Australia’s export-oriented crocodile industry depends on public opinion in foreign countries and the actions of legislators in those countries. This is the industry’s primary problem. Two secondary problems arise from this. Australia’s crocodile industry has too little economic potential, and lobbying regulations in Australia are too imperfect for Australian farmers to quickly follow global trends.

The main problem

“Exports of premium-grade crocodile skins are the most significant economic driver of the NT’s crocodile industry.” This statement from the Crocodile Farmers Association of the Northern Territory report¹ can be applied to the entire Australian crocodile industry. After all, the majority of crocodile farms are located in the Northern Territory. This region is home to 14 of Australia’s 25 crocodile farms.  Another 10 farms are located in Queensland and just one in Western Australia.¹

The first commercial crocodile farm was established in Queensland in 1972. In the Northern Territory, the breeding of Crocodylus porosus has rapidly developed since the 1970s.²  Queensland farms typically raise young animals obtained through the Northern Territory ranching program. In 2023, the Northern Territory produced 33,000 crocodile skins. Queensland produced just over 9,000 crocodile skins.¹⁵ About 90 per cent of these crocodile skins are exported, and only 10 per cent are processed in Australia.³

Crocodile skins are used to produce luxury goods, including high-fashion accessories. Some of these items, such as women’s handbags, can fetch over US$100,000. These items are sold at auction alongside world-renowned works of art. In 2021, sales of crocodile skin handbags from one brand at Sotheby’s reached US$50 million!⁴

It’s no surprise that a significant proportion of crocodile farms in Australia are owned by global fashion brands. These companies began acquiring farms in 2010,⁵ a year after Australia adopted the Code of Practice on the Humane Treatment of Wild and Farmed Australian Crocodiles.⁶ Experts considered the code to be significantly outdated even then. Nineteen of the 24 studies and scientific articles that underpinned the code date back to the last century. Some of these articles were published as far back as the 1970s.⁷ The Code stated that it would be reviewed within five years (from the date of publication) and was “expected” to be rewritten within 10 years. This did not happen.

However, foreign investors from the high fashion world ignored this and actively developed the crocodile farming industry in Australia. Thanks to their efforts, the industry’s turnover in the Northern Territory increased from AU$25 million in 2011⁸ to AU$151 million in 2025.¹ And the total volume of international investment from 2015 to 2022 amounted to AU$70 million.¹⁵ While Australia’s crocodile industry, based on the outdated Code of Practice on the Human Treatment of Wild and Farmed Australian Crocodiles, was developing, problems were accumulating outside the country.

Trade regulations for crocodile skin have tightened in export markets. In the EU (and the main owners of Australian crocodile farms are European fashion brands), EU Regulation 338/97 was adopted in 2023.⁹ In the United States, since 2019, some states have banned the sale of crocodile skin products.¹⁰ In China, public campaigns have been launched against the trade in crocodile skin accessories.¹¹ In India, after a four-year ban, the import of such products was again permitted in 2021, but under stricter regulations.¹²

Thanks to these changes, Australia has ceased to be a haven for foreign investors in crocodile skin production. Continuing a successful business has required something previously unnecessary. This involves changing industry standards, which must now meet legal requirements in key export markets and align with global public opinion on the need for humane treatment of animals. By adhering to the new rules, the business will remain profitable. After all, demand for crocodile skin grown according to the new standards is growing.¹³ And producers are responding. Since 2022, the number of certified sustainable companies has increased globally by 22 per cent! And since 2023, 35 per cent of premium fashion brands have implemented electronic systems confirming the ethical sourcing of their products. This means confirming that the crocodiles were raised in accordance with the new, humane standards.¹⁴

Of course, alternative options are possible. Selling leather made according to old standards is unlikely and this is unlikely to have a future as the global market has changed significantly. In recent years, significant investments have been made in developing the crocodile industry in Africa. There are now gigantic farms there capable of raising 100,000 crocodiles! Crocodile leather raised in Africa is not as high-quality as that of crocodiles raised in Australia. Therefore, Australian crocodile leather is 30-40 per cent more expensive.¹⁴ Australian crocodile leather, while always characterised by high quality, cannot compete with products aimed at mass demand. Of course, one could neglect leather production and begin raising Crocodylus porosus for meat, for display to tourists, or for other related purposes. Several businessmen have already done this. But most entrepreneurs continue to raise crocodiles for premium leather production.

Minor issues

Despite the obvious need for a new industry code, this isn’t happening. The Australian Government would be welladvised to do this. Local authorities are expressing impatience. The Northern Territory Government’s Crocodile Farming Industry Strategic Plan 2024–33 notes, “The NT’s crocodile management program requires that industry comply with the Australian Government’s Code of Practice on the Humane Treatment of Wild and Farmed Australian Crocodiles, which is currently under review. CFANT may advance the development of a specific NT industry code, updated with recent husbandry research, as an interim measure if the review is prolonged.”¹⁵

Let’s be honest. The reasons for the repeated failure to update the code are unknown. However, it can be assumed that the main reason is the low economic significance of the crocodile industry and the imperfections of the lobbying mechanism for economic interests in Australia.

In the Northern Territory, the crocodile farming industry employs so few people that it accounts for 0.002 per cent of the NT’s total employment, and the industry’s share of the NT’s Gross State Product is 0.23 per cent.³ With such economic indicators, it’s difficult to attract the attention of politicians. Furthermore, Australia’s lobbying regulations have been criticised for their lack of transparency and ineffectiveness. The national lobbying regulations¹⁶ and the Northern Territory lobbying code¹⁷ received the worst rating. Taking into account 10 key indicators, the federal system ranked last with a score of 17/100. The Australian Capital Territory and the Northern Territory also received the same score.¹⁸

It’s unclear how soon Australian businesses will be able to force changes to the industry code under pressure from external factors. However, it is clear that in the current situation, the new industry code is becoming a Sword of Damocles, deciding the future of the entire Australian crocodile industry. If the code isn’t adopted, the industry will experience significant upheaval. Some farms may go bankrupt. Some farms will join the growing trend of business repurposing. And some farms will be sold to foreign owners (high fashion brands). The companies that remain in business will face reduced profits and tougher competition. But hardly anyone will notice except crocodiles in Australia and fashion accessory enthusiasts in distant lands. It’s woe to live in times of change.

References
1. https://daf.nt.gov.au/__data/assets/pdf_file/0003/1561134/economic-contribution-of-the-nts-crocodile-industry-sept25.pdf
2. https://kb.rspca.org.au/knowledge-base/what-is-the-rspcas-view-on-crocodile-farming/
3. https://www.kindnessproject.org.au/wp-content/uploads/2021/07/Crocodile-Transition-Plan-final.pdf
4. https://www.sothebys.com/en/articles/guide-to-buying-hermes-crocodile-and-alligator-bags
5. https://www.abc.net.au/news/rural/2020-11-10/hermes-mick-burns-plan-to-build-huge-crocodile-farm-nt/12823662
6. https://www.dcceew.gov.au/sites/default/files/documents/crocodile-code-practice.pdf
7. https://www.rspca.org.au/latest-news/blog/crocodile-farming-luxury-goods-at-a-cruelty-cost/#:~:text=Currently%20it%20is%20estimated%20that,for%20high%2Dend%20fashion%20houses.
8. https://dtbar.nt.gov.au/media/docs/publications/reports/nt-crocodile-industry-eca-final.pdf
9. https://eur-lex.europa.eu/legal-content/EN/TXT/PDF/?uri=CELEX:32023R0966
10. https://www.nytimes.com/2019/12/31/us/new-year-state-laws-2020.html
11. https://jingdaily.com/posts/china-hermes-exotic-skins
12. https://leatherindia.org/removal-of-prohibition-on-import-of-fox-mink-and-chinchilla-fur-skins-and-reptile-skins/
13. https://www.verifiedmarketreports.com/product/crocodile-skin-leather-products-market/
14. https://datahorizzonresearch.com/global-crocodile-skin-leather-products-market-48509
15. https://daf.nt.gov.au/media/docs/publications/industry-development/crocodile-strategic-plan-24-33.pdf
16. https://www.ag.gov.au/integrity/australian-government-register-lobbyists/information-lobbyists
17. https://cmc.nt.gov.au/lobbyist-register
18. https://transparency.org.au/lagging-federal-lobbying-rules-leave-door-open-for-corruption-and-undue-influence/