What are the costs involved with buying a broodmare in America and importing to Australia?
Just as the thoroughbred sales process is very similar between the US and Australia, the same can be said for the associated costs involved in a purchase.
PURCHASE & ASSOCIATED COSTS
As well as the purchase price, buyers are required to pay for pre-purchase veterinary assessments, pregnancy tests and foaling costs, and any other tests as required. With basic assessments costing between U$80 – $250 each, these charges are comparable to Australian rates for the same services.
American sales companies do not traditionally provide longer-term credit options in the same way the Australian companies do. A 15-day term credit can be applied for in advance, otherwise payment is due immediately. There is also the option of arranging finance with Inglis or Magic Millions, or through alternate sources.
AGISTMENT & FOALING
There may be agistment requirements for your mare after she has been purchased and before importation can occur. Agistment costs for the 18-day pre-export quarantine period will be included with your horse transport company costs. If you purchase a mare that is in foal, you will need to keep her in America until she foals before transporting her to Australia. In America, agistment rates are similar to those in Australia (beginning from approximately AU$47 per day). You may also be charged for foaling down at the time of birth.
TRAVEL & IMPORT TAX
The cost to transport your mare from America to Australia is approximately between AU$30,000 – $40,000. Charges from your horse transport company will include pre and post-arrival quarantine and veterinary requirements as well as air freight and staffing costs.
Read more about this topic here: How does my mare purchase travel home to Australia from America?
A GST Import tax is an additional charge, which is charged at ten percent of the total value of the taxable importation (your horse). The charge is payable by the owner of the animal upon entry to Australia to Australian Customs. Your international transport company can assist you with the required paperwork.
Bloodstock insurance is an option you may wish to consider, at both a domestic and international level, particularly during travel. Working closely with a bloodstock agent will assist you with these decisions. Insurance is calculated at a percentage of the value of the horse. Premium rates can range between 2.5% to 4% of the horse’s value. Cover is not compulsory but it may cover your purchase in the results of injury, accident or death. You may also wish to consider a transit policy for travel. Your policy may be subject to geographical limitations, so ensure to discuss these with your insurer and read the PDS to ensure the product is right for you.
Agent Sales commissions are payable and negotiable directly with your agent. The standard rate for commissions to bloodstock agents is 5% of the purchase price of each horse.
Your Bloodstock Agent can provide you with more information regarding the involved costs of your purchase and advise the best options for your budget and needs.