The Indonesian government has signalled some willingness to reconsider reduced quotas placed on exports of live cattle from Australia.
Indonesia has halved its export quota from Australia since animal welfare concerns provoked the suspension of the trade last year. Extra regulations were recently imposed on cattle from Australia.
The ABC reports the cattle trade was raised in talks between Indonesian government representatives and federal trade minister Craig Emerson in Canberra on Friday.
Trade minister Gita Wirjawan said both nations are open to constructive discussions on the industry.
He said Indonesia wants to dramatically increase its beef consumption and believes it will always need to import live cattle.
"I don't think we'll not be ever needing anything from the outside world, including cattle. Judging from the demand side of the game, I think there's a huge upside opportunity here," he said.