The Department of Agriculture and Water Resources late on Friday announced it has "suspended the live export licence of one company", but did not name the company. But Fairfax Media has confirmed the company is Emanuel Exports, which has been under intense media and government scrutiny ever since horrific footage showing the mass deaths of thousands of sheep was aired in the media. While the suspension of Emanuel's licence is not related to that specific voyage, official investigations triggered by the airing of the footage uncovered what sources said were alleged "multiple breaches" of stocking densities over "several years" under the older and less strict rules on how many animals are allowed on board. Emanuel Exports director Nicholas Daws said in a statement: "Emanuels will cooperate fully with the department in its review," Mr Daws added.

"Emanuels had been advised the company's export licence will remain suspended pending a full review of its response to a recent show cause notice." The department said the company's licence "will remain suspended pending a full review of the company’s response to a show cause notice", adding that it would not provide further comment while the investigation is ongoing. This week, LSS said it would be redirecting its trade to South America because according to the industry the strict new rules the government imposed in the wake of the Awassi Express tragedy had meant a reduction in the number of sheep they could export by about a third. Loading Replay Replay video Play video Play video Political pressure

The announcement came as government backbenchers stepped up their pressure on cabinet to announce an outright ban. Just hours before the announcement, former cabinet minister Sussan Ley and her Victorian colleague Sarah Henderson sent a five-page letter to agriculture minister David Littleproud asking why "a repeat offending exporter had not had its export licence suspended". Loading Fairfax Media has previously revealed that if the full suite of recommendations made in the review commissioned after the Awassi Express disaster came to light, the stricter animal welfare conditions would make the entire trade economically unviable, because the number of sheep that could be allowed onboard could be slashed by as much as 85 per cent. "There is a considered belief that correct application of current regulations would immediately see a significant reduction in sheep numbers shipped as well as a halt in trade during the highest risk northern hemisphere months.

"Correct application of the law therefore, will in itself, effectively activate a phase out of the Australia live sheep trade." Ms Ley has a private members bill, which is co-sponsored by Ms Henderson, before parliament that if passed would phase out the live export industry over five years. Labor has since announced it would support a ban, making the prospect of a legislative remedy possible, because the government has just a one-seat majority in the House of Representatives and it would gain enough support in the Senate. But Ms Ley has faced intense pressure from the government over her rebel bill including when she threatened to vote with Labor in support of amendments to the government's own bill proposing a ban instead of the government's policy of stricter regulations on the live trade. The government had to pull its bill to avoid her crossing the floor. In their letter to the minister, the MPs told Mr Littleproud: "It will only be a matter of time before there is another mass mortality event."