Category Archives: Southern QLD


Updated. 27th June 2013

Other Names

  • Warro Games Meat1

Current Operation

  • Is operating as at June 2013.1
  • Operates as a Kangaroo processing site.1


map SuratSource – Hema Maps. Australia Truckies Atlas


  • L. Micklebourgh & B Micklebourgh.1


  • Processes 1500 kangaroos a week for human domestic consumption and pet food markets2
  • Employs 22 full time2
  • supplies fillets on weekly basis to wholesaler who distributes to Adelaide, Melbourne & Sydney2
  • Produce manufactig meat – 12 t per week – mainly goes to pet stores.2
  • Each carcase for human consumption is worth $37 to processor2
  • Kangaroo processors pay levy to Dept of Agriculture – Fisheries and Forestry3
    • 7c per carcase for human consumption3
    • 3c/kg for pet meat3
    • Levy money is distributed to national residue survey and R & D3
      • Human consumption carcases processed collected $210,000 (2010 – 2013)3 = 3M carcases
      • Pet food processed collected $30,000(2010-2013)3 = 1M kg processed
      • R & D – one project in current study – $240,000 “welfare and humaneness of commercially harvested kangaroos”, conslude August 20133
  • Kangaroo Industry Association of Australia (KIAA)3



  • Had been other kangaroo works in QLD but many have closed down2


  • Had started in skins trade and had begun a pet food supply business.2

2004 – 2008

  • height of pet food business was processing 40t of meat a week.2
  • Operation to which the pet food was going centralised and changed demand of meat to cause orders to dwindle2
  • requirements came in that even pet food processing plants had to be accredited to process meat to human consumption standards2
  • Surat works was purchased, renovated.2


  • QLD Floods caused business to be completely surrounded by water and shutdown for 3 months2
  • Russian markets closed down that roo meat was exported too.2
  • Domestic market became flooded with roo meat product.2


  • Floods cut off access around site for 3 months2


  • Floods cut off access around site for 3 months2


  • Predicted increase in electricity prices could ultimately shut down the business1
    • Electricity has more than doubled in past 3 years.1
    • currently $22,000 per quarter1
    • Doesn’t include chiller 6 boxes that cost $1,000 each a quarter to operate1
  • Floods and debt load has had devasting effect on operation of business.2
  • Second largest employer in town behind Council.2


  1. ‘Power price rise crippling’ QLD Country life 06.06.13
  2. ‘Surat processor hops ahead’ QLD Country life 06.06.13
  3. ‘Market working on big issues’ QLD Countrylife 06.06.13


Current Operation

  • Currently Operating – currently accredited # 399 AUS-MEAT 14.01.131   
  • Employment contacts                


  Australia. Biloela jpg   

map BiloelaSource – Hema maps. Australia Truckies atlas       


Teys Logo_edited-1

Source Logo


  • Export, Beef and Offal
  • Teys also own North Rockhampton – 2009 calendar year Teys produced 15% less volume than in 2005 and 2006, with “a lot of days off” (Brad Teys)2



  • Facility was built13


  • Owned at 1999 by Teys3
  • Has a reported capacity 137,000 head per 50 weeks operation cycle3


  • Biloela moves to hire refugees
    • Booming mining sector meant unemployment rates in the region 1.9%
    • Plant was unable to fulfil production demands due to unfilled job positions
      • Plant was only operating at 80% capacity
      • Foreign labour meant it could operate at 100%


  • Teys utilise migrant workers at Biloela and Rockhampton – Lakes Creek abattoir (QLD).4
    • Workers are employed on 457 visas (Pg 17)4
    • Hired through a labour hire company AWX Pty Ltd4
      • Teys don’t directly employ the workers4
      • Workers were hired as casuals and paid a flat rate that was $2 /hr less than permanent Teys Bros employees4
    • Created a two-tiered workforce4
      • discriminatory against foreign workers4
      • reduced the labour costs.4
      • moved to a new agreement in 20134


  • October. Teys announce a reduction of days working at Biloela5
    • blaming global financial crisis5 and
    • State government’s policy favouring of live export5
  • December. 40 foreign workers are cut5
    • Afternoon boning shift component of workforce5
    • Some are Korean, holders of working holiday visas5
    • Existing 350 workers – Australian and long stay visa holders will remain5
      • Most long stay visa holders were Vietnamese5
  • Teys consider job cuts at the Rockhampton – Lakes Creek (QLD)
  • Plant closes for seasonal break 11/12/20095
    • will resume in the New Year5
    • operating a 5 day single shift5
      • Processing 554 head5
      • single boning shift5
  • Gloomy outlook is reason for shift being closed5
    • Forecasts of dramatic reduction in available cattle in 20105
      • similar to the last quarter of 20095
      • Conditions expected to persist to 20115
    • Poor seasons5
    • Floods5
    • Large number of stock being live exported from QLD5
      • tilted playing field favours live export5
    • High Australian dollar5
    • Weak demand in export markets5


  • Kill to drop from 750hd day to 550hd


  • July. Australian Competition & Consumer Commission (ACCC) don’t oppose Teys Bros & Cargill Beef Australia Merger7
    • View that the proposed merger would be unlikely to substantially lesson competition in any of the markets examined7
      • ‘fat’ cattle ready for slaughter7
      • acquisition of ‘feeder’ cattle destined for feedlots7
      • supply of processed beef to retailers and wholesalers7
  • Foreign labour in Australian beef processing8
    • Most people employed in meatworks and related industries are Australian citizens8
      • Depending on categories factored there are 35,000 – 50,000 employees in meat processing and handling businesses.8
      • Is a change of cultures, many have strong ethnic origins8
      • 457 Visa holders 5-10% of all food processing and manufacturing employees in Australia8
    • In 2010/11  there were 4,730 QLD 457 Visa’s granted8
      • 130 were skilled meatworkers (1.5%)8
      • Nationwide total 457 Visas issued to the entire Agriculture, forestry & fishing category is only 2.5%8
    • There is a labour shortage at all levels8
      • Competition from the mining sector8
      • labour force tends to be transient8
        • meat industry may source more foreign labour than other industries8
    • Other heavy users of 457 Visa’s8
      • Health Industry
      • Many hospitals unable to function without nursing support of imported labour8
  • Cattle supply is very tight23
    • Producer’s aren’t selling cattle due to poor prices23
    • Company (Teys) forced to reduce kill days23
      • for week beginning 18/07/2011 don’t even have one days kill organised as at 14/07/201123
    • CEO Teys Brad Teys, says been 30 years since he’s seen the supply of cattle so tight23


  • Pacific Island Workers Scheme is working well9
    • Seasonal worker program is a scheme for the Agriculture and accomodation industries to employ people from overseas for short periods. Seasonal Worker program
  • “..the Biloela meatworks have always said that there would be no foreign workers in the meatworks while there was an Australian without work” MP Ken O’Dowd9


  • Migrant workers that had previously worked under Work Choices now moved to a Meat Industry Award Agreement 2010. (Pg 17)4
    • Now received penalty rates for overtime, public holidays & shift allowances4
  • July. Beenleigh abattoir (QLD) wage dispute will not effect job security at other sites operated by Teys10
    • Beenleigh plant had much higer operation costs than Biloela or Rockhampton abattoir (QLD)10
      • Beenleigh only delivering 1% profit in the past four years10
  • If the meat processing industry is to avoid the path of the car manufacturing industry it needed to change10
    • “What we did in the 1970’s we can’t do now” Tom Maguire Teys’s general manager of corporate affairs10


  • Free Trade agreement with China is being negotiated.11
    • Possibility of 1M head of cattle a year to be exported to China11
    • AMIEU QLD Industrial officer Lee Norris says the deal would lead to thousands of lost jobs.11
    • Central QLD university professor or regional economic development John Rolfe – hugh economic boost to cattle producers and would lead to a more robust industry11
    • QLD Premier Campbell Newman supports China deal – it was critically important for agricultural industries11
    • “They’ve been doing it tough in the west and northwest for quite some time now with the drought, and at least this gives people hope that when conditions return to normal that they actually have some real opportunities in the future” – Campbell Newman11


  • February. Tropical cylcone Marcia swept over the QLD coast on 20/02/201512
    • Category 5, 300km/hr winds came across the Capricorn coast13
  • Significant structural damage has occured to12
    • JBS Rockhampton (Beef city)12
    • Teys Australia Rockhampton (Lakes Creek) abattoir (QLD)12
    • Biloela plant has not suffered damage but will lose time due to power supply problems12
    •  3 plants together account for 2,500 head a day slaughter capacity12
  • Biloela plant
    • Localised flooding12
      • Plant itself was not flooded13
    • Currently employs 400 people13
    • Currently processing 700 cattle a day13
    • did conduct half a days kill on day of the cyclone12
      • cyclone caused loss of only a single slaughter shift13
    • No Kill conducted following Monday 23/02/201512
      • boning shift is being conducted on 23/02/201512
    • Cattle at Lakes creek abattoir are either transported back to properties or origin (at Teys expense) or being sent to Biloela and Beenleigh abattoir (QLD) for processing12
  • Teys suffered cyclone damage to its Innisfail abattoir (QLD) in 2011. It was mothballed at the time but never reopened.12
  • Category C Emergency relief needs to be announced by Federal Government as soon as possible13
    • enables grants of $25,000 to eligible businesses and farms13
  • March. Cyclone damage to the two larger meat processors in Rockhampton will see JBS Rockhampton closed for at least a month and Teys Australia Rockhampton (Lakes Creek) QLD closed for atleast another week14
  • Seasonal stock work was complicating the matter with normal turnoff14
    • Producers having to send stock to other plants will incure greater freight costs14
    • Earliest stock were able to be slaughtered at Biloela was in April.14
  • Damage to the meat processing facilities renews debate of introduction of live export in the region14
    • Authors note – I think this in reference to using Port Alma (Rockhampton) to export live animals14
    • “We need diversity in any business and live export is part of that” Cattle Council of Australia president Howard Smith14
  • Teys Australia submission in regards to Australian workplace relations system15
  • September. Biloela plant is recognised at National level at Australian Migration and Settlement Awards – winning Business Inclusion award16
    • Foreign labour represents 70% of the plants 470 strong workforce16
    • Enabled operating capacity 100% since 200516
    • Biloela plant rates in the top 10% of the national industry16
      • due to newly skilled workforce16
      • Had to attract people to the town with a strategy as there weren’t many unemployed16
    • “The fact they could get a job and they were self-sufficent and they were contributing was the big reward” Duncan Downie – General manager of operations at Biloela16
  • November.Plant shuts down for two days in week due to lack of cattle17
    • Did not operate 02/11/2015 & 09/11/201517
    • Gone through an extended dry period17
      • Producers are holding onto cattle17
      • Cattle herd deminishing for 4-5 years due to drought17
      • When it does rain, shortage of cattle supply17
        • Don’t have the numbers to process at the facility17
    • Aim to operate 2 shifts 5 days a week, killing 710 head a day17
      • cut back operations due to shortage of cattle17
      • When graziers rebuild (if it rains) processing numbers will at normal targets17
      • Live export competition was having an impact but was not the major contributing factor17
      • “I don’t know what impact the live export trade will have. It is a long way to bring the ships down to Port Alma and the cattle they get in this areaare different to the cattle they get up north” D Downie.17
    • Plant normally sources cattle within 350km of the facility17
      • recently has had to purchase from Victoria, Longreach, Charters Towers and further north.17
  • Investment to occur at Biloela plant $10M over the next 6 months17
    • Work will begin in annual shutdown period17
      • Annual preventative maintenance program17
      • $2.7M upgrade boning room17
      • Installation of new vacuum pack machine and conveyor system17
      • In January plans to install new coal-fired boiler17
    • Seasonal closure is planned to begin 10/12/201517
  • Plant will conduct last kill 26/11/201518
    • final boning shift will happen 27/11/201518
    • Staff told 11/11/201518
    • Extended 7 week summer-season for the plant18
      • Normal schedule is 4 weeks18
        • Staff usually take 4 weeks of annual leave19
        • extra 3 weeks will be leave without pay19
      • Original target was to close 10/12/2015, reopen 08/01/201618
    • Cattle supply circumstances have dramatically changed18
      • shortage of cattle18
        • sustained records of slaughter across Eastern Australia18
          • Destocking from Western Areas19
          • high prices for cattle19
        • record live exports of cattle18
        • National herd level was on a 35 year high, to a 20 year low over the last 2 years.18
    • “This is a once-in-a-generation decline, but unfortunately  we can expect herd numbers to stay significantly low for at least the next two years as cattle producers rebuild their stock” Tom Maguire22
    • Biloela is a specialist grassfed plant, processing 700 head a day on single shift, employing 440 staff18
    • Intend to re-open 18/01/201618
    • Previous year (2014) had killed close to christmas18

ABC rural 12.11.2015._edited-1

Biloela meat processing complex. Source ABC Rural 12.11.2015

  • Early and extended shut down of the abattoirs due to lack of supply of cattle is affecting local butchers21
    • 2014 300g steak $7-$8 retail21
    • Now $9.6021
      • pricing is affecting the consumers ability and desire to pay for the product21
  • Early closure of Biloela would affect every little butcher across QLD21
    • Main problem is the drought21
    • Problem will continue when processors come back on line due to wholesalers buying aswel21
  • Agforce president Leo Neill Ballantine21
    • cattle shortage was a problem that wasn’t going to go away21
    • regardless of rain, will always be problesm with existing conditions21
      • vacuums are created in the market if producers can’t get assurances from processors21
      • producers need to be brought more into the supply chain21
        • enables cattle to be ready ahead of time21

Sources – #399 Biloela – Teys Australia (QLD)

  1. AUS-MEAT accreditation list 14.01.13
  2. ‘Abattoirs under stress’ Beef Central 22.02.13
  3. Competition and Exit in Meat Processing Agribusiness Review Vol 7 1999
  4. ‘Union Avoidance Strategies in the meat processing/packing industry in Australia and the USA compared’ A Jerrard & P O’Leary
  5. ‘Aussie workers safe in Teys cuts’ Central Telegraph 11.12.09
  6. ‘Meatworks jobs may get the chop’ The Morning Bulletin 11.12.2009
  7. ACCC will not oppose Teys Bros & Cargill Beef Australia proposed merger’ 06.07.2011
  8. ‘Processors raise hackles over ‘foreign labour’ claim’ Beef Central 21.07.2011
  9. Statement by member Ken O’Dowd. Parliament
  10. ‘Workers safe at Rockhampton and Biloela’s abattoirs’ The Morning Bulletin 14.07.2013
  11. ‘Cattle export deal with China raises fears for abattoir workers’ jobs’ Couriermail 07.11.2014
  12. ‘Power outages, structural damage from cyclone….’Beef Central 23.02.2015
  13. ‘CQ meatworks back in action’ QLD country Life 26.02.2015
  14. ‘Shutdown highlights market concerns’ 02.03.2015
  15. Teys submission to Australian Productivity commission into workplace relations system. March 2015
  16. ‘Refugees save Meatworks’ Central Telegraph 04.09.2015
  17. ‘Teys Bros invest $10M in to Biloela plant’ Central Telegraph 09.11.2015
  18. ‘Teys Biloela joins list of ‘extended shutdown’ beef plants, as herd contraction bites hard’ Beef Central 11.11.2015
  19. ‘Teys abattoir shuts early due to lack of supply’ ABC Rural 12.11.2015
  20. ‘Cattle shortage forces extended closure at Teys Biloela’ The Morning Bulletin 12.11.2015
  21. ‘QLD’s rib eye price is sky high says butcher’ Observer 17.11.2015
  22. ‘Cattle shortage hits Teys’ 18.11.2015
  23. ‘Cattle supply chokes’ ABC Rural 14.07.2011


Current Operation

  • Aus Meat Accreditation registration dated 29/12/2015 #235 – JBS Australia Pty Ltd (Dinmore).13
    • registered as a Beef, Offal export facility.13
  • Direct employment enquiries to  


  • South east QLD
  • 40 km west of Brisbane. 9km east of Ipswich


  • AMH (1999)4
    JBS Australia


  • Export – Beef, Offal1
  • (1999) Nominal capacity 625,000hd per 50 weeks4
  • Slaughtering, boning, packaging, by-products rendering and hide processing
  • Spent 10’s Millions $ over past 10 years on environmental/sustainability projects, in areas like water treatment, establishing excellent performance creditials in the environmental area2
  • “Site operates with arguably the most stringent environmental license conditions on waste water management, motor and other noise abatement of any meat plant in Australia”2.

Dinmore photo. _edited-1Source 2007 Feedback MLA

Other historical and current meat processing facilities located in Australia can be viewed at;

Australian abattoirs inactive map


History of Dinmore #235


8. ABARES Nov 2011_edited-1

Proportion of cattle slaughtered by ownership of abattoirs 1990
Source ABARES foreign ownership 2011 Pg 31


  • 77 Beef export Abattoirs are in operation in Australia at this time.19
    • 27 have some level of foreign ownership.19
    • Ownership dominated by Japan, UK and the US.19


  • AMH intend to spend $50M upgrading Dinmore as part of $90M capital investment program across six Australian operations6
    • AMH controlled by big US rural commodities trader – ConAgra, a major exporter from North America6
    • AMH accounts for 16.5% of Australia’s beef kill.6
      • currently owns another 8 facilities but will be consolidating to 5 and closing Beaudesert (QLD), Guyra and Portland (Vic)7
        • others owned Dinmore, Townsville, Rockhampton and Aberdeen6
            • Author note – not sure of 8th.
        • Intended that 300 jobs would be replaced at Dinmore when expansion completed there6


  • AMH owned at this point4
  • Is the largest plant in QLD at this point.


  • Significant regions of drought across QLD.

QLD Drought 2003_2005_edited-1

Queensland drought situation 2003 – 2005


Queensland drought situation 2007 – 2009


  • Will drop from 11 to 9 shifts over a 5 day week this year in light of the livestock supply and demand challenges3
  • Between Townsville and Dinmore plant 430 people laid off.8
  • Dinmore current operating capacity 3,300 head a day.10
    • Mainly to Export 75% – Japan, US, Korea, Taiwan and Indonesia.10
  • Dinmore employs approximately 2,000 workers.10
    • About 1,700 work in production roles across 2 shifts Monday to Friday.10
    • The remainder are cleaning, maintenance and head office functions.10
    • Most Employees are male 70% employed and full-time casuals.10
    • Around 20% are from overseas – 457 Visa’s China and Brazil.10
    • 5 year EBA is currently in place, no piecework incentives provided.10
    • most workers said to be be union members.10
      • walking delegate employed on site.10
    • Company has strong internal promotion culture aimed at increasing retention.10

IBIS Jun 2010_edited-1

Major Companies in the Australian Red meat processing industry

Source IBIS world June 2010


  • January. Devastating floods across Central and southern QLD and large parts of NSW and Victoria.21
    • affected slaughter numbers to abattoirs.21
  • July.National slaughter rates decline 5%.22
    • Australian currency pressures.22
      • A$ is now above US108c.22
      • economic news out of US could send currency even higher.22
      • higher A$ would cripple Australia’s already limited price competitiveness for beef in international markets.22
    • QLD which does approximately half of Australia’s processing capacity.22
      • Down 8% from the previous week.22
      • lowest kill recorded in QLD in July for past decade.22
      • Down 21% on same period last year.22
      • Significant number of QLD plants only killing 3-4 days.22
    • listless export beef demand.22
    • Meat processing and export is low-margin business due to.22
      • Import duties.22
        • Indonesia 9%.22
        • Korea 40%.22
        • Japan 38%.22
      • New AQIS charges on meat inspection would add millions to processor costs.22
    • Is currently a big build up of meat in cold stores due to difficulty in selling into sluggish markets, Japan and the US.22

7. ABARES Nov 2011_edited-1

Red Meat throughput Australian abattoirs, Foreign and Australian owned 2011 Source ABARES foreign ownership 2011 Pg 29


  • Govt. grant $4.4M with JBS own $4.4M upgrade its waste water treatment system, installing new pre-treatment equipment and covered anaerobic lagoon technology2.
  • Company’s carbon tax liability was expected to cost $3.5M yr,($23/t) project will save $1M in energy costs and cut liability each year by $790,000.
  • Still doesn’t place Dinmore plant below 25,000t threshold, to get below that would cost a further $16M.


  • “JBS is in the process of supporting the transition of it’s 457 workforce to permanent residency”5
  • 457’s residency requires certain level of english speaking, International English language testing system level 5. – often above the level meat workers most parts of world can reach5
  • Recently completed a $50M upgrade employing most modern techonology available to ensure maximum efficency and consistency of the quality of the product9
  • Employees 235 people9
  • Daily processing 3,350 beef or 1,675 head per shift9
  • November. JBS Swift Australia install closed-circuit television camera’s (CCTV) in it’s Australian meatworks.16
    • For the purpose of animal welfare and meatworker safety issues.16
    • CCTV for internal use by only JBS, with no plans to allow outsiders to view the footage.16
  • JBS’s US beef division (which includes Australia) delivered drop in net sales and earnings in it’s third quarter financial results.17
    • Australia’s division performance and overall contribution to the overall result is impossible to distinguish due to inclusion with US and Canadian beef processing results.17
    • Earnings before tax $134M,.17
      • Down by 22.5% on previous quarter.17
      • Down by 28.4% on third quarter last year.17
    • result reflection of domestic North American markets.17
      • Improved performance had occured in Australian.17
        • Demand had increased in Chinese markets.17



  • July. JBS Australia purchase majority shareholding in NSW based Andrew Meat.15
    • specialise in high quality, portion cutting and further processing of meats for domestic and international restaurant and foodservice customers.15
    • produce ready-cooked meals.15
    • company banner Creative Food Solutions.15
    • Andrew Meat will allow JBS expansion into high growth retail and value-adding segments.15
  • Expansion of the Andrew Meats business will start in November .18
    • JBS global strategy to expand into value added meat protein – opportunity to expand margins.18
    • JBS have an existing value-added division – Food Partners.18
      • supplies food service customers like Pizza Hut and Domino’s with toppings.18
    • Andrew Meats focus will be produce ready meals.18
      • ‘grab & go’ beef roasts, designed to compete head on with hot cabinet roast chickens sold in supermarkets.18
      • Domestic markets were very immature but also with significant growth potential.18
  • At this time JBS operate.15
    • 10 processing facilities.15
      • Daily processing capacity of more than 8,000 cattle and 21,000 small stock.15
    • 5 feedlots.15
  • December. JBS currently operate 12 meat processing plants across 5 Australian states11
    • Wages & local procurement $730M (Excluding livestock purchases)11
    • Employs 8,500 people at the facilities11
      • Employs 12,000 people in Australia11
    • Total revenue of $6.5B11
  • JBS plants 2014_edited-1

    JBS processing plants in Australia

    Source JBS submission #50 Market Consolidation.

    • JBS estimates its current share of four eastern states beef kill – 20% (excludes service kill)11
      • JBS share of Australian beef production 16%11
      • Market share of national small (lamb, mutton & goat) 16%
    • JBS spent $2.4M on halal certification costs of approved religious certifiers in 20142


    • January. MLA forecast.20
      • Australian cattle herd has gone from 35 year high (2013) to 20 year low (2015).20
      • Australian cattle herd slip to 26.8M head by June 2015.20
        • by 2016 expected decline to 26.5M head.20
        • by 2020 27.9M head.20
      • Adult cattle slaughter expected to slump 15% year on year.20
        • 2015 to 7.8M head.20
        • 2020 expected 7.9M slaughter.20
      • Long term Female average in 2014 52%.20
        • Normally female kill percentage 47%.20
        • Only in years 1977, 1998 & 2003 has female kill been above 50%.20
      • Beef exports record levels in 2014 1.39M tonnes shipped weight.20
        • Expected to drop 20% to 1.3M tonnes in 2015.20
    • March. Foreign ownership of Australian red meat processing facilities
    • Nippon share_edited-1

      Share of Australian red meat processing

      Source The Stock Standard. VFF March 2015


  • March. Cyclone Marcia cross the Capricornia Coast some plants were damaged.70
    • Supply is exceeding capacity in QLD at this point.70

Cyclone Marcia Feb 2015_edited-1

Impact of Cyclone Marcia February 2015.

  • June. Cost of processing in Australia 1.5-3 times the cost of processing animals in another country11
  • cost of processing grain-fed cattle in Australia is twice of the USA11
    • lower levels of productivity in Australia in regards to kg per unit of labour11
    • 2 major differences between Australia and the USA11
      1. Government regulation
        • $10 a head more in Australia11
        • Dept. of Australian Agriculture fully recover costs of meat export inspection and certification11
          • Australia wide DAFF costs $80M11
          • JBS contribute $14.5M11
        • Export plants don’t use DAFF but use approved employees, which plants fully cover costs11
          • JBS estimate an additional $30M at Export level11
        • USA & Brazil governments provide services at no or minimal costs to processors11
      2. Energy Costs
        • $15 a head more in Australia11
    • Technical barriers to trade (TBT’s)- Total value in Australia estimated at $1.25B as identified costs11
      • 261 TBT’s in 40 key markets11
        • 136 have significant trade distortion impacts11
  • July. The following charts are from a submission by the Australian government Department of Agriculture to the Senate rural and regional affairs and transport references committee inquiry into Market consolidation and the red meat processing sector.
  • abattoir capacities dept ag sub consolidation_edited-1
    • Capacity of major beef abattoirs in QLD. Pg 15

      T2 Throughput state beef_edited-1

      Share of throughput by state for beef in 2014. Pg 16

      T4 processing companies market share_edited-1

      Major Processing companies by market share May 2015. Pg 16

      M4 direct cattle movements NLIS QLD_edited-1

      Cattle Movements to abattoirs. Pg 25

      F12 hourly labour costs food manufacturing_edited-1

      Hourly labour costs for food manufacturing industry Pg 30

October. 10 mayors from Southern QLD form a mayoral group to act as a united lobby group for their region.24

  • represent 25% land area of QLD, quarter of QLD cattle and 75% of grain and crop production area24
    • support the Oakey abattoir push for rail transport improvements.24
    • $2M in State and Federal funding is required to fund new rails sidings.24
      • Federal government feel that private investors should fund the improvements themselves.24
      • will add to processor competition in the area.24
  • Only 2 abattoirs are currently contracted to be supplied cattle on the Western line.24 JBS Dinmore (QLD) and Teys Beenleigh (QLD)
    • Oakey is to be added, starting January 2016.24
      • Contractually Oakey can recieve cattle but as they have no rail siding this is not physically possible.24


  • AACo have animals processed at Eastern abattoirs as service kill.23
    • See year 2013.23
    • Gross processing costs had increased in the 6 months to September 2015.23
      • $1.13 risen to $1.21/kg, 7% increase year on year HCW.23



  • December. ATO publishes tax data for agribusiness corporates.12
    • Data interpretation – Companies do not pay company tax on revenue (total income) they pay on profits after paying all expenses, including wages, capital replacement, supplier costs and other operating expenses.12
    • Income tax information is for 2013/14.12
    • JBS Holdco Australia Pty Ltd produced Total Income $4,040,948,610.12
      • Taxable Income $419,882,525.12
        • Tax Payable $44,809,334.12


QLD Drought Situation 2013 – 2015


Sources for Dinmore QLD. JBS

  1. AUS-MEAT Accreditation list 14.01.13
  2. ‘JBS offered $4.4M grant for Dinmore carbon abatement project’ Beef Central 04.02.13
  3. ‘Abattoirs under stress’ Beef Central 22.02.10
  4. Competition and exit in Meat Processing Agribusiness review Vol 7 1999
  5. ‘JBS to help 457 workers to Aussie residency’ Ipswich QLD 02.03.13
  6. ‘US beef exporters force three abattoirs to close’ SMH 15.05.1996
  7. ‘Guyra abattoir closure’ Mr Raymond Chappell 15.05.96
  8. ‘Australia: Union shuts down picket of locked out meatworkers’ 28.12.2010
  9. Accessed 13.11.2013
  10. Work-skills-and-training-2301-1
  11. sub50_JBS Inquiry into the effect of market consolidation on the red meat processing sector
  12. ‘ATO publishes tax data for agribusiness corporates’ Beef Central 18.12.2015
  13. AUS-MEAT Accreditation Listing 29.12.2015
  14. ‘Big Beef producer cuts deal with Tasman group’ The Age 06.03.2008
  15. ‘JBS takes stake in Andrews Meat’ 09.07.2014
  16. ‘Swift CCTV camera action’ Weekly Times 13.11.2013
  17. ‘JBS delivers lower third quarter beef sales, revenue’ Beef Central 14.11.2013
  18. ‘What’s behind JBS taking a big stake in Andrews Meat Value adding Businnes? Beef Central 10.07.2014
  19. ABARES foreign ownership 2011
  20. ‘MLA forecasts beef market adjustment’ The Land 27.01.2015
  21. ‘Slow season opening for processors’ Beef Central 11.01.2012
  22. ‘Caualties emerging as export kill pressure continues’ Beef Central 25.07.2011
  23. ‘AACo’s Darwin abattoir projected to be strong finanical performer’ Beef Central 18.03.2013
  24. ‘$2M only barrier to better rail access for cattle’ Beef Central 20.10.2015


Large processing facility operated by Teys with Cargill. Recently had a number of wage disputes. Has recently invesed heavily in new technology, currently operating 2 shifts processing 1,300 cattle per day

Current Operation

  • Currently in operation as at 2015.


                   Australia. Beenleigh

Map Beenleigh 001


Historical and current meatworks, canneries and abattoirs located in Australia can be viewed at;

Australian abattoirs inactive map



  • Export
  • Nominal capacity 200,000hd as per 50 weeks(as at 1999)1
  • 800 staff2

History of the Beenleigh meat processing facility              


  • Partnership between Teys and Meat Livestock Australia (MLA) develop the semi automated ‘Beef Pullers’ – Collaborative Innovation Strategies (CIS) program20
    • five units now installed by Teys and other processors20
    • technology is designed to overcome some physical and OH & S challenges of the boning line20
      • MLA don’t fund but provide support to assist to access commonwealth research grants 50:50 basis20
  • Beef Pullers – assist in removal of bones and knuckle – recognised as two most physically demanding tasks20
    • Cost/benefit shown increased profit margin $3.50 – $4.65 per carcase20
    • Pay back period 5 months or less.20
  • Beenleigh currently employs 800 workers.37
    • Up to 50% of skilled staff mostly from Brazil and Vietnam.37
    • Most workers are union members.37
    • With a union representative in every department.37
    • Joint consultative committee.37
    • An EBA is currently in place.37
      • skilled staff receive payments above the award.37
      • slicers and boners recieve tally (piecework) payments.37


  • July. CEO – Brad Teys “’s been about 30 years since he had seen the supply of cattle so tight”9
  • producers not selling cattle due to poor prices and company forced to reduce kill days at Beenleigh to 3 days a week, Biloela 1 day, Rocky 3 days and Naracoorte was shut down temporarily9


  • March. Petition started to close abattoir due to dust and health risks from cattle yards11
  • June. Rockhampton – Lakes Creek abattoir Labour hire employees (mainly humanitarian entrants) are renumerated under a WorkChoices agreement that pays a flat rate of pay26
    • without penalties for overtime or shift allowance26
    • Previously the workers had been paid at enterprise agreement rates26
    • AMIEU campaigned enterprise agreement be reinstated26
      • AMIEU claim Teys no longer allowed access to facilities due to this incident26
  • August. Carbon tax said to impact in costs of $2M- unless takes drastic action to reduce its emissions – a plan that would involve a temporary shut down2
  • Key competitors don’t face carbon tax3


  • February. Clean technology allocations – $2.83M, project $6M. Install 34ML covered anaerobic lagoon and basin to capture biogas for use on site. Reduce emissions by 85% saving $1.3M energy costs and $380,000 carbon price per year4
  • March. AMIEU lodge an application for rights of entry order to the plant26
    • Teys provided a room to which employees could see their representative if they wished26
      • AMIEU claim room was too small, only able to hold 50 people, with sometimes 130 union members in attendance26
      • EBA used the room when AMIEU made a protected action ballot to be conducted26
      • AMIEU claim then due to the number of people Teys were unable to supply a room suitable26
        • Oztrail outdoor gazebo with a table and 2 chairs. “It was located immediately adjacent to a truck marshalling area, with the attendant flies, stock manure and noise”26
        • AMIEU made another application26
          • allowed to use the lunchroom26
  • May. Workers Dispute.

Teys Australia CEO Brad Teys

A number of companies that specialise in higher quality grain fed beef have been forced to close, merge or restructure over the past decade due to uncompetitive workplace arrangements”2

We are dealing with a union stuck in the 70’s, that still believes in unfettered union power2

  • 24th May – 4 hour stoppage. AMIEU strike.5
  • 24 hour strike by AMIEU for 31st May – 2nd in a week5
  • Teys saying what AMIEU want
    • 50% leave loading5
    • penalty rates within ordinary hours5
    • forced payment for idle time5
    • increased Workers compensation benefits above that prescribed by legislation5
  • Teys say – Many of staff are not union members, Only 28% of workforce voted in favour of strike5
  • AMIEU say – 80% are members, 75% supported action of stopwork6
  • What union say is happening at plant
    • Beenleigh operations made $38M in after tax profits, 9 years to 10/11, during same period paid $33M in dividends6
    • Teys want to cut wages by 20%, increase workload by 30%. Large part of workforce have lifted productivity by 18% since 1998, yet real wages declined by 11%6
  • Tey’s are in process of negotiating new workplace agreement2
  • Wages $40M each year2
  • June. Processing in Australia costs $300 a beast, USA $150 Brazil $1117
  • Boner in Australia earns $30/hr, in USA $12/hr10
  • 2012/2013 study – International Labour Organisation rates countries per highest hourly wage in manufacturing10.
    1. Denmark
    2. Switzerland
    3. Australia
    • 11th USA
    • 17th New Zealand
    • 28th Brazil.
  • Wage structures require more flexibility for seasonal harvesting, peak times in Agriculture which change employment demands and short term staff requirements10
  • AMIEU spokesperson Matt Journeaux. said members oppose to cuts up to 18.3% of current earnings for 30.5% more work. For a slicer meant a loss of $8448/yr12
  • Staff tell Teys CEO “they have had a gutful” of continued industrial action – Brad Teys – Teys CEO17
  • Negotiations continue17

The only way we will reach agreement is for the AMIEU to negotiate with an enterprise and productivity focus. They still don’t understand the need for change” – Brad Teys – Teys CEO17

  • Teys Australia currently operate 6 plants in 3 states with 5,000 employees10
  • July. AMIEU and employee representatives refused to allow a new wages and bonus offer be put to secret ballot to members13
    • Staff wanted performance bonuses removed, Teys did and replaced with 3% wage increase13
    • Cash bonus make up lost time during dispute13
  • Negotiations on Enterprise bargaining agreement ended13
  • Beenleigh plant operated on a 1% return on asset base for past 4 years13
  • Teys considered closing the plant after eight months of negotiations28
    • following 4 years of low returns28
  • 300 signatures of staff calling for a ballot, less than 50% voted for industrial action AMIEU rejected secret ballot forcing company (Teys) to terminate negotiations and explore options which included closure of plant14
  • Teys put forward 5 proposals, all rejected by AMIEU and committee14
  • Plant employs 800 staff, responsible for 4000 flow on local jobs and $250M into local economy14
  • Oct. Fair Work Commission approve the Enterprise bargaining agreement passed in employee secret ballot, to commence October 4.Follow 10 month industrial dispute with AMIEU
    • Victory of common sense and a final rejection of obstructionist union tactics” Tom Maguire (Teys’)15
    • Its a real stunner that Australia’s 2nd largest meat processing company with net equity of over $200M and $2.19B in revenue wants to pay people below award rates and conditions” AMIEU15
  • Teys’ offer unprecedented, a profit- sharing incentive for staff in EBA, is unique in meat processing and manufacture industry, 5-7% on top of normal earnings if reaches set profit targets.16
    • “company and its workforce has to work together to lift productivity in what is a highly competitive global meat processing environment”, “Manufacturing must reform to remain competitive”16 Tom Maquire (Teys’)
    • “From the outset, only a minority of workers wanted to take industrial action. Then a majority voted to approve the new EBA. Yet the union persisted to drag this out only to achieve was was agreed in the first place” Tom Maguire (Teys)18
    • AMIEU, QLD Industrial Officer Lee Norris – serious doubts Teys would deliver on its commitments16
  • During Federal election in 2013 period – Beenleigh EBA came under national spotlight when opposition leader – Tony Abbott questioned by the Fair work commission would not endorse a workplace agreeement supported by most of the staff31


  • March.Currently processing 1,300 prime cattle per day19
    • Operating two shifts, one in afternoon and one in day.19
  • Fair Work Commission (FWC) throw out the EBA following an appeal by AMIEU30
    • EBA will now need to go back to FWC for approval30
    • 500 employees will immediately have weekly pays cut $25-3030
    • majority of employees on site will actually owe Teys up to $900 each30
  • Teys Australia – a Cargill Joint Venture have plants in QLD, NSW & SA19
  • Fair work commission throw out Enterprise Bargaining Agreement (EBA) following appeal by AMIEU21
    • Conditions employed under since October 201321
    • Employees voted in favor of EBA April 201321
    • If EBA dismantled some 500 employees could have weekly pay packet reduced by $25-$3021
      • Majority of employees would find they owe company as much as $900 each21
    • AMIEU claim voting was “ballott rigged” Brian Crawford, AMIEU branch secretary22
      • allowing trainee supervisors to vote.22
    • Teys deny rigging23
      • vote administered by Australian electoral commission not by Teys23
      • Trainee supervisors been included in last 6 EBA’s since 201223
      • some trainee supervisors are union members23
      • AMIEU have long been aware of inclusion of trainee supervisors23
    • Types of reforms acheived in 2013 EBA vital for the survival of the meat processing company23

    “We must continue to manage rising manufacturing costs or processing will go the way of the car industry and other manufacturers” Tom Macquire. Teys corporate affairs manager.23

  • Workplace relations inquiry submission by Teys, John Salter – General manager of workplace relations26
    • Teys Australia is Australia’s second largest beef processor & exporter26
      • annual turnover $3B26
      • Operating in QLD, Vic, NSW & SA26
        • 9 locations26
    • Employs close to 4,500 people26
      • often the largest employer in various regional centres26
      • Annual payroll in excess of $350M26
      • People costs represent 62% of operating expenses26
    • Teys is party to 21 FWC approved Enterprise agreements26
    • Beenleigh site agreement was reached with employees in 201326
      • approval has been mired by litigious complexity which the Fair Work Act of 2009 has exacerbated, rather than neutralised26
      • Agreement subject to interlocutory stay of FWC full bench order26
      • First EBA approval September 201326
        • FWC Deputy President at the time. Ingrid Asbury.31
      • First FWC full bench appeal – December 201326
      • Second EBA approval – April 201426
        • FWC Deputy President at the time. Ingrid Asbury31
      • Second FWC full bench appeal – September 201426
      • First Federal court hearing June 201526
      • Second Federal court hearing scheduled for May 201526
    • Beenleigh current operations two shift basis Monday – Friday26
      • some employees on site 24/726
      • Employee figures fluctuate but some 24 periods 850 employees to meet production schedules26
    • 2010 EBA had significant inflexibilities threatening the viability of the plant26
      • operational and cost base challenges,26
        • which other competitors (within Teys incl) don’t face26
          • cost of environmental compliance due where plant is located in a heavily populated area26
    • 2013 EBA allowed increased productivity26
    • If forced to go back to 2010 EBA some job losses may occur as production costs are reassessed26
    • Changes considered are:26
      • lowering throughput of cattle to 1,200 head a day26
      • Changing boning & load out departments to 5 day 8 hour roster26 (40 hours)
        • currently working on a 4 day by 9.5 hour roster26 (38 hours)
        • 5×8 roster could result in 20% redundancies26
          • 40 permanent staff in load out and boning rooms26
          • 3-4 in the cleaning26
          • others in salary staff, management and supervisory areas26
      • 2010 EBA doesn’t accomodate taking of annual leave but is featured in the 2013 EBA26
        • if annual close down resumes under 2010 EBA reduction in 5% staff to cover for annual leave if had been taken in 2013 EBA26
        • these staff would now be surplus to requirements under 2010 EBA26
      • Teys invested $20M in the 2014/2015 year26.
        • this increased job creation26
      • Payroll system CHRIS in a retro perspective to accomodate reversion to payment of skilled workers would cost $500,000 to implement26
  • July. Teys currently employ 4,500 people in QLD, NSW and SA.24
  • Workers at the Beenleigh plant had voted to approve a work place agreement in 2013 but AMIEU had obstructed the deal and mounted continuous appeals.24

“..the business environment in Australia, especially industrial relations, was not conducive to manufacturing, and the sector could not compete internationally” Tom Maquire24

  • Teys say reform of the labour arrangements, greater market access and a reduction in costs and charges on companies were key ares that needed to be pursued by the government.24

“We must remove the ability by third parties – namely unions – to interfere with the relationships companies have with employees, allowing them to hold up and counter legitimate agreements” Tom Maquire24

  • Federal Government must tackle industrial relations reform or risk the closure of more manufacturing industries33
  • New EBA – Teys Australia will include productivity-based profit sharing34
    • as well as annual wage increases34
    • Is an industry first inititive
    • Bonus cheque $2000 – $600034
    • AMIEU oppose the the bonus34
  • September. Profit sharing bonus’s were paid this week25
    • represents pay-out of about $1.2M25
    • Paid the bonus’s inspite of union opposition and will not be asking workers for a refund25


  • February. Federal Court ruled that controversial enterprise agreement approved by workers in 2013 was invalid27
  • 35 jobs created under the new EBA35
    • jobs are now directly threatened35
  • An independent economic report estimated the Beenleigh plant flow effects;35
    • contributes more than $360M in GDP to Brisbane region35
    • underpins more than 1800 full time equivalent jobs35
  • Teys Australia Beenleigh Ltd v’s AMIEU 2015
    • News article cites 600 workers to affected27
    • AMIEU claim 300 workers will have ‘fatter’ pay packets27
      • argued a ballot to pass the EBA included people who were ineligible to vote27
    • Federal court rule that company must return to 2010 agreement27
      • Higher skilled workers are paid more27
        • boners, slicers & slaughtermen27
          • payment is based on weight of cattle processed27
        • lower skilled workers would be worse off27
          • lower skilled will have a lighter workload27
      • 2013 agreement was to pay on hourly rate irrespective of how many animals processed27
      • AMIEU claimed Teys told workers they wanted a 20% increase in productivity without increasing pay27
        • Teys deny claim27
          • Tom Maquire – said the company can’t compete with overseas rivals unless it cuts labour costs and increases productivity27
  • Unions would now meet with Teys to negotiate new agreements.27
  • Decision in regards to the future of the Beenleigh plant was approaching31
    • Cattle herds were falling31
    • Tougher international competition from US and Brazil expected31
      • Australian Cost of Production (COP) $300 a head31
      • US & Brazil COP $16531
  • August. EBA dispute has been ongoing since 201332
    • Federal Court ruled that Fair work commission had made a wrong decision to back the union, it was entitled to make wrong decisions32
    • Means the 2014 EBA is now void32
      • 500 workers wouldn’t receive bonus of $4,500.32
      • Similar bonus’s in 2015 would also be lost32
      • Scheduled wage increases for the next 2 years are gone32
    • Now operation will be under the 2010 EBA where32;
      • current hourly rate will decrease32
      • every worker will be worse off by 12%32
    • Teys were working on a new plan to secure rises and bonus’s32


  1. Competition & Exit in Meat Processing. Agribusiness review Vol 7 1999
  2. ‘Gillard great carbon tax backdown – Off the Hook’ QLD Country Life 02.08.12
  3. ‘Processors ‘beef’ with carbon tax’ Nth QLD Register 06.9.12
  4. ‘Teys, T & R latest round of carbon abatement grants’ Beef Central 18.02.13
  5. ‘Teys wants union to ‘get real’ and negotiate to protect 800 jobs’ Beef Central 31.05.13
  6. ‘On the brink: Teys warns “reform, or more jobs will be lost’ Beef Central 31.05.13
  7. ‘Teys hold talks with AMIEU, as workers call for close to dispute’ Beef Central 12.06.13
  8. ‘Manufacturing on the brink’ Teys Media Release 29.05.13.
  9. ‘Cattle supply chokes’ NT Country hour. 14.07.11
  10. ‘Food processing labours under high wages’ ABC rural 07.06.13
  11. ‘Shut down Teys Beenleigh’ Petition.
  12. ‘Strike action taken by workers at Teys Bros abattoir in Beenleigh over wages’ Courier mail. 04.06.13
  13. ‘Teys: 800 jobs at risk as union rejects wages offer’ Beef Central 12.07.13
  14. ‘Teys’ Beenleigh workers petition directly for secret Ballot’ Beef Central. 22.07.13
  15. ‘Warning to Government and unions to enter “New age of Industrial relations” 09.10.13
  16. ‘Beenleigh profit sharing incentives blazes trail for meat industry EBA’s’ Beef Central 09.10.13
  17. ‘Teys: Workers want end to ongoing industrial dispute’ QLD Country life 13.06.2013
  18. ‘End to Teys dispute in sight’ Nth QLD Register 03.10.2013
  19. Job advertisement for 2 workers. Teys. 03.03.2014
  20. ‘Research partnership delivers new commercial technologies’ Feedback. March 2010
  21. 800 Beenleigh workers face pay cuts under AMIEU action. Beef Central. 07.03.2014
  22. ‘Union tells Teys to put-up or shut-up’. Beef Central 11.03.2014
  23. ‘Teys rejects union claim of EBA vote-rigging’. Beef Central 12.03.2014
  24. ‘Teys:Govt must take action’ Nth QLD Register 10.07.2014
  25. ‘Industrial relations: Beenleigh staff paid ‘ground breaking’ profit share cash bonuses’ Beef Central 04.09.2014
  26. AMIEU ‘The National Meatworker’ August 2013
  27. ‘Ruling finds controversial enterprise agreement approved by workers in 2013 was invalid’ The Courier-mail 12.02.2015
  28. ‘Teys Clashes with union over enterprise dispute’ The Bulletin 06.08.2015
  29. sub0095-workplace-relations
  30. ‘Fight over Teys EBA continues’ 07.03.2014
  31. ‘Teys looks at closing abattoirs’ 17.02.2015
  32. ‘IR system fails 800 Beenleigh meatworkers, says Teys’ Beefcentral 03.08.2015
  33. ‘Teys calls for greater IR reform’ 08.07.2014
  34. ‘Teys says AMIEU opposes its employee bonus plan’ Beef Central 25.07.2014
  35. ‘IR system “needs urgent overhaul” as court……” Beef Central 13.02.2015
  36. ‘Workers safe at Rockhampton and Biloela’s abattoirs’ The Morning Bulletin 14.07.2013
  37. Work-skills-and-training-2301-1
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