Acting Primary Industry Minister Jacqui Petrusma said government bodies are actively monitoring the Van Diemen's Land Company dairy, where senior management have sought 'indemnity' over the company's animal welfare policies.

In a letter provided to media and signed by VDL employees, concerns have been raised with Chinese businessman Xianfeng Lu that farm managers "cannot deliver quality dairy products", nor "endorse [the company's] animal welfare policies".

The letter referenced the condition of laneways traversed by dairy cattle and improperly maintained farm equipment.

However, Ms Petrusma said the property was inspected as recently as April this year, and no issues were identified.

"Biosecurity Tasmania advise that the Van Diemen's Land Company properties were inspected by two animal welfare officers and an agency veterinarian in April of this year and no animal welfare issues were identified," Ms Petrusma said.

"I am advised that Biosecurity Tasmania and the Tasmanian Dairy Industry Authority will actively monitor the situation.

"The Hodgman Liberal Government takes animal welfare and compliance with the State's animal welfare legislation very seriously."

The Tasmanian Farmers and Growers Association Dairy Council chair Geoff Cox said Tasmania's animal welfare code is "rigorous".

"The code is put together by farmers and the Department [of Primary Industries]," Mr Cox said.

"We would expect farmers to be compliant with that as a minimum standard."

Circular Head councillor and beef farmer Stafford Ives-Heres said animal welfare in farming is "paramount".

"[The animals] are the ones delivering your product, so you've gotta look after them," Cr Ives Heres said.

The Van Diemen's Land Farms company was contacted for comment.