Agricultural trade relationship between Australia and Indonesia is improving based on the Friday announcement of Australian Agriculture Minister Joel Fitzgibbon that Jakarta will increase the number of its cattle imports to 25,000 heads in the next three months.

Besides adding more animals, Indonesia will not place weight restrictions on the imported live cattle.

Indonesia drastically cut its importation of Australian live cattle two years ago, affecting the business of Aussie cattle growers. The Indonesian government initially claimed the move is to make the Southeast Asian nation self sufficient, but reports said it is Indonesia's way of hitting back at Canberra because of the Australian government's temporary suspension of live export trade with Indonesia over the manner that Australian cattle are slaughtered in local abattoirs.

Mr Fitzgibbon said the action is the result of Prime Minister Kevin Rudd arranging for the higher cattle import in his trip to Indonesia in late June. He said Mr Rudd raised the issue directly to Indonesian President Susulio Bambang Yudhoyono, and the hike in imports is the result of his negotiation.

"Demand is growing so fast there. We can grow the Indonesian industry while at the same time growing the number of cattle we sell to Indonesia, so it's a win-win for both countries," the minister said.

The higher export quotas will be implemented for the months from October through December 2013.

"The Australian Government understands Indonesia's desire to stabilise the priee of beef during Ramadan and into the future ... The Rudd Government and Australian industry are keen to work with Indonesia to plan for longer term certainty in the market to ensure Indonesia's requirements are met," Mr Rudd said in a statement.

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