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Dinmore

Australian Abattoirs, Dinmore, Queensland, Southern QLD 19/06/2013 Leave a comment

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 www.jbssa.com.au  

Location              

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

 Owner

  • AMH (1999)4
    JBS Australia

Operation          

  • 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

abattoirs_edited-1

History of Dinmore #235

1990

8. ABARES Nov 2011_edited-1

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

1991

  • 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

1996

  • 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

1999 

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

2005

  • Significant regions of drought across QLD.

QLD Drought 2003_2005_edited-1

Queensland drought situation 2003 – 2005 www.longpaddock.qld.gov.au

2007_2009_edited-1

Queensland drought situation 2007 – 2009 www.longpaddock.qld.gov.au

2010  

  • 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

2011

  • 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

2012  

  • 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.

2013

  • “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

2014

 

  • 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

    2015

    • 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. www.longpaddock.qld.gov.au

  • 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

2013_2015_edited-1

QLD Drought Situation 2013 – 2015 www.longpaddock.qld.gov.au

 

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 http://www.parliment.nsw.gov
  8. ‘Australia: Union shuts down picket of locked out meatworkers’ http://www.wsws.org. 28.12.2010
  9. http://www.jbsswift.com.au. 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’ www.farmonline.com.au 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

Beenleigh

Australian Abattoirs, Beenleigh, Queensland, Southern QLD 19/06/2013 Leave a comment

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.

Location             

                   Australia. Beenleigh

Map Beenleigh 001

Owner                 

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

Australian abattoirs inactive map

abattoirs_edited-1

Operation          

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

History of the Beenleigh meat processing facility              

2010

  • 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

2011

  • July. CEO – Brad Teys “..it’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

2012

  • 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

2013

  • 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 power“2

  • 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

2014

  • 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

2015

  • 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

Sources

  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. http://www.activism.com
  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’ www.Farmonline.com.au. 07.03.2014
  31. ‘Teys looks at closing abattoirs’ www.farmonline.com.au 17.02.2015
  32. ‘IR system fails 800 Beenleigh meatworkers, says Teys’ Beefcentral 03.08.2015
  33. ‘Teys calls for greater IR reform’ www.farmonline.com.au 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

Cairns

Australian Abattoirs, Cairns, Northern QLD 18/06/2013 Leave a comment

Cairns (more commonly known as Queerah meatworks) was located in far north QLD received cattle from mainly north Australia, often by Barge from the NT and Normanton that had travelled from the gulf of Carpentaria. Began to export in 1950’s closing in 1989

Number of photographs kindly supplied by the Cairns Historical Society, a museum and library operated by volunteers.

Other names

  •  Queerah

Current Operation

  • Closed 19861
  • Others say 19894

P08210 (2)Source – Cairns Historical Society, 1952. Photo PO8210
The Cairns Meatworks

Location             

  • Skelton Creek, Cairns

Australia. Cairns. jpg

Map. Cairns 001Source – Hema Maps. Australia Truckies Atlas.

Owner                 

  • Amagraze. Director Fred Beaver (1962)3
  • AMH

Operation          

  • Export1
  • Nominal Capacity 110,000hd per 50 weeks1

History                

 1950

Queerah 1950.Source Cairns Regional Council. Dated 1950

Queerah Meatworks

  • Begun to export early 1950’s4

 1960’s 

  • 1st loading 6th June 1960.Ships – Irene Clauser ,  Inger Clausen – coasters – length of 50m, shallow draft, carry 200-250hd1
  • Clara Clauser – specifically built for Gulf trade, larger but shallower draft of only 1.8m, carry 800-1000hd1
  • Involved in shipping cattle Gulf of Carpentaria around Cape to Cairns, otherwise cattle had to be walked 3500km to east coast, ships took 5 days1
  • Burketown, Karumba & Normanton – shipping from these regions to Bowen and Cairns. Govt paid a 3 pound freight subsidy3
  • Earlier service operated by barge Wewak, owned by Marine contracting and towing company1pg 72

p04059 (2)Source – Cairns Historical society. 1963. PO4059
Winners of the Queerah meatwoeks carcass competition Cairns Show

1962 

  • Isla Clauser – replaced Inger Clauser  and Irene Clauser, to be replaced by Ida Clauser3
  • At this time Cairns (Queerah) was most modern meatworks in the southern hemisphere5
    • Had first continuous chain – carcase kept moving along the line, once it started5
  • July. Meatworkers strike5
    • 13 boners including union president had been sacked for go-slow5
    • Industrial commission and Conciliation commission directed men’s re-employment as boners – they were but with union predisent as a trimmer, reducing wage by half5
    • Company refused to give preference to union workers of  AMIEU5
    • Union called stop work. – 41 employees including union president dismissed5
  • 100 graziers moved in to keep works operating – came from Cape York, Gulf, Hughenden, Alpha and Warwick5
    • mainly used to bone due to backlog of meat5
  • Boners earning 60-65 pounds a week, strike wanted 5 more5
  • Strike went for about 10 days5

1970’s

  • Cairns Harbour board Installed large Freezers at the Number 1 wharf to store meat in cartons for direct loading to the ship4

p04048 (2)Source – Cairns Historical Society. c1970

Loading export meat from the Queerah meatworks at Cairns wharf

1975

  • Ida Clauser supported Gulf trade to about this year3
  • Clara Clauser – larger, shallow draft built specifically to navigate shallow north Australian rivers3.

1980

  • Over capacity of the meat processing sector had always been a chronic problem, but where previously it was due to seasonal factors now the problem was a direct result of management decisions during the late 1970’s (Pg 85, thesis)5

    • Chronic over capacity, undersupply of cattle and oversupply of labour requirements (Pg 117, thesis)5
    • Processing sector shed 15,000 jobs between 1980-1984 (Pg 117, thesis)5
      Entire export sector was regulated by the speed and skill of the production process (The chain and CanPak killing systems), bureaucratic control systems regulated the substantive and procedural rules (The tally and awards)(Pg 120, thesis)5
    • the only way forward for employers was rationalisation of the production capacity (Pg 120, thesis)5

1986

  • Australian Meat Holdings (AMH) – Four largest meat processors in Australia had decided to combine their resources(Pg 126, thesis)5
    • FJ Walkers (Wholly owned by Elders)5
    • Metro Meat Industries5
    • Smorgon Consolidated Industries5
    • Tancred Brothers5
      • combined assets $90M (Pg 127, thesis)5
      • Plan was to combine resources of QLD meat processing facilities, take over Mackay (then owned by Borthwicks) and Bowen plants. Establish the most suitable operating capacity for the new entity and then rationalise the remaining excess capacity (Pg 126 thesis)5
      • Borthwicks latter withdrew from talks but was latter taken over by AMH in 1987 (Pg 128, thesis)5
  • AMH principal objective was to rationalise capacity of its 9 abattoirs, so the remaining plants would operate near full capacity (Pg 128, thesis)5
    • two older plants immediately decomissioned (Pg 128, thesis)5
      • Authors note – think Cairns  and Cape River abattoir (QLD) were two of these plants.
      • By 1996 AMH had closed 5 of the 9 plants.(Pg 128, thesis)5

1989

  • Closed4

Sources

  1. Competition & Exit in Meat Processing. Agribusiness review Vol 7 1999
  2. ‘100 years of Northern Beef Production’ Nth QLD register 22.11.12
  3. ‘The Australian Live Export Trade’ Nigel Austin.
  4. Cairns Historical Society.
  5. Employers & Industrial Relations in the Australian Meat processing Industry. P. O’Leary 2008
  6. ‘Queerah Meatworks strike’ North QLD register 17.10.2013

Smithton

Australian Abattoirs, Mainland, Smithton, Tasmania 18/06/2013 Leave a comment

Other Names

  • HS Greenham’s
  • Greenham’s
  • Blue Ribbon

Current Operation

  • Operating as at 2013.

Location

Australia. Smithton

Map Smithton 001Source – Hema maps. Australia Truckies Atlas

Owner

  • Blue Ribbon – established3
  • Ian Paterson 20015
  • Greenhams – 20024
    • Plant Manager Jack Erichson4
    • Greenham also own Tongala Abattoir (Vic)
      • have been operating in Victoria since 1860’s
    • Greenham’s is a family-run and operated business

Operation

  • Premium quality beef to USA. Japan, buying dairy cos, bulls, heavy beef cows, Jap Ox, calves and yearlings7
  • Greenham’s supply 2 annual burseries $10,000 to young people in Vic and Tasmania further their careers in dairy or beef industry7
  • Process 10,000 t beef annually
  • supplier catchment of 3,000 properties over Tasmania and King Island

History

Some articles are in reference to the meat industry in Tasmania in general and not just specifically the Smithton works

1941

  • Meeting held at town hall to discuss proposal of establishment of abattoir and saleyards at Smithton2
    • At the time 17 slaughtering places existed in Circular head municipality2
      • hygiene and disease of serious concern due to lack of inspections and disposal of offal unsatisfactory with dogs and pigs having access.2
      • water availability  was inadequate for some with poor drainage2
    • New facility main purpose was to ensure clean, wholesome product assuring meat production under hygienic conditions.2
    • Paddocks to be provided for grazing free of charge some distance from abattoir so animals only walked to facility once a fortnight2

    1958

  • Josef Chromy – a Czechoslovakian who fled to Tasmania in 1950 after WWII.3
    • started a butcher shop in Bernie 19573
    • Changed the butcher shop name to ‘Blue Ribbon Meat Products in 19583
    • Initial turnover of $160,000 pa, 5 employees, over 20 years developed the company, acquiring farms, 18 butcher shops, piggeries, distribution centres, factories and abattoirs.3

1972

  • Blue Ribbon aims to establish export standard abattoir3
    • sell to overseas markets premium lamb and beef cuts from Tasmania3

1979

  • Blue Ribbon now operates Smithton, Camdale, Launceston and Hobart abattoirs.3

1985

  • Red meat industry wide rationalisation Chromy sells all operations to RMI Group, in exchange for shares3

1986

  • Rationalisation falls over and shares are rendered worthless3
  • Chromy rebuilt businesses.3

1992

  • Blue Ribbon employ 540 people, annual sales of $75M3
  • Blue ribbon is floated on ASX.3

1994

  • Blue Ribbon win Austrade Agricultural products category at the Australian export awards.3

2000

  • Blue Ribbon post a loss of $3.18M18
    • esculated debts to $6M owed to Commonwealth bank and $4M to suppliers18
    • Company shares trading suspended at $0.13 down from 1993 price $1.6018
      • Peak operation annual turnover AUS$75M and18
      • processed 50% of states livestock18
      • Exports worth AUS$28M18

2001

  • July. Blue Ribbon turn down a refinancing offer from a Melbourne based syndicate18
    • Announce company is put into voluntary administration18
    • Decision chosen as alternative to receivorship and allows 3 months of trading life18
  • Nov. Ian Paterson purchases Blue Ribbon5
    • Federal court hearing – collapse of Tasmainian meat works say Paterson ignore everyones warnings, including Blue Ribbons chief financial officer that the the company was insolvent, ignored repeated advice that works needed $2M in capital injection to function5
    • Paterson misled buisness partners and Blue ribbon administrators pretending he had backing from a group of investors when he was operating entirely on his own.5
    • Former Blue ribbon CEO Ray Joy was part of investment group4
  • Dec. Blue Ribbon go into recievership and close.4

2002

  • Blue Ribbon sold to HS Greenhams.4
    • Employs 100 people7
    • Refurbish the plant to international export standards9
  • Greenhams (new owners of Smithton) develop marketing strategy and sourcing program to help secure cattle for the meat processing plant21
    • included better information to producers about types of animals suitable21
    • information feedback to producers about their animals.21
    • set up scholarships to reinforce commitment to area21
      • result – enough cattle secured for production to peak within weeks of plant opening21
  • Mar. To start production again, processing 100 cattle per day to build up to 200 head a day4
    • Processing capacity of plant 300 per day26
  • June. Smithton retrench 21 workers7

2003

  • When original company went into receivorship employees fired from full-time positions19
    • rehired latter by a labour hire firm on 12-month traineeships19
      • Hire firmis a split company from Blue Ribbon called Newemploy20
      • meant to re-employ 300 workers20
      • Only employed 95 at beginning of dispute20
    • after traineeship period then offered independent contracts for $120 a day without sick leave or holiday pay19
    • Abattoir citing needs flexibility in employment structure19
  • August. Longest lockout in Tasmania’s history enters 21st week.20
    • In dispute – 23 workers locked out, 40 have left, 10 sacked in previous week20
    • sacked workers jobs outsourced20

2004

  • Smithton set up buying centre for cattle in Devonport17
    • Producers take animals direct to site, weighed and paid on delivery.17
    • Acts as direct sale to abattoir with no agents17
    • Abattoir pays for freight to abattoir from selling centre17
    • Estimated to save producer $39 per animal in cartage.17
    • Authors Note – Normally when a producer sells at a point that is closer to property of origin the sale price of animal is reduced, therefore I question if producer in this case would actually get a saving of $39. Saving would be due to no third parties. Jo. 29.12.2013.
    • Devonport is the 6th selling centre established  by the Smithton abattoir since take over in 2002.17
  • HW Greenham and Sons Pty ltd is ranked 13th in top 25 Processors in Australia28
    • Statistics include abattoirs Smithton and Tongala abattoir (Vic)28
    • 2004 End of Dec. Throughput 52,500 ETCW (Estimated tonnes carcase weight) 2003 51,000 ETCW28
    • Kill share 2%28
    • Turnover 2004/2005 $230M (2003/2004 $200M)28
    • Employees 47028
    • Production 95% export – 5% domestic28
    • Major export markets USA, Japan, Korea, Canada, Taiwan28

2008

  • Jan. Smithton (Greenhams) dismiss 6 workers before christmas after losing a key Asian customer6
    • Unfair dismissal case lodged with Australian Industrial relations commission (AIRC)6
      • AIRC found wages and other legal entitlements were paid but had no jurisdiction to determine if dismissal unfair or harsh.6
  • Jul. Signs a exclusive deal with large Korean retail group – Lotte Mart.8
    • Smithton facilities need expansion in boning room, if not undertaken run the risk of losing export opportunities8
  • Oct. Propose to install a coal briquette-fired boiler to replace the existing boiler that is currently fired by tallow and fuel oil.9
    • Rendering process converts by-products into value added products – tallow, meatmeal & bloodmeal9
    • Rendering uses large volumes of steam to cook the materials.9
      • Edible – frying fats, shortening, oils, bakery products, confectionary and industrial margarine9
      • Inedible – soap, cosmetics, lubricants, leather dressings, candles and tallow for tanning leather.9
    • Refurbished 10MW briquett-fired boiler – consume 1.2 t coal /hr at full production9
      • working on 5 day week basis, 10 hours a day – use 1,800 t a year, coal soarced from Victoria.9
      • Ash production 3,600kg pa9
  • Smithton express interest in upgrading port facilities at Stanley to allow King Island cattle imports25

2011

  • Jul. Government – Federal and state supply $1.1M, North-West and Northern Tasmania Innovation and Investment (NWNTIIF)24
    • NWNTIIF created to assist manufacturing businesses, a number of which have closed in area due to GFC24
    • Greenhams contribute $3.3M to upgrade facilities10. –
      • build and fit out new enlarged boning room, freezing area and slaughter floor10
      • upgrade plants rendering facilities22
      • development of new value adding processing facility22
      • increase capacity from 320 head a day to 380, potential up to 45010
      • created 20 jobs with a further 7 likely10
        • other articles say 2422 jobs, and 1723 jobs.
        • upgrade created 17 jobs to date and will provide another 7 by December24
      • Deminished waiting time for producers in summer when larger number of cattle available10
      • Expansion 4 years in negotiations10
      • improvement in technologies increases efficencies22
  • August – Smithton again consider assisting with financial support to upgrade Stanley wharf – deep water24
    • Stanley is deepest port in Tasmania25
    • Would allow King Island cattle access, King Island abattoir (Tas) closed in 201224
    • Other ports are Devonport24 and Burnie26
  • December – Smithton and Tasport upgrade port facilities at Stanley to reintroduce shipping to the area25


2013

  • Jan. MSA grading of meat cuts (had been implemented for a number of years)27
    • Smithton work closely with producers providing feedback on haveing cattle eligible for meat brands.27
    • certain cuts suite certain markets.27

MSA grading _edited-1Source – Peter Greenham Managing Director of Greeham Tasmania. 31.12.2013.
Cattle in MSA program are assessed for eating quality and marketed under particular brands.

  • Apr. American buyers looking to expand purchases of beef from $80,000 per week to $800,00011
    • Grass fed beef.11
    • Tasmania is the only Australian state to ban the use of HGP, therefore all stock are guaranteed 100% HGP free12
    • lot more market potential to be realised yet11
  • July. Cattle unloaded at Stanley port, utilising the port for the first time in 20 years.26
    • Use of Stanley port takes 5 hours off sea trip compared to Burnie and improved animal welfare26
    • Expect about 240 head each sailing26
    • 12,000 – 13,000 head from King Island each year26
      • similar to amount sourced from Island for last 5 years.26

    source animals _edited-1Source – Peter Greenham, Managing Director Greenham Tasmania.

Smithton abattoir sourcing of cattle for processing. They process approximately 500 animals per day which is about 112,000 cattle per year, currently employing 200 Full time staff plus casuals.26

  • Oct. Workers strike for higher wages.13
    • 160 beef processing workers set up picket line – 25.10.2013 with ongoing ban on overtime13
    • 115 of 160 workers belong to AMIEU14
    • previous work agreement had been made in 201014
    • Workers want 4% pay rise – Greenhams offered 2.5% over 4 years & cut of $200 a week to new employees13
    • Negotiations have been going for 6 months.13
    • AMIEU figures say production has increased 25% of number of stock being processed.13
    • Union requested figures to substantiate processing from Greenham, Greendhams declined to supply figures.14
    • Smithton processes 40 to 44 cattle per man per day, elsewhere in Australia averages between 20-2414
    • Longford abattoir (Tasmania – owned by JBS) get over tally for 24 head a man, effectively getting paid time and a half for anything over 24 head.14
  • Nov. Company re-negotiated offer15
    • Raising the pay increase but not wage structure.15
    • Greenham’s showed AMIEU union rep Troy Baker figures to suggest business would not be viable in long term unless new employees paid less “..sat back and looked at it with a percentage rises on top, over time it would have made the company hard to be viable in another 4 years time” Trot Baker – AMIEU15
    • with original offer 2.5% across the board, also accepted 2.5% increase in pay with a $750 sign on bonus for the first 2 years, which will increase to 3% increase in payfor last 2 years of an agreement15

Sources

  1. ‘Support for KI meatworks’ The Mercury. 18.06.13
  2. Public Opinion article. Advocate. 24.09.1941
  3. ‘Josef Chromy : an expert vintage’ http://www.dynamicexport.com.au. 30.07.2009
  4. ‘Australia: Smithton abattoir to reopen tomorrow’ Just foods. 04.03.2002
  5. ‘Blue Ribbon owner criticised over abattoir collapse’ ABC rural. 22.03.2002
  6. ‘Meatworkers dispute taken to federal IR commission’ ABC news. 07.01.08
  7. Company profile. http://www.greenham.com.au Accessed 13.11.2013
  8. ‘Delay in works at Tongala abattoir’ http://www.greenham.com.au 01.07.2008
  9. ‘Smithton abattoir coal fired boiler – development proposal and environmental management plan’ Ecowise. Oct 2008
  10. ‘A meaty boost to efficency at Smithton abattoir’ The Advocate 19.07.11
  11. ‘Tassie beef industry industry impresses US buyers’ The Advocate 12.04.2013
  12. ‘Our plants – Longford’ http://www.jbsswift.com Accessed 13.11.13
  13. ‘Meat workers to strike for higher wages’ ABC news 23.10.2013
  14. ‘Industrial action hits Greenham’ The Advocate 25.10.2013
  15. ‘Industrial action ended at Tasmanian meatworks’ ABC rural. 12.11.2013
  16. ‘Devonport City abattoir doing well’ ABC rural 26.06.2002
  17. ‘Liveweight cattle buying centre opens in Devonport’ http://www.greenham.com.au
  18. ‘Australia: Blue Ribbon meats to go into voluntary administration’ http://www.just-food.com 19.07.2001
  19. ‘Welcome to the revolution’ AMIEU 11.06.2003
  20. ‘Tasmania’s longest lock out enters 21st week’ Green left. 20.08.2003
  21. http://www.lib.uts.edu.au
  22. ’24 new jobs as Tasmania meat processor expands’ Manufacturers monthly 19.07.11
  23. ‘North west coast prospects beefed up by expansion’ Bavid O’Byrne MP. 19.07.2011
  24. ‘Stanley wharf left to rot’ The Examiner. 20.08.2011
  25. http://www.shipspotting.com – dated 30.12.11.
  26. ‘Port of Stanley ready to receive cattle ships’ The Advocate 04.07.2013
  27. ‘Red Meat Updates’ Tasmania. MLA 20.06.2013
  28. Feedback’s top 25 processors for 2004 MLA. oct 2005

Longford

Australian Abattoirs, Beef processing abattoir, Longford, Mainland, Tasmania 18/06/2013 Leave a comment

Updated 28.12.2013. Longford abattoir is located on the North east side of Tasmania mainland, South of Launceston. Owned by JBS the abattoir is a multi species abattoir currently operating.

Other Names

  • Longford JBS
  • Number 195.18

Current Operation

  • Aus Meat Accreditation registration dated 29/12/2015 #195 – JBS Australia Pty Ltd (Longford).17
    • registered as a Beef, Sheep, Offal export facility.17
  • Direct employment enquiries to www.jbssa.com.au

Location

Australia. Longford

Map. LongfordSource – Hema Maps – Australia Truckies Atlas. 

Owner

  • Gilbertson family
  • SBA foods (Sumikan)- 1996
  • Tasman Group7
    • Used to operate under name – Belandra Pty Ltd
    • Victorian based operation7
    • General Manager Fracnk Orovec7
    • Chairman Giuseppe Catalfamo7
  • JBS Swift1

Operation Of Longford.

  • Multi species processing abattoir2
    • Multi species abattoirs notoriously difficult and complex to manage5
    • Longford is Australia’s most flexible and diverse red meat processing site5
  • Capacity to process 450 beef a day, 1,600 Small stock such as Lamb, mutton and veal1
    • With beef operation also kills 1800 lambs and sheep a day, plus bobby calves and veal.5
  • Full Halal kill to key Muslim markets – Malaysia, Indonesia and Middle East.5
  • Full License access for beef and lamb export to China and Russia5
  • Carries out EU grassfed supply – MSA backed grassfed Natural beef program5
  • Longford carries out most of weekly grainfed kill on contract for Japanese owned Feedlot located in Tasmania5
  • Emphasis is directing sheep and beef meat to branded programs instead of selling product as a commodity meat.5

History Of Longford

2002

  • SBA Foods sell to Tasman Group Services – $25M9
    • Includes King Island9
    • Altona abattoir – Melbourne (currently mothballed) – been closed for last 2 years9
      • Past 4 years had $10M spent on improving beef slaughter chain, chiller and boning facilities9
    • Yambinya feedlot – Wakool, Deniliquin.9
    • Tasman Group already owned – Brooklyn abattoir – gutted by fire June 2001 and still closed in 2002.9

2003

  • Abattoir closed -part of union agreement workers to paid full entitlements7
    • Rescue package offered by Government7
    • More optimistic about workers future with package announced7
  • Abattoir had applied for new rendering plant7
    • $5M plant had already been built but formal application still required approval.7
  • 600 Tasmanian feedlot cattle went to King Island abattoir for processing.7

2006

  • Tasman Group Chairman – Giuseppe Catalfamo brided Cole’s head of supermarket merchadising Peter Scott (Coles fired Scott in 2007).6
    • Scott had acquired million dollar bayside apartment from Catalfamo6
    • Considered a breach of retailers code of conduct – Tasman group main supplier of beef in Victoria and Tasmania6
    • Catalfamo been caught bribing and meat substitution in past – horse-meat substitution scandel that threatened Australia’s export industry 20 years ago, fined and banned from exporting to the USA for 10 years.6
  • Devonport abattoir provides Woolworths with fresh sausages for 29 Tasmanian stores6
  • Tasman Group – report ending 20056
    • sales had increased 30% but profit halved to $6.3M6
    • Company borrowings total nearly $62M6
      • Main creditors – National Australia Bank, ANZ and Japanese meat company Hannan Corporation6

2008

  • JBS purchased as part of Tasman group when entered Australia with acquitsition of AMH5
    • Tasman Group consists of abattoirs in Tasmania – Longford, Devonport and King Island8
      • Tasman group 3 abattoirs in Tasmania including King Island and 3 in Victoria.8
      • JBS paid $US150M8
    • JBS also purchased Smithfield Group $US565M8
      • Has four abattoirs8
    • JB also purchase National Beef $US560M8
      • Has three abattoirs8
      • 2 meat processing facilities8

2009

  • March. JBS lockout company -Cuthbertson Brothers10
    • Cutherbertson process sheep and lamb skins supply footwear trade.10
      • 150 year old company – established by Blundstone11
      • Purchase 80% of Tasmanian production of sheep and lamb skins11
      • Processing plant at Launceston11
        • supply exclusively to Manufacturer Melbourne – Dynasty11
        • Dynasty is agent for Henan Prosper – worlds largest tannery located in China11
      • Employ 20 people11
    • Cutherbertson call on ACCC to launch formal investigation as breach of Trade Practices Act, JBS have misused market power to push players out of the sheep and lambskin market.11
    • JBS refuse to allow Australian Lamb Company to process animals at Longford11
      • Australian Lamb Company is major exporter11
      • Processed 1000 heavy lambs  per week.12
      • Loss of buisiness caused producers $7-$10 per head.11
        • Australian Lamb company forced to send stock to Melbourne for processing11
      • At 2009 – Longford is the only supplier of export grade sheep and lamb produce in Tasmania11
    • JBS is dealing direct with producers , by passing stock agents.11
    • JBS continued pattern of activities designed to force Cuthbertson Brothers out of market by approaching Cuthbertson’s major clients.11
  • Sheepskin tender lockout has caused producers receive 50% less for skins11
    • $3-$4 per skin11
  • ACCC are investigating the matter but JBS refusing to discuss with ACCC.11

2010

  • JBS lay off 90 workers13

2012

  • JBS Australia split into two operating entities to make Northern and Southern regions in relation to abattoirs and feedlots within those areas14.
    • South – Victoria, South Australia and Tasmania14
    • North – NSW and QLD.14

2013

  • JBS threaten closure of Longford if another abattoir is established on King Island abattoir (Tas)3
    • JBS say – not receiving cattle from King Island would hurt Longford operations3
    • JBS (at June 2013) still owned the closed King Island plant. It was not leased or for sale3
  • Longford Plant – Boning room to be reconfigured for great throughput to increase efficency5
    • Long term strategy to optimise production efficency5
    • Lift beef throughput by 50%, increasing beef killed from 300 currently to around 475 head5
      • Majority of cattle sourced – well grown Angus from Tasmania’s NE and NW regions5
      • Islands – King Island and Flinders can account for anything from 200-450 head a week, higher in the spring run.5
      • 80-90% of slaughter cattle are sourced direct from vendors5
    • More productive work hours – 4 day weekly roster, based on four 9.5 hour working days5
    • New technologies – X-ray fat analysis equipment to determine Chemical lean (CL) content5
      • Note – Chemical lean is fat/marbling amount through the meat, the higher the number the less fat content. 90CL very lean, 80CL has high marbling.
    • New technologies – metal fragment contamination screening5
  • Since purchase of facility – considerable infrastructure development, modern blast freezer facility5
  • Focus on growing a range of beef and lamb brands for both key domestic and international customers5
    • 75% of currently weekly kill is MSA accredited at slaughter5
  • Value add at facility – Supplies supermarkets and key customers5
    • Sausages, corned beef, marinated products, dicing, shanks5
    • conventionally packed or MAP5
    • sold under supermarket label.5
  • September. JBS launch brand launch.20

Beef central 27.09.2013 logo

 Great Southern Logo. Source Beef Central 27.9.2013

  • Great Southern grassfed beef and lamb.20
    • Products first of their type in Australia.20
    • third party audited program JAS/ANZ ISO.20
    • 65 accredited farm quality assurance programs backing the brand.20
    • huge demand in domestic and global customers for traceable fresh grassfed meat.20
      • supplied by best practice producers with better livestock genetics.20
      • MSA graded for eating quality.20
      • Farmers would receive premium prices.20
        • 10c/kg premium applied to grid for UK.20
        • 650 farmers through NSW, Vic & Tasmania accredited to supply the program.20
        • Audit costs (for farmers) are paid by JBS.20
          • Audits conducted by AsureQuality.20
        • Animals are consigned driect to JBS.20
        • forward pricing.20
        • Animals consigned through saleyards would not be eligible.20
  • “Today the margins are so tight that if you want a point of difference and that premium or no discount, you have got to be involved with quality assurance” Jeremy Upton, Producer.20
  • November. JBS Swift Australia install closed-circuit television camera’s (CCTV) in it’s Australian meatworks.19
    • For the purpose of animal welfare and meatworker safety issues.19
    • CCTV for internal use by only JBS, with no plans to allow outsiders to view the footage.19
  • JBS’s US beef division (which includes Australia) delivered drop in net sales and earnings in it’s third quarter financial results.22
    • 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.21
    • Earnings before tax $134M,.21
      • Down by 22.5% on previous quarter.21
      • Down by 28.4% on third quarter last year.21
    • result reflection of domestic North American markets.21
      • Improved performance had occured in Australian.21
        • Demand had increased in Chinese markets.21

2014

  • April. Longford is the only multi species processing plant in Tasmania at this point
  • Integration of the King Island beef kill into the Longford business has delivered better effiecncies and success at the plant with economies of scale not previously available.18
    • Longford is a more robust business than prior to integration.18
    • Longford now hs the ability and consistency to supply key markets.18
      • China, European union, US, Japan, Korea, Malaysia, Indonesia and Russia.18
    • Production has increased to 500 beef and 1,700 small-stock being processed a day.18
  • Grading quality of Tasmanian livestock is high quality, non HGP, non GMO.18
  • Beef sales, focused on direct sales to export and retail.18
  • Lamb sales focus on supply of domestic, retail and food service.18
    • including commodity lamb and mutton into China.18
  • Everything that can be value-added in the form of meat and byproducts at Longford is processed on site.18
  • All of the plant’s kill and much of the lamb production is boned, sliced and packed in 2 fabrication room.18
  • JBS no longer required to send animals for processing to the mainland.18
    • sausage making plant.18
    • packaged corn beef and lamb shanks for retail.18
    • By products rendering plant makes 25t tallow a day.18
    • lamb skins are graded and salted for weekly tender.18
    • cattle hides are sold green (unprocessed) to a local hide merchant.18
  • 300 producers support the Great Southern Farm assurance production program.18
  • Staff numbers at the plant had reached 450 employees.18
    • Devonport (domestically licensed) employing 150.18
    • Work was less seasonal and had better security.18
    • Future leaders program pathway available – Career Leadership Opportunities.18
  • July. JBS Australia across all facilities in operation kills daily14
    • 8,500 cattle,14
    • 24,000 smalls – which includes lambs14
    • Employs more than 8,000 people14
  • December. JBS currently operate 12 meat processing plants across 5 Australian states15
    • Wages & local procurement $730M (Excluding livestock purchases)15
    • Employs 8,500 people at the facilities15
      • Employs 12,000 people in Australia15
    • Total revenue of $6.5B15
  • 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)15
      • JBS share of Australian beef production 16%15
      • Market share of national small (lamb, mutton & goat) 16%
    • JBS spent $2.4M on halal certification costs of approved religious certifiers in 201415

    2015

    • June. Cost of processing in Australia 1.5-3 times the cost of processing animals in another country15
    • cost of processing grain-fed cattle in Australia is twice of the USA15
      • lower levels of productivity in Australia in regards to kg per unit of labour15
      • 2 major differences between Australia and the USA15
        1. Government regulation
          • $10 a head more in Australia15
          • Dept. of Australian Agriculture fully recover costs of meat export inspection and certification15
            • Australia wide DAFF costs $80M15
            • JBS contribute $14.5M15
          • Export plants don’t use DAFF but use approved employees, which plants fully cover costs15
            • JBS estimate an additional $30M at Export level15
          • USA & Brazil governments provide services at no or minimal costs to processors15
        2. Energy Costs
          • $15 a head more in Australia15
      • Technical barriers to trade (TBT’s)- Total value in Australia estimated at $1.25B as identified costs15
        • 261 TBT’s in 40 key markets15
          • 136 have significant trade distortion impacts15

 

Sources Longford Tas. JBS

  1. ‘Support for KI meatworks’ The Mercury 18.06.13
  2. ‘Abattoir closure claims unfounded’ The Stock and Land. 27.06.13
  3. ‘Abattoir closure warning’ http://www.mercury.com.au 26.06.2013
  4. http://www.jbsswift.com.au
  5. ‘Expansion plans ahead for JBS Longford – one of Australia’s most versatile meat plants’ Beef Central 21.10.2013
  6. ‘Woolies sticks by kickback butcher’ SMH 15.01.2007
  7. ‘Tasman Services fulfil final payouts’ The Examiner 23.10.2003
  8. ‘Big Beef producer cuts deal with Tasman Group’ The Age. 06.03.2008
  9. ‘SBA foods sell to Tasman Group Services’  Stock & Land 19.03.2002
  10. ‘End of the Tasmanian Ugg Boot’ The Examiner 03.03.2009
  11. ‘Submission to Select committee on Agriultural and related Industries – Inquiry into food production in Australian’
  12. ‘Abattoir cutback inconveniences lamb company’ ABC rural. 26.02.2009
  13. ‘Australia: Union shuts down picket of locked out meatworkers’ http://www.wsws.org 29.12.2010
  14. ‘The next Swift Shift’ The Weekly Times 30.07.2014
  15. sub50_JBS Inquiry into the effect of market consolidation on the red meat processing sector
  16. ‘ATO publishes tax data for agribusiness corporates’ Beef Central 18.12.2015
  17. AUS-MEAT Accreditation Listing 29.12.2015
  18. ‘JBS expands its books’ Stock & Land 24.04.2014
  19. ‘Swift CCTV camera action’ Weekly Times 13.11.2013
  20. ‘JBS unveils new QA driven southern grassfed brand program’ Beef Central 27.09.2013
  21. ‘JBS delivers lower third quarter beef sales, revenue’ Beef Central 14.11.2013

Ross River

Australian Abattoirs, Beef processing abattoir, Northern QLD, Queensland, Ross River, Townsville 18/06/2013 Leave a comment

Built in 1882, QLD meat export agency formed supplied contracts for supply of product to England. Plagued by industrial action its whole operating life most notably in 19919 when a violent clash between the unions and police occurred. Been through ownership receiver, beef price crash, strikes, droughts and market changes. Smorgons meat processors, last owner collapsed in 1994, facility closed in 1995. Site now developed as a residential site with only the chimney still remaining as a historic site.

Other names

  • Ross River meatworks

Current Operation

  • Closed 19951

 Location             

   Australia. Ross River         

            

Owner                 

  • Built by QLD meat export and Agency (QME) – Principal Sir Thomas Mcllwraith, QLD Premier2
    • QME was a government operated organisation
  • Vesteys purchased 19556
  • Smorgons6

Operation

  • Export
  • Nominal Capacity 120,000hd per 50 weeks1

Other abattoirs in the region

Pentland (QLD)

Townsville – Stuart (QLD

 

 

History of Ross River abattoir               

  • Initially was a major exporter for Townsville region
  • Meatworks chimney still stands today, restored

1866

  • Boiling works began operation 1 kilometre downstream from latter site of Ross River meatworks5
    • Boiled down tallow was selling in Sydney 46 shillings cwt, hides 16 shillings5
    • Gold discoveries forced works to close due to lack of stock supply5
    • closed 18705
  • Initial workforce of 7006

1882

  • Built and cost to build £75,0004
  • June. Started operation.5
  • Processing 80 head cattle day
  • used gravitational system, animal killed on one floor and then meat processed in others4
  • Wharf couldn’t handle the ships to transport frozen meat and a coastal steamer had to be modified to convey meat from wharf to ship.5
  • Operating company of meatworks imposed strict conditions on delivery of cattle, requiring animals to be delivered on particular days or suffer5

1890

  • QLD meat export and Agency co formed(Pg 47)8
    • Sir Thomas Milwraith & John Cooke, floated company with 1M pound8
    • Agents in London – Messrs. W Weddel and Co8
    • 5 year freight contract with Houlder Bros & co, for conveyance of 1200t meat per month8
    • Company formed to give graziers markets in the Old World (England) for their suplus cattle8
  • Plans submitted to build meatworks in Brisbane & Townsville.5

1891

  • Construction began – 6 acres freehold5
  • Was considered one of the best factories of the time with freezers and used electricity for lighting (Townsvilled didn’t have household electricity until 1923)5
  • When designed used a system of dry air compression, this was replaced with ammonia compression and air circulating batteries a few years latter (Pg 49)8
  • First industrial dispute before even began work5
    • Contractor (McCallum Park) v’s carpenters  – McCallums only wanted to pay 10 shillings a day, 2 shillings below going rate5
  • Industrial disputes would mark next 100 years of operation5

1897

  • Was receiving complaints about the effluent being pumped into the river after relocation of manure shed, rudimentary digestors installed that produced fertiliser and sold to locals5

1900’s

  • Mr Charles Harford – In charge at the time over a period of 13 years – Ross River abattoir was the most up to date abattoir he had seen4.
  • In reference to Ross River “In order to combat the exorbitant demands of labour it was necessary to use as much labour-saving machinery as possible”4
  • Costs – Total cost for yarding, killing and other handling as well as dealing with offal and by products was £1/3p per head for cattle and £18 per 100 sheep. Quoted in 1914 “..but the work could not be done at that price now”4
  • “One man knocked down 520 cattle in a day of eight hours”4
  • Difficulties arose in meat marketing – with competition form

site _edited-1Source – ‘A history of the frozen meat trade’. Critchell & Raymond. 1912.
Photo is undated Titled. QLD meat export and Agency company Limited. Ross River works Townsville.

1903

  • Cyclone Leonta hit Townsville on 9th March 1903. Causing widespread devastation. Many buildings at the Ross River meatworks were unroofed or demilished15

1910

  • Half of Freezing capacity was fitted with direct expansion piping, so effective the remaining freezing block was outfitted the following season as large expenditure (Pg 49)8

Prior to 1912 report

  • Manager Robert Stewart (Pg 48)8
  • A controlling holding in the company was purchased by G.S Yuill & co (London based)8
  • Ross River (then known as Ross Creek works) had recent upgrades and refitting.(Pg 48)8
    • Made the works the most up-to-date freezing works in the existance in either hemisphere (pg 48)8
    • Original freezing machinery plant ( air circulating batteries) and other equipment discarded.(Pg 48)8
    • New freezing and electric plant being erected with new steam engines, both for electric and freezing services – supply 220 lbs pressure through triple expansion, supplied by mechanically fired boilers and coal supply .(Pg 48)8
  • Ross River works, coal was expensive, water supply limited and drainage difficult – improvements now made the render at the works second to none for economy and convenience in working (pg 49)8

1917

  • Companies who operated meatworks asked Arbitration court to regulate wages and conditions in the industry to replace direct bargaining with the unions7

1919

  • company had won an court order in previous year to delete ‘union preference clause’ from the award wages system6
    • Clause had been in effect since 19117
  • February – More than 700 meatworkders resolved to declare works black6
    • AMIEU membership was 2442,largest branch at Ross River of 756 members7
    • 500 cattle released from stockyard and water posioned6
      • Cattle deliberatly released by protestors, ring leaders arrested. Supporters after speeches and drinking broke into a gunshop before marching on the watch house9
      • Violent clash between police and unionists. Trouble stemmed from long standing industrial unrest  between meat companies and AMIEU19.
        • Area was besiged by unemployment and economic depression19
        • Unrest degenerated into a riot with shots fired – 9 people injured, seven as a result of police bullets19
        • Townsville remained in a state of siege for weeks19
  • June – strike declared “Only meatworkers responded; all other unions voted to stay on the job. When the strike began about 80 ‘scabs’ were employed. By mid-August more than 300 were working, including AMIEU members who had dribbled back to work”7

1921

  • Export beef trade collapsed6

1953

  • Kenneth Woodhead Moore became manager of the Ross River meatworks14
    • Moore was manager until 1956.14

1955

  • QME – disclosed an overdraft of $2,392,954, at the time estimated cost of replacement of the works was $800,0006
  • November – offer from Vestey’s (British) accepted $1,575,000
    • Subsidiary company W.Weddel & Co – purchased Angliss meat interests in 1934.6
    • 1961 QME had entered into partnership with 11 other companies – Angliss Group6

old photo_edited-1Source – Wikipedia. Photo public property. Undated

holding yards_edited-1Source – This is Australia Oswald L Ziegler, Dated 1956.
Looking over holding yards of Ross River meatworks outside city of Townsville

1960’s

  • Extensive upgrades including a kill chain6
  • Women allowed to work on the killing floor6
  • Chilled beef shipments had resumed from Townsville for the first time since WWI6
  • QLD government resumed land for realignment of major raods Townsville to Ayr6

1975

  • QME submitted application to sub divide holding paddocks for residential blocks6
  • Australia was in a severe economic crisis.17
    • Most severe since the Great Depression.17
    • Profits slumped and mass sackings followed with general manufacturing factory closure occurring.17
      • Unemployment in Australia reached 5%.17
    • Whitlam Labour government at the time, economic policy swung from expansion to reining in the ballooning deficit.17
      • government felt key to recovery was ‘healthy profits’.17
        • attacked dole bludgers, wage rises and militant unions.17
      • large scale protests occurred across Australia.17
      • Townsville 3 meatworks stopped work for the day October 24.17

1992

  • Smorgon Consolidated industries purchased6

1993

  • Type 1 road trains – truck with dog trailer allowed access directly to meatworks3.

1994

  • Smorgon meat processing company suffer huge company collapse in early 1994

1995 

  • American markets opened for poorer quality meats and resulted in death knell of canning operations.6
  • February. closed5
    • closure announced by Smorgons on 27th Feb, 199510
  • A seasonlly operated plant that worked 9 months of the year, employed about 380 people, many long term employed at the facility10
  • previous year facility had processed 86,000 head of cattle10
    • projections that Live export would reach 390,000 in 1995 concerned union10
    • Australia’s total live cattle export for 1994/95 402,120 head and 1995/96 649,715 head11
  • Union and animal welfare group met and formed a group CALE (Committee Against Live Export)10
    • Tony Clunies-Ross as secretary10
    • CALE spearheads struggle to protect jobs and ease the suffering of animals10
    • Initive spread with CALE groups in Victoria and Western Australia10
  • 400 people lost jobs5

1997

  • Land purchased by a developer of Fairfield Waters12
  • Developer had originally planned to keep the chimney and three gable buildings near it to turn into a public monument and a brewery12
    • Never allowed as reports showed all structures structurally damaged and should be demolished12
    • Buildings were demolished12

1999

  • Buildings demolished leaving only brick chimney12

Chimney_edited-1Source – http://www.panoramio.com/photo/12516926, Tim Dickson, Not dated.
Remaining chimney of the Ross River meatworks

2007

  • Developer Lancicn planned to demolish chimney to build a resort.12
    • Engineering report commissioned by Lancini found chimney was too unstable and old to preserve12
    • Residents complained and ordered a professional report into stacks structural integrity12
      • report said chimney could stay12
  • Government then fought over who should pay for repairs12
  • Chimney was heritage listed12
    • repairs cost $200,000
  • Chimney is now surrounded by Lancini’s Springbank urban village.12
    • Claims of ghostly figures appearing by the chimney as dark outlines, thought to be the ghost of a man named Crawford who died at the works in 1901 after he fell into a vat of boiling fat.13

Sources

  1. Competition & Exit in Meat Processing. Agribusiness review Vol 7 1999
  2. ‘100 years of northern beef production’Nth QLD Register 22.11.12
  3. ‘Trucking Industry moves ahead’ Nth QLD Register 11.04.13
  4. ‘The abattoirs – Evidence before the commission’ The Adelaide Advertiser. 30.01.1914.
  5. ‘Ross River Meatworks, Part I’ Nth QLD Register 18.07.13
  6. ‘Ross River meatworks, Part 2’ Nth QLD Register 25.07.13
  7. ‘100 years of struggle and change’ AMIEU History. Claude Jones
  8. ‘A history of the frozen meat trade’ Troubridge & Raymond. 1912
  9. http://www.jculibrarynews.blogspot.com.au
  10. ‘Meatworkers and animal libbers form alliance’ Green Left Weekly. 30.08.95
  11. ‘The Australian livestock export trade’ Nigel Austin. 2011
  12. http://www.wikipedia.org/wiki/Ross_River_Meatworks_Chimney
  13. http://www.paranormal.com.au
  14. Australian Dictionary of Biography. Moore (1917-1990) Vol 18, 2012
  15. http://www.northqueenslandhistory.blogspot.com.au
  16. ‘Barricades & Batons: An historical perspective of the policing of major industrial disorder in Australia’ D. Baker. 1999
  17. anu.edu.au-Whitlam sacking 1975

Dubbo

Australian Abattoirs, Dubbo, New South Wales 18/06/2013 Leave a comment

Dubbo abattoir is located in central NSW and is the largest meat processor in Australia.

Current Operation

  • Operating (as at 2013)

Location             

Australia. Dubbo

Map Dubbo 002

Owner

Operation

dubbo plant_edited-1Source http://www.flectchin.com.au
The Dubbo processing facility

  • Is a world leading sheep meat processing plant that is fully integrated processing all parts of the animal4
  • processes own wool and significant quantities of shorn wool into tops, which are sold across the world for yarn4
  • main production is sheep meat, wool tops and various by products4
  • Exports to 95 countries4
  • Dubbo employs about 450 people, Processing capacity of 40,000 head13

History

1950

  • NSW government enacted a policy of decentralisation, led to slaughter works being established at Gunnedah, Dubbo, Goulburn and Wagga Wagga.(Pg 223)

1958

  • Establishment in NSW of central abattoirs in processing districts to supply all meat locally (Pg 224)
  • Six new abattoirs built Moree, Guyra, Blayney, Mudgee, Dubbo and Forbes.

1983

  • Council abattoir had been closed and pulled down (Pg 248)10

1988

  • Greenfield site was commissioned4
  • Roger Flectcher had tried to buy a number of other processing plants that were currently in operation or closed but others refused to sell or he was out bidded as rivals saw Mr Flectcher as a growing rival to their facilities.(Pg 248)10
  • Roger Fletcher designed, built and financed a new high tech plant at Dubbo, it was the first new plant for sheep processing in NSW for over a decade(Pg 248)10
  • Plant was innovative in way it was run10
    • new employment policies setting up first enterprise bargaining agreements in Australia(Pg 248)10
      • Allowed shift work, which other abattoirs couldn’t do due to union suppported tally system (Pg 248)10
      • worked with AMIEU, Minister of Agricultural Industries (Simon Crean) to establish new working culture and training programs (Pg 248)10
        • Dubbo was the first registered training organisation for the meat industry outside of TAFE (Pg 248)10
      • Dubbo was the first plant to hot-bone mutton10
        • Traditionally lamb was cold boned and packaged in carcass sold in stockings as legs, back straps and trunk, hot boning meant the carcass was broken up while still warm and cut into primal cuts12

plate freezers_edited-1Source http://www.fletchint.com.au

The Plate freezing equipment used that is automated

1990

  • Fellmongery commenced operation (Fellmongery is the process of removing wool from the skin)4
    • previously skins had been going to France unprocessed(Pg 248)10
    • The fellmongery produced wool tops. Through support of then Keating government wool scouring and wool tops plant was established to to make clothing, textiles and footwear(Pg 248)10
      • First example in Australia of a wool processing plant incorporated with an abattoir (Pg 248)10
      • Economies of scale of the vertical integration using inputs of labour and water assisted production (Pg 248)10

1995

  • Wool scouring and topmaking plant started operation4

1997

  • Roger Flectcher awarded the Distinguished Australian of the Year Award (Pg 251) in recognition of his contribution to business’s and community  in advice and assistance on many matters, some outside of the meat industry10

1998

  • Fletchers expand to Western Australia – Narrikup abattoir (WA)12 (Abattoir listing yet to be added to this blog site)

2003

  • Transport difficulties were always a problem at Dubbo, NSW had maximum weight limits meant 40′ containers could not be fully utilised.10
  • Flectcher’s built their own rail siding and spur line as the NSW government wouldn’t finance it10
    • 1.2km long12
  • Fletchers purchase Mudgee abattoir (NSW)

2006

  • Roger Flectcher was acknowledged for indigenous employment with Neville bonner Memorial Award, this award also commended his work in employing disadvantaged youth (Pg 251)10

2007

  • Charles Sturt University bestowed an Honorary doctorate of Business on Roger Fletcher (Pg 251)10

2009

  • December. Slashing production and reducing staff, Dubbo retrenched 300.7
    • Night shift will continue, traneeships suspended, employment no longer offered to Asian students, grey nomad travellers and gap-year students preparing for university11
    • Issues raised by Roger Fletcher in regards to production downturn – Devasting drought throughout eastern Australia, extensive world-wide industry changes, rising costs and plummeting sheep numbers11
      • Plans to gear back up facility when drought breaks11
    • National sheep herd at its lowest level sincer federation at 71.6M head7
      • fallen 7% in last year, down by 17.5M compared to June 20067
        • Citing Live export as major factor as many breeding ewes are being exported.7
        • Australia exported live sheep 3,578,182 (CY 2009)9, lowest export volume since 1990/91 and prior to that had never been lower after 1974/75.8 See Australian Sheep Industry
          • Authors note – I believe most sheep sent to Live export are older sheep or males, not suited for lamb slaughter in Australia.
        • Lee Norris (AMIEU) blamed Live export industry, particularly demand from the Middle East for pushing saleyard prices higher.7
      • Saleyard prices of sheep at historical highs7
      • Global financial crisis had failed to lead to expected falls in domestic and international demand.7
        • Surging demand for Australian lamb, domestically and internationally7
      • high Australian Dollar – Currently at US91.25c7
    • Tough times for entire meat processing industry, particularly exporters.7
    • December is normally a high throughput period, standdowns usually occur in winter.7

2010

  • January. Shift reduction – forced to scale back production because of a drop in stock numbers caused by the drought1
  • Shrinking sheep flock and record lamb prices blamed for cutbacks5
  • Plant wanted to merge night and day shift into one 10 hour day6
    • AMIEU demanded redundancies6
    • Plant proposed one week on/one week off shift structure.6
  • Fair work Australia hearing – new arrangement6
    • 300 casual staff without work1
    • 10 hour shift, four days a week, as first proposed with no redundancies.6
  • May. Hiring 50 new staff – plans to operate one shift a day and not 25
  • could take up to 5 years to reach peak production due to drought impacts5
  • Producers are holding breeding sheep in restocking phase after good rain6
    • forced the price of lamb up6
    • “If you have less sheep you’ve got to get the most from the product you have” Roger Fletcher, Company director6
      • to obtain extra cuts from sheep carcase, plant requires more people6
  • 5000 head of sheep being processed a day since end of January.6
  • Dubbo current capacity around 9,000 sheep a day.14
    • Exports over two thirds to 90 countries
    • Largest employer in the area that is inland regional
      • Around 40,000 population, 11% Indigenous
  • Dubbo employs 900 full time staff.14
    • Approximately 5% of all wage and salary earners in Dubbo
    • 70% of staff are full time and mostly male
    • 70 employees work in high-technology wool-top-making facility on site
    • Employ around 150-200 Indigenous people at any one time
    • Some overseas workers – Up to 65 overseas employees can be employed at one time under working holiday 417 visas.
    • Don’t use 457 visa holders to any great extent
    • All Halal accreditated slaughtermen are Australian residents
    • An EBA is in effect and provides pay and conditions above award rates
      • facility for staff to be paid piece rates
      • two thirds of workers are union members
      • AMIEU elected representatives on site
      • Joint consultative committee
    • Strong emphasis on internal promotion to act as reward and strategy to retain staff

2011

  • April Plant processing at only 60%3
  • Wool processing plant shut down due to Chinese competition (Pg 249)

 supply_edited-1

 

Source http://www.fletchint.com.au
Some of the 70 markets that the Fletcher company export too showing one of their brand labels.

Sources Dubbo.2  #2309

  1.  ‘Young reeling after abattoir closure’ ABC rural. 04.02.10
  2.  ‘Abattoir industry in disastrous state’ ABC rural 16.02.10
  3.  ‘Abattoir closures to come’ Weekly times 27.04.11
  4. ‘Roger Fletcher’ Lifting the Lid on Quiet achievers. 18.06.13.
  5. ‘Dubbo abattoir hiring new staff’ ABC News. 11.05.10.
  6. ‘Abattoir hiring new blood’ Daily Liberal. 11.05.2010
  7. ‘Lamb exporters make savage cuts’ The Australian 14.12.2009
  8. Australian Livestock export trade. N Austin 2011
  9. http://www.daff.gov.au, Sheep export voyages
  10. World on a Plate. Stephen Martyn. 2014
  11. ‘Fletcher chops 300 jobs at Dubbo’ The Land 09.12.2009
  12. ‘Roger Fletcher’ Meat Trade News Daily 01.01.2013
  13. Meat Processing in Australia. IBIS world. January 2014
  14. Work-skills-and-training-2301-1
  15. https://www.csu.edu.au/__data/assets/pdf_file/0010/614359/Fletcher-Roger-James.pdf
  16. http://www.abc.net.au/news/2010-05-11/dubbo-abattoir-hiring-new-staff/429854. 11.05.2010
  17. https://thenewdaily.com.au/money/finance-news/2013/10/24/dubbo-abattoir-completes-religious-kill/. 24.10.2013
  18. http://www.centralwesterndaily.com.au/story/2856478/dubbo-abattoir-and-workers-trying-to-sort-out-pay-and-production-dispute/. 03.02.2015
  19. http://www.abc.net.au/news/rural/2015-05-04/fletchers-shut-abattoir-for-a-week/6443354. 04.05.2015
  20. http://www.farmonline.com.au/story/3297667/stock-agents-told-to-chip-in-to-saleyard/. 01.06.2015
  21. http://www.theland.com.au/story/4557324/energy-crisis-could-push-red-meat-processing-offshore/. 01.04.2017

King Island

Australian Abattoirs, King Island, Tasmania 17/06/2013 Leave a comment

Updated 28th Dec. 2013. King Island is located in Bass Strait off the North western tip of Tasmania, midway between Tasmania and Victoria. It is approximately an area of 1098km2. Abattoir is currently closed

Current Operation

  • Closed September 20121

Location

     Australia. King Island 

Map - King Island 001 Source – Hema Maps. Australia Truckies Atlas     

Owner

  • JBS (Australian subsidiary)(2008), operates 11 facilities in Australia, world’s biggest meat producer – chief Executive Andre Nogueira4
    • JBS operates another plant on Tasmania mainland – Longford abattoir (Tas)9
    • also own and operate Devonport (Tas)20.( not yet added to blog)

 Operation

  • 70workers2
  • 100 Workers1
  • 105 workers, Island only has population less than 20004
  • Could process 800 head a week7
  • “JBS Australia’s facility is the only meat processing plant on the island and production is only limited by the availability of animals” JBS website accessed 13.11.2013.13
  • Daily processing capacity – 180 head13

 abattoir - ABC. photo_edited-1Source – Tasmania Times Article ‘States $12M fails to save abattoir’ 10.09.2012
King Island abattoir facilities – photo 2012.

History

2002

  • SBA Foods sell to Tasman Group Services – $25M34
    • Includes King Island34
    • Altona abattoir – Melbourne (currently mothballed) – been closed for last 2 years34
      • Past 4 years had $10M spent on improving beef slaughter chain, chiller and boning facilities34
    • Yambinya feedlot – Wakool, Deniliquin.34
    • Tasman Group already owned – Brooklyn abattoir – gutted by fire June 2001 and still closed in 2002.34

2003

  • October. King Island receive 600 head from Tasmanian feedlot32
    • King Island currently only operating 3 days week32

2005

  • King Island Industrial agreement 2005 registered (T12142 of 2005)38
    • AMIEU Tasmania branch/Tasman Group Services trading as King Island abattoir compass recruitment38

2007

  • AC Nielson Poll showed King Island brand logo was the most recognised beef brand in Australia15

logo _edited-1Source – www.kingisland.net.au. Logo as used currently, sourced 28.12.13.

2008

  • JBS Purchase7
    • Asset purchase included brand identity ‘King Island beef’15
  • JBS purchased as part of Tasman group when entered Australia with acquitsition of AMH19
    • Tasman Group consists of abattoirs in Tasmania – Longford, Devonport and King Island33
      • Tasman group 3 abattoirs in Tasmania including King Island and 3 in Victoria.33
      • JBS paid $US150M33
    • JBS also purchased Smithfield Group $US565M33
      • Has four abattoirs33
    • JB also purchase National Beef $US560M33
      • Has three abattoirs33
      • 2 meat processing facilities33

2009

  • April.Closed for one week, 100 workers stood down without pay5
    • Producers not informed of closure until it actually happened35
      • Some producers had only ever sold every animal they produced to abattoir for last 20 years35
      • some producers selling culls to abattoir but better quality to competitors – Some received $180 more delivered at feedlot on mainland Tasmania than at abattoir on King Island35
      • King Island abattoir wasn’t always getting premium meat going through35
      • Competition from buyers supports prices but too many cattle leaving island undermines abattoir.35
  • JBS citing structural issues with factory and yield issues35
    • Power on King Island is twice price as mainland Tasmania and 3 times price in Melbourne35
      • Power was costing 25c/kw hour37
      • Government had installed renewable energy project on King Island $45M – covered two thirds of Islands power needs.37
    • Effluent disposal needs to be improved35
      • King Island is only recouping $35 per head offal, other plants $70-$8035
    • freight subsidy given to producers for live animals leaving the island made JBS uncompetitive in cattle purchasing.35
      • Federal subsidy doesn’t cover exports – offal and hides is exports35
  • Govt negotiated with JBS to reopen plant5
    • Government agreed to underwrite company losses for couple of months35
  • Govt will reimburse the company for losses it may incur over the review period (8 weeks)as a direct result of reopening the facility, JBS Swift undertake a review of their operations and cost structures during that time5
    • all employees reinstated on full pay23
  • December.$12M – 15 year loan from Gov to JBS, to facilitate significant capital investment program by JBS6
  • Loan to support  capital investment program worth $14M, allow company to upgrade facilities and improve operational efficiency6

 “This money will secure the establishment of a world-class processing facility in King Island and ensure its ongoing viability” Tasmanian Premier John Bartlett6

  • Loan was repaid in full22
    • Government have first option to buy because of loan22
    • loan repaid in full days before decision was made to permanently shut the business down
  • Producers set up fighting fund to protect industry brand  – padi $1 a head levy cattle processed at island’s abattoir to ensure only beef produced and processed locally was branded ‘King Island Beef’15

2012  

  • July. Livestock ship Mathew Flinders runs aground with 300 cattle on board.36
    • allegations meat workers tampered with propellor36
  • September. “Despite investing millions of dollars into upgrading, the Tasmanian abattoir has never been profitable since his company purchased it’ John Berry CEO JBS.2
  • JBS has cited high freight and operating costs and variable livestock supply as reasons for the closure and is in talks with the 70 employees of the abattoir about redeployment2
    • Cited number of reasons of closure including power and energy costs20
    • Costs in terms of utilities and domestic and export freight costs as key reasons21
    • Increase in Australian dollar21
    • leakage of cattle to processing plants in northern Tasmania28
      • local price often less than other works – producers shipped stock live to mainland Tasmania28
      • King Island abattoir only had capacity to process two thirds of animals produced each year35
      • JBS can process 900 King Island cattle in Melbourne in less than one day at fraction of cost of processing in King Island35
      • Smithton abattoir (Tas) alway sourced 12,000 – 13,000 head of cattle from King Island and had done each year 2008-201331
  • Closure was total surprise to producers who had supplied and working with management to improve efficencies14
    • Livestock immediately devalued by $100 per head.28
  • JBS has welcomed producers processing animals at their Longford abattoir (Tas)14
  • Additional costs to transport to Longford is expected to be $70/hd14
  • TFGA (Tasmanian producer organisation) urgently calling on government to address red and green tape which is making business in Tasmania and Bass Strait so costly, including crippling costs of freight14
  • October.JBS refuse to sell or lease the vacant facility3.
  • Tasmanian government pledges $80,000 to determine whether a new abattoir on the island would be feasible3
  • Costs producers $10 head to transport to abattoir on the Island, will cost $110 to transport to Longford, on mainland Tasmania, South of Launceston3
  • JBS offer a community development scheme – $60,000 – $80,000 a year.24
    • JBS want to retain 50% of Islands annual beef turnoff to continue production of King Island beef brand24
    • Scheme administered by a local committee and JBS staff – $3 per head sold to Devonport or Longford plants on mainland Tasmania24
    • Scheme will be paid on a monthly basis.24
  • JBS had injected $100M into King Island economy during 4 year ownership of abattoir24
  • JBS met with community for protecting and continued use of King Island beef brand from other abattoirs24
    • farm assurance scheme – involves segregation of livestock in transit24

2013 

  • February. Formally Closed. Not opening after regular 6 week break. Closed without warning.8
  • Citing – high cost of doing business on a remote island, rising power prices, uncertainty of cattle numbers and transport logistics. More expensive to export box of beef to mainland than to overseas8
    • 80 jobs lost
    • Worth about $3.5M in wages to local economy28
    • Employed four out of 5 islanders29
  • Half of labour, employed seasonal Korean students and NZ workers as only operated a few days a week and locals shunned irregular part-time work8
  • May. Effect on community29
    • Businesses suffered downturn of 5% up to 50% in sales29
    • Multi-species abattoir committee29
      • look at processing bobby calves, sheep.29
      • Local consumption use of product29
      • Wallabies are major problem on King Island – look into processing them29
      • seeking a government grant of $400,000 to put towards small multi species abattoir on island29
  • June. Feasibility study released and found that a new abattoir could be built on King Island for $30M8.
    • Tasmanian Government commissioned report in Sept. 2012.8
    • $48,000 study conducted by Felix Domus consulting.9
    • Report says abattoir capable of processing 40,000 head, cattle.8
    • Most of Island producers would need to fully commit to supplying the abattoir to succeed.8
    • 75% of King Island producers would need to commit, with a reliable supply of 39,000 head a year10
    • 31,400 cattle processed would cover costs and make 6% profit of $840,000 per year25
    • 39,000 cattle would enable profit $1.9M25
    • prior to closure 800 young cattle were being processed a week, remaining 12,000 shipped to Longford abattoir (Tas), Devonport abattoir, Smithton abattoir (Tas)25
      • Average King Island abattoir throughput was 28,000 head annually28
    • King Island beef needs to be better marketed – especially to high end retailers and restaurants10
  • Feasibility study of King Island abattoir proposal attached
  • Another processor located on Tasmania mainland at Smithton abattoir (Tas), operated by Greenhams, Producers are paying $112 per head to send cattle from King Island to mainland9
  • “The associated brand new multi-million dollar producer and taxpayer funded effluent plant remains unavailable for use” Tasmanian Greens MP. Paul O’Halloran11
  • JBS, who own Longford abattoir (Tas) on the mainland threaten to close it down if another abattoir is built on KI. Saying that not receiving cattle from KI would hurt its business at Longford12
    • JBS – John Berry denied making this claim, saying Tasmanian Greens MP Paul O’Halloran had raised it as a possibility in State parliament11
  • July. ACCC had considered investigating why JBS refused to sell King Island – ACCC won’t carry out investigation as “The act does not apply to a company that merely holds an asset and takes no action in relation to that asset” ACCC statement26
  • September. Subsidy is offered by government for frieght of live cattle to Tasmania.16
    • King Island package – $1.246M for 12 months, one-off short term response to significant shock experienced due to abattoir closure17

    “Package is intended to assist producers to transition to a new model that involves off-island transport to mainland Tasmanian processors for slaughter” Minister Bryan Green – Tasmanian Primary Industries minister.17

    • Sole freight service for King Island – Searoad Shipping and Logistics – do a triangular service from Melbourne, Devonport and then Port of Grassy (King Island)25
    • Current vessel Mersey capacity of 4000t could be put out of commission for newer larger vessels.25
    • Larger vessels can’t dock at Port Grassy25
    • King island import all fuel and would require export beef.25

    boat for transport #3_edited-1Source – ABC Rural ‘ King Island freight Subsidy’ 17.09.2013Barge that transports cattle from King Island to mainland Tasmania

boat for transport #2_edited-1Source ABC Rural ‘King Island freight subsidy’ 17.09.2013

Open deck of barge used to transport King Island cattle to mainland

  • Problems with shipping on Bass strait due to severe wind conditions29
    • If the swell is large the ship can damage the wharf.29
    • Situations when cattle are waiting to be loaded but had to be taken back to properties due to dangerous swell.29
  • Freight subsidy covers only one third cost of freight16
    • Equivalent to $30 per head transported17
    • King Island local producers are struggling after abattoir shut down.16
    • Flinders Island has no freight subsidy – boat ride from Flinders Island to mainland Tasmania – 8 hours, costs $65 after Tasmanian Freight Equalisation scheme17
  • Freight subsidy could be sliding scale – $26 into Stanley, $30 into Devonport27
    • would act as disincentive to increase freight efficency27
  • Actual costing of freight30
    • King Island to Tasmania – $154.30/head30
    • Tasmania to Victoria – $111.5530
      • Authors note – these costings were done May 2008.
    • Difference $42.75 – Victorian abattoirs on occasion have processed King Island cattle.30
  • $300,000 public wharf upgrade was funded by Tas Ports, LD shipping and Smithton abattoir (Tas) operated by Greenhams.27
  • New operation has saved 7 hours off transport time for King Island cattle to Smithton abattoir (Tas) abattoirs. (Compared to delivery to Devonport)27
  • Port Stanley upgrades completed, closest port to Smithton travel by ship takes 7 hours.31
    • King Island to Bernie port delivery takes 12 hours.31
    • Stanley port upgraded due to investment by Smithton31
      • Smithton will source 12,000 -13,000 King Island cattle each year31
      • Ships travelling 3-4 times a week, carrying 240 head each sail.31
  • JBS “Company is still pleased with its decision to close (King Island)” John Berry. JBS director16
    • Islands King Island and Flinders supply 200-450 head cattle a week, higher in spring run.19
      • King Island supplies 20% of the States beef herd29
      • Some producers sending cattle at 300kg on boat to feedlots in Tasmania to grow animals out to 600kg.28
      • 1,000 – 1,500 animals can’t be shipped – will be shot on island28
      • Bobby/Veal calves can’t be sent as too young,29
    • Longford process 450 cattle a day – 4 day week roster.19
  • November. ACCC charge a Victorian Butcher, Hooker Meats Pty Ltd $50,000 for using King Island logo15
    • King Island 140 beef farmers fought many years to protect regional brand reputation.15
    • There are manufacturers of King Island rabbit – King Island has no rabbits35
    • There are manufacturers of King Island wine – King Island has no vineyards.35
    • National food do producer and market King Island cheese.35
  • December. Tasmania to receive Farm Finance Package18
    • Last state to do so and halved from original allocation to reallocate funds to drought stricken QLD producers18
    • Funding $15M, Loans up to $650,000, interest rate initially at 4.5% and interest only payments for up to 5 years18
    • Available for debt restructuring and mitigate impact of tough seasonal conditions.18
    • Producers not happy with allocation – “It’s become difficult to farm over here during the past 20 years” David Amos. Swansea sheep producer.18

 

Sources

  1. ‘King Island mounts facebook defence’ Weekly Times 10.10.12
  2. ‘King Island Abattoir to close’ ABC rural. 10.09.12
  3. ‘King Island abattoir plan’ Weekly Times 30.10.13
  4. ‘Famed beef producer King Island has closed its only abattoir’ Meat Trade News daily 13.09.12
  5. ‘Swift’s King Island abattoir reopens’AFN  03.04.09
  6. ‘King Island Beef brand to live in with abattoir rescue package’ AFN 23.12.09
  7. ‘King hit to abattoir leaves island in shock’ The Australian 23.02.13
  8. ‘Study finds new King Island abattoir viable’ ABC News 18.06.13.
  9. ‘Support for KI meatworks’ The Mercury. 18.06.13.
  10. http://www.kingisland.tas.gov.au/webdata/resources/files/KIAFSG%20final%20report%2017%20Jun.pdf
  11. ‘Abattoir closure claims unfounded’ The Land. 27.06.13
  12. ‘Abattoir closure warning’ http://www.themercury.com.au  26.06.2013
  13. http://www.jbsswift.com.au
  14. ‘Abattoir closure devastates King Island farmers’ http://www.tfga.com.au
  15. ‘ACCC swoops on King Island beef brand claims’ Beef Central 13.11.2013
  16. ‘Abattoir closure continues to bite’ ABC News 14.09.13.
  17. ‘Flinders farmers seek gaurantee’ Stock and Land. 21.11.2013
  18. ‘Reduced Farm finance share open for Tas” Stock and Land 20.12.13
  19. ‘Expansion plans ahead for JBS Longford – One of Australia’s most versatile meat plants’ Beef Central 18.10.13.
  20. ‘States $12M fails to save abattoir’ Tasmanian Times 10.09.12
  21. Parliment Hansard. Richard Colbeck. 10.09.2012
  22. ‘Jobs in balance as abattoir closes’ ABC News. 11.09.12
  23. ‘King Island abattoir set to reopen’ Stockjournal 27.05.2009
  24. ‘Australia – JBS Australia abattoir on the King Island’ Meat trade News daily. 14.10.2012
  25. ‘Tasmania looks into new abattoir for King Island’ http://www.fullyloaded.com.au 18.06.2013
  26. ‘ACCC says no to King Island abattoir inquiry’ ABC news. 13.07.2013.
  27. ‘King Island freight subsidy fight’ ABC rural. 17.09.2013
  28. ‘Cattle Stranded’ ABC Landline 18.11.2012
  29. ‘King Island Beef farmers battle their own live export crisis’ The world today 31.05.2013
  30. ‘Tasmania Freight subsidy reforms’ Letter Grant Ryan. 01.05.2008
  31. ‘Port of Stanley ready to receive cattle ships’ The Advocate. 04.07.2013.
  32. ‘Tasman services fulfill final payouts’ The Examiner 23.10.2003
  33. ‘Big beef producer cuts deal with Tasman Group’ The Age 06.03.2008
  34. ‘SBA foods sell to Tasman Group Services’ Stock and Land 19.03.2002
  35. ‘Long Live the King’ ABC Landline 11.05.2009
  36. ‘King Island meat company’ AMIEU Tasmania 09.07.2012
  37. ‘Power costs short circuited JBS’ Nth QLD register. 11.09.2012
  38. http://www.tic.tas.gov.au. 04.07.2005

Wyndham

Australian Abattoirs, Kimberley, Western Australia, Wyndham 16/06/2013 Leave a comment

Current Operation

  • Closed

Location              

  • East Kimberley, 120km from NT border

Map Wyndham

map.Wyndham 001Source – Hema Australia Handy map 9th edition.

Locations of other Australian abattoirs.

Owner

  • Project Development Corporation (PDC) prior to 19765
  • Wyndham Meats (1960’s)
  • Hookers & PDC created a joint venture (1976)5
  • Hookers owned outright (1978) operated as Norwest Beef Industries Limited5

Operation

  • Seasonal operation killed May to September1
  • Average turnover was 30,000 hd cattle1
  • 45 yrs of public operation ran at a loss, sold 19661
  • Was export accredited – received cattle from NT prior to 1959 (when Darwin and Katherine) built1

 History

1897

  • JJ Holmes – Member for East Fremantle, member of parliament, at time Commissioner of railways – talked of long range solution to tick problem was formation of freezing works and chilling works at Wyndham. Pg 1777

1906

  • Talk of forming syndicates for chilling and beef-extract works in Wyndham. Pg 2057
  • Richard Tilden – British promotor who had been involved with failed mining schemes in Kalgoorlie, tries to raise capital to establish a floating abattoir.Pg 2337

1907

  • Properties from Kimberley were loading cattle at Wyndham for delivery to Robbs Jetty abattoir (WA), SS Mildura had run aground at North-West Cape and caused drowning of all 700 cattle aboard. Pg 2377
  • Kimberley pasturelands was producing more cattle than WA state could consume and were walking cattle overland to Queensland abattoirs.Pg 2367
  • James Mitchell, Minister for Agriculture promises provide two thirds of cost of construction of works at Wyndham. 40-50,000 pounds. Interest free for first 5 years and thereafter on gaurantee of 5%.Pg 2377
    • People weren’t happy with the meatworks receiving assistance.7

“Why should rich firms like these get large sums of government money free of interest whilst a struggling farmer can get no more than 500 punds and pay 6% for it” West Australian Newspaper.Pg 2377

1908

  • Techinical advisor of a large freezing works in Syndey investigates Wyndham proposal and advises cost to be minimum 100,000 pounds, 25,000 above original estimate.7
    • expert estimate included Jetty and supply of fresh water sourced 20 miles away from site7
    • Government withdraw support of funding. Pg 2597
    • Michael Durack visits William Angliss, who owns meatworks in Footscray, Melbourne, Angliss advises Durack that excluding land the facility cost 50,000 pounds, including freezing, chilling, boiling down and preserving works. pg 2677
  • Bovril Australian Estates show interest in partnering building of Wyndham abattoir. Pg 2937
    • Bovril would latter build Bullocky point abattoir (NT) in 1917, which only operated for 3 years
    • Bovril had just taken up leases in 1908 Victoria River Downs in NT and Carlton near Wyndham.Pg 3157
    • Bovril also said to be considering purchase of a steamer to convert to a floating abattoir7
      • approached Australian government for assistance and wanted to use Asian labour, business would be conducted in Cambridge gulf and not infringe on White Australia policy of the time. Pg 3157
  • Government attempted to assist with cattle movement – as alternative to sea transport subsidised the development of the Canning Stockroute. Pg 3167

1910

  • Kimberley cattle being sold for 3 pounds in Fremantle after shipping from Wyndham and Derby. Pg 3247
  • Live export was opening up to Philippines which would take light weight cattle. Pg 3247

1911

  • Advisor to Bovril that suitable site for an abattoir was on property Auvergne. Pg 3427
  • Government surveyor Sanderson, advises on feasibility of abattoir at Wyndham, with water being sourced from various sources.
    • Project wasn’t an alternative to Manilla live export trade but would be advantage to ship frozen meat to avoid quarantine  problems with stock to be held prior to shipping.Pg 3437
  • If meatworks not established in 1912. Richard Tilden would undertake project at estimated cost of 25,000 pounds, not including water which government was expected to provide. Pg 3497

1912

  • WA change of Government from Liberal to Labor – leader John Scadden. Withdraw support of Wyndham abattoir. Pg 3807
    • The government enter the Wholesale butchery business to reduce price of meat to public. Pg 3807
    • Government also take over shipping along coast. Pg 4377

1913

  • NT government talk of establishing meat works in Darwin, this is not supported by WA producers though a meatworks in Katherine was. Pg 3917
  • Government had already commited to establishment of abattoir in Darwin.7

1914

  • Vesteys sign a contract with government to establish meatworks in Darwin. Pg 4147 – Bullocky Point abattoir (NT)
  • Declaration of WW1 occured – WA government reconsider establishment of meatworks at Wyndham. Pg 4147

1915

  • March. WA state government sign a contract with building group Nevanas for materials and to construct abattoir for 159,510 pounds. Pg 4217
  • Bullocky point abattoir (NT) construction is well underway. Pg 4287
  • July. Agreement between government and Nevanas ended and Wyndham abattoir construction again under review.Pg 428.7
    • Shipping space to Nevanas had been made unprocurable. Pg 4307
    • 3% of estimate had been paid. Pg 4307
    • government renegotiated with Public works to build abattoir, some materials already delivered to Wyndham. Pg 4307
      • No public tender called and reaction of public was unfavourable.Pg 4307
  • Government supply two more ships for coast transport of people and cattle7
    • N.2. prinz Sigismund – Kaisers private yacht – renamed the Bambra. Pg 4377
    • Kangaroo – new vessel, first diesel engined motor vessel. Pg 4377

1916

  • Wyndham works making progress – mile from town, Water pool is located 20 miles out with 2 25,000 gallon tanks and pumping site.Pg 4417

1917

  • Trade union strikes impeded progress of meatworks construction. Pg 4547

1918

  • Meatworks costs now 723,000 pounds from original estimate of 155,150. Pg 4627
    • Debate on how the works was to be run, by the state or a joint enterprise. Pg 4627
    • Nevanas claimed they had the right to solely operate the facility. Pg 4627
  • Construction finished late in 1918, facility had an electric lift. Pg 4697

1919   

  • Constructed as a public meat works1
  • Meatworks to be operated under Government control7
    • Government offered producers 5-7 pounds less than other markets.Pg 4727
    • Post war markets and freighting costs were still indefinite.Pg 4727
    • Outbreak of pneumonic influenza forced quarantine – disrupted travel, delay in loading and unloading cargo.Pg 4737
  • Government resumed land held near abattoir, 60,000 acres, land was resumed forcefully including all improvements, living quarters, yards, fences and wells, from Duracks with no compensation. Pg 4817

1920

  • VRD cattle (Owner – Bovril Australian Estates) were Wyndham’s largest supplier5
  • Angliss discuss with Durack possibility of leasing Wyndham works.7
    • Angliss has processed in Australia 1,250,000 sheep and 30,000 cattle. Employed 1,000 men at 4 pounds to 4pounds 10 shillings a week. Pg 4907
  • June. Works having difficulties – inexperienced workers and strikes for higher pay. Pg 494.7

1930  

  • VRD supplied one third of 10 568 head slaughtered this year5
  • Abattoir paid £3 1s 5d, compared to realised value on VRD for 4000 head purchased by Sidney Kidman, paying £4 2s 6d5Pg 118.
  • ‘condemns’ chuted to be processed as meatmeal – ‘political reasons’5Pg 144.

Note by Jo Bloomfield – Not sure what this statement was in reference too – think there was strife between the management and workers and more than usual number of condemned cattle occurring, Could also refer to the government overseers.

1942

  • Japanese attacked Darwin, Government at the time were concerned if Japan invaded from the north that they would have a ready supply of meat and food therefore temporaily closed the meatworks down from this time to approximately 1949.6
  • Government also had landholders remove many cattle from northern properties and move south incase of invasion, so as to deny ready food source6
  • Cattle which had normally supplied this abattoir were now walked down the Murranji stockroute, eventually to QLD, 47,000 cattle in 1942, 30,000 from Vestey’s Wavehill alone. Demand for meat had increased on east due to Troops6

1949

  • ‘Airbeef’ Cattle slaughtered on Glenroy station, meat flown to Wyndham and Derby for exports and freezing1

1950’s

  • Abattoirs in the north were still operated ‘frontier mentality'(Pg 64)9
    • short processing seasons of 20-25 weeks9
    • largley itinerant labour9
    • Living and working conditions were dangerous9
    • Animal welfare standards were low9
    • Sanitation compiled to UK market standardsfor quarter beef, were well below standards for emerging US markets of boxed beef (Pg 64)9
  • US grinding beef market of the late 1950’s suited the cattle that were present in the north (Pg 64)9
  • Plants were encouraged to upgrade to meet USDA standards (Pg 64)9

1959

  • Improved to meet stringent USDA (USA Dept of agriculture) hygiene regulations1

1960’s

  • Wyndham Meats – Collective bargaining with Emanuel Exports, including Derby and Broome
  • UK agreement – quarter bone in carcases – meat was of inferior quality. Many condemned and processed into meatmeal5

1966  

  • Abattoir sold to private buyer1.

1968

  • Entire plant is condemned for its wooden structure by USDA reviewer(Pg 64)9
    • Decision was extended to cover all Wyndham beef on the water and in the US9
  • Affected importers and exporters, Wasn’t covered by insurance (Pg 64)9
    • finanical fallout took many years to resolve.9
  • Connections in Eastern Europe and Austria came in to play (Pg 65)9
    • 1,000t of affected product still in Australia was picked up at Wyndham and sold to Romania, with health certificates9
    • Export statistics don’t show shipments to Romania for that year, apparently customs and DPI were not present at loading9

 1970

  • Couldn’t meet USDA standards – lost export licence, so did Broome, Derby, Darwin and Katherine1
  • Beef Crisis was taking effect, many northern abattoirs were losing money.9

1970’s 

  • Ray Fryer – Uranpunga, Roper Gulf (NT) – trucked his own cattle from property to works. 3 day round trip, 1100 miles, 22 bullocks or 20 cows, received $150/hd ($3000 total), cost $500 fuel. “It was the only way to get a bit of money coming in”4

       1974

  • Ian Mc Bean was sending load of cattle from Bradshaw, return of sale barely covered costs of sending the animals (Pg 122)8

1976

  • PDC & Hookers created joint venture in attempt to rationalise the Katherine and Wyndham meatworks, outside shareholdings also purchased5

1978   

  • Hooker Corporation owned outright5

1985  

  • Export beef plant closed June 19851
  • Stayed open longer than other plants as was subsidised by the government3
  • Effluent from the works ran into a drain and straight into the sea, great burly for sharks (Pg 67)9

Sources

  1. ‘Sailing ahead’ Annabelle Coppin. 2009
  2. ‘The Australian livestock Export trade’ Nigel Austin 2011
  3. ‘Northern Australian Beef industry – Assessment of risks and opportunities’ ABARE 2012
  4.  ‘Red Dust Rising- The story of Ray Fryer of Urapunga’ Marion Houldsworth 2004.
  5. ‘The Big Run- The story of VRD station’ Jock Makin. 1970
  6. ‘The Murranji track – Ghost road of the drovers’ Darrell Lewis 2007.
  7. ‘Sons in the Saddle’ Mary Durack.
  8. ‘The privileged few’ Jeff Hill. 2008
  9. ‘World on a plate – A history of meat processing in Australia’ Stephen Martyn 2013

Point Stuart

Australian Abattoirs, Northern Territory, Point Stuart, Top End 15/06/2013 1 Comment

A small abattoir that was in operation prior to  BTEC was being conducted, Processed buffalo and cattle.

Other Names

  • Jimmy Creeks meat works

Current Operation

  • Closed

Location   

  • 150km E of Darwin

Point Stuart abattoir ruinsSource – Northern Territory Library. Not dated.

Point Stuart abattoir ruins.

Owner                                 

  • Epitoma Pty Ltd1

Operation

            

History

1970’s

  • Alan Woods worked as an accountant for the abattoir.6

1973

  • Bulls and other cattle being delivered to site by Tom Fawcett from Old Mt Bundey station(Pg 162)4

1975

  • Paddy Heatley carted buffalo from Walgait reserve to Pt Stuart (then called Jimmy’s creek)5

1980

  • abattoirs closed for a period (Pg 244)4

1983

  • AMEU served logs of claims to set up tally system2
  • Workers contracted, unskilled workers earned $50-$60 a day2
  • Skilled slaughterman earn $350 day2

1984

  • AMIEU set up picket line3

1987  

  • Closed prior to 871

Source

  1. Savanna Responses to Feral Buffalo in Kakadu National Park (2007)
  2. Mudginberri revisted: a case study of a secondary boycott. Green Left. 16.01.13
  3. Mudginberri dispute. Wikipedia 16.01.13
  4. ‘The Privileged Few’ Jeff Hill. 2008
  5. http://www.roadtransporthall.com
  6. ‘NT live exporters mourn loss of founding identity Alan Woods.’ Beef central. 18.02.14