibson-Smith said Otago and Southland owners would certainly notice the change in demand from Australia.
''It's definitely going to have a bearing on the cheaper horses as far as sales go,'' he said.
''Those cheaper horses getting sold to Australia for $10,000 to $15,000 or less. It's definitely going to change things.''
A boat service out of Southland to Australia was no longer operating, so the average travel costs for horses heading to Australia - be it from Christchurch or Auckland - was about $6000 plus GST, Gibson-Smith said.
''They've all got to go by plane now, so that's had an effect over the last few months as well. This is a double-whammy.''
Throw in the impending import fees, along with a $450 Harness Racing New Zealand export fee and the cost of transporting the horses to Christchurch and Auckland, and the import costs for an Australian owner buying out of Southland start to reach five figures.
''An Australian client now isn't going to get much change out of $10,000,'' Gibson-Smith said.
As harness racing battles to maintain its market share in Australia against a healthy greyhound industry, Gibson-Smith cannot understand who will benefit from the increased fees.
''I don't see it being any help to anybody,'' he said.
''What they're doing is trying to push towards incentives for the breeders ... but really, I can't see it happening.
''Their fields over there are small enough now. They need our horses.''
Of the 287 starters at harness meetings across Australia yesterday, 85 were New Zealand-bred.
HRNZ chief executive Edward Rennell said his organisation had been strongly against the introduction of much steeper import fees, and an Australian Standardbred Breeding Panel report had originally mooted fees of $A5000 for colts and geldings.
''At the end of the day, it's their right to make that call, but we'd prefer it to be much lower,'' Rennell said.
''But it's a better outcome than what we were looking at.''
He said the lower end of the market was more likely to be affected, as a $A2200 fee on a horse bought for $100,000 would be a minor add-on.
''If you're purchasing a $10,000 horse, it could be a deciding factor.
''For many industry participants, the export market is core to their business.''
Rennell said the $450 HRNZ export fee had remained at that level for about 15 years.