Racing Australia has accepted the move by the Asian Racing Federation to seize control of the Australian black-type pattern, a step that will lead to its Asian Pattern Committee deciding on upgrades and downgrades before the start of next season.
The latest development comes after the breakdown of Australia's system for determining the status of stakes races, with the country having had no functioning black-type committee since 2017-18, and no race downgraded since 2012 despite dozens of upgrades.
Having put Racing Australia on notice in a letter in October that it might take the step if RA did not respond adequately—by a Dec. 5 deadline—to its concerns over the country's lack of a black type committee compliant with APC ground rules, the APC announced Dec. 17 it had assumed control of the Australian Pattern.
It said the measure of taking control of the Australian black-type pattern is intended as a temporary step until Australia establishes a functioning black-type system in accordance with APC ground rules. With the ARF expressing a wish for such a system to be put in place "in the near future," the threat remains that failure to do so would lead to Australia being demoted to Part II of the International Cataloguing Standards book (the Blue Book).
RA, in a statement from chairman Rob Rorrison, accepted the ARF's decision and vowed to "collaborate with the APC during this time," and acknowledged that failure to adopt a system that satisfied APC ground rules "could lead to other actions being taken."
The statement said RA still wanted to appoint "an Australian Black-Type Advisory Group, whose members will be drawn from appropriate stakeholder groups".
Some industry figures withheld comment until discovering more about the mechanics of how the APC will tackle the situation. But Wednesday's announcement is likely to be welcomed by breeders, auction houses, and other stakeholders as at least a step in the right direction toward resolving Australia's black-type stakes impasse, seen by many as a victim of interstate politics within the widely criticized structure of RA.
Yet it is also a major issue for a racing jurisdiction as large, as influential, and as old as Australia. Likewise, it is a setback for Racing NSW, whose 18 "upgraded" races since the start of last season have featured among the ARF's concerns.
RNSW did not respond to ANZ News's approach for comment Wednesday. Racing website Betsy quoted RNSW CEO Peter V'landys as saying: "This intervention may be the nucleus for the PRAs (Principal Racing Authorities) to finalize a set of guidelines."
Racing Victoria, the other state with the power of veto at RA, reacted to the news by calling for an independent pattern committee to return decision-making on black type to Australia.
As a first step, it appears the APC will have to undertake the substantial task of sorting through and reconciling Australia's vast collection of black-type races—tending to the status reviews that have not been conducted in the seven years the country has been without a functioning black-type stakes committee. This would include addressing which races ought to have been downgraded since the last one in 2012.
Wednesday's announcement may spell the end of group 1 status for a series of Australian races including the Sydney Cup (G1), and puts on downgrade notice other events including the VRC Derby (G1).
In its letter to RA, the ARF said the last Australian race downgrade had occurred in August 2012, since when there had been 79 races elevated, including seven to group 1. The letter said, based on information provided by RA, "we consider the following seven races would be eligible for downgrade," having failed to satisfy the APC ground rules:
Group 1: ATC Sydney Cup, ATC The Metropolitan, the WATC Railway Stakes
Group 2: Adelaide Cup, WATC Derby, MRC Herbert Power Stakes
Group 3: Launceston Cup.
The ARF added a further ten races "should be subject to warning letters" about potential downgrades, including the group 1 Victoria Derby, Queensland Derby, SAJC Australasian Oaks, and WATC Winterbottom Stakes. That list also included the group 2 Brisbane Cup, and Caulfield's Autumn Classic.
The ARF's Wednesday statement read: "The Asian Racing Federation advises that, given the exceptional circumstances that exist, the Asian Pattern Committee will, for the time being, make decisions regarding the status of all black-type races in Australia.
"This means that the APC will now be responsible for making status change decisions (including upgrades and downgrades) for all group 1, group 2, group 3 and listed races in Australia.
"These decisions will be reported to the International Grading and Race Planning Advisory Committee of the International Federation of Horseracing Authorities, which will subsequently report any significant decisions to the Society of International Thoroughbred Auctioneers, prior to publication in the International Cataloguing Standards Book. IRPAC and SITA have been informed of the ARF's decision."
The statement added: "The APC will commence its decision-making for black type races in Australia so that any status changes are determined prior to the start of the 2026-27 Australian racing season.
"This course of action has been adopted in circumstances where there has not been a properly functioning black type quality control system in Australia since as far back as 2017-18. While the ARF has been extremely patient and provided significant assistance to try to resolve this matter, it determined that action now had to be taken.
"The action to be undertaken by the APC, under the ARF's authority, is intended only as a temporary measure."
Potential Demotion
The ARF said its "strong preference" was that Australia, as a Part I country in the Blue Book, "establishes a functioning black type quality control system operating in accordance with the APC ground rules in the near future, and for the above arrangements (the APC's control of the system) to end.
"However, absent such resolution, the ARF will consider other actions that it may need to take."
Such actions could, catastrophically, include demoting Australia to Part II of the Blue Book. The move comes after the Australian black-type stakes issue was discussed at an ARF meeting in Hong Kong Dec. 12.
In its letter to RA in October, seen by ANZ News, the ARF had forewarned of the step. The letter said that "failing satisfaction" on its request for Australia to establish a functioning black-type committee in line with APC ground rules, the APC may move to "restore effective black type quality control for Australian races" by not considering any of RA's applications on gradings, and may begin making decisions on Australian Group status itself.
It said those decisions would "require the approval of the majority of the APC, with RA not being permitted to vote".
The ARF's statement did not make clear whether that process would now be the one used as the APC assumes control of the Australian Pattern.
In its October letter, the ARF noted the APC's ground rules stated decisions relating to status below group 1 were made by national bodies—except in "exceptional circumstances". It said it considered its list of grievances to "constitute the requisite exceptional circumstances".
Most alarmingly for the Australian industry, the letter, signed off by ARF's Hong Kong-based secretary-general Andrew Harding, concluded: "RA may be required to show cause as to why the APC should not recommend to the IRPAC, that it endorse, and the Society of International Thoroughbred Auctioneers, that it ratify, that Australia be demoted from Part I of the Blue Book until such time as it has in place a black type system which addresses the concerns set out above.
"The ARF recognizes that the demotion of Australia from Part I of the Blue Book would have very significant consequences not only for RA, but the entire racing and breeding industry in Australia, the ARF region, and potentially beyond."
Such a scenario would put Australia on a par with jurisdictions such as Malaysia, India, Panama and Puerto Rico in that all its black type races would be recognized globally as merely listed.
Among many ramifications, industry stakeholders fear this would weaken the value of Australian stock as foreign investors lose confidence in Australian racing, while also dissuading Northern Hemisphere stud farms from shuttling stallions to the country.
Rorrison responded to the ARF's decision on Wednesday by saying RA "fully understands" the move, would work with the APC "during this time", and wished to appoint an "Australian Black Type Advisory Group".
"Racing Australia fully understands the position taken by the Asian Racing Federation, a position that was fully supported by the International Federation of Horseracing Authorities, regarding the lack of Australian black type quality control which has arisen through there being no approved Australian black type guidelines which comply with the APCGR nor functioning management protocols," his statement read.
"Racing Australia views this significant decision by the ARF very seriously and commits to collaborate with the APC during this time. It acknowledges that while decisions in relation to the status of its black type races by the APC under the APCGR is not for any fixed period, it is the ARF position that the adoption of APCGR compliant Australian black type guidelines by Racing Australia must be progressed as a matter of priority and failure to do so could lead to other actions being taken.
"Racing Australia retains the desire to appoint an Australian black type advisory group, whose members will be drawn from appropriate stakeholder groups, to work with Racing Australia as it continues to progress this matter."
Racing Victoria said it was committed to working with RA to resolve the crisis. "We remain committed to working with RA on a solution that would see the management of the Australian Pattern and black type classifications return to Australia," it said in a statement.
"We remain of the view that the stakeholders in Australian racing—those who in invest in and sustain our sport—should be genuinely involved in developing and delivering a workable long-term solution for our industry.
"It is our view that RA should explore an Australian independent Pattern committee, comprising suitable industry representatives, to oversee the black type guidelines and decision-making with greater scope than an advisory role."
