Tag Archives: NSW abattoir

Cootamundra.1 #87. NSW

Cootamundra is located in south eastern NSW. It was operated by one owner for over 30 years to be recently sold to another Australian group, Manilda in 2014. The same year it obtained tier 2 export status. The facility was mothballed in February 2017 due to lack of sheep supply but remains registered under Aus-meat. (Accessed 02/10/2017)

Other Names

  • GM Scott lamb and beef processing plant2
  • Manildra Meat Company, from 2014.

Current Operation

  • Is currently mothballed as at 25/02/2017
  • Ausmeat accreditation Number 0087.6
    • Accredited as a domestic abattoir current in 1987 as #35N7
    •  
  • MSA accredited plant Establishment Number 0035 current as at 27.08.20138
  • Accredited as a Export abattoir current in 2013 as #876

Location   

  • Cootamundra is located approximately 95 km north east of Wagga Wagga
  • Facility is located on the Temora road19

Cootamundra 1

Cootamundra 2

Hema Maps – Australia Truckies atlas.

Other Australian Abattoirs.

This link will lead to a interactive page that lists past and present abattoirs, meatworks and processors in Australian.

Owner

  • GM Scott1
    • Owner Barry Noble.3
  • Manilda Group (2014)4

Operation   

  • Cootamundra is a multi species abattoir that has capacity to process22
    • 4,000 small stock and22
    • 600 head of cattle per day22
    • Has a goat processing line22
    • Export access to 160 countries including Asia, The Middle East, Northern America and Pacific Islands22
    • Employs 300 people23
  • GM Scott – Is a privately owned business with an annual turnover of $25M3
  • Gas-Flushed cryovac system for products produced3
    • Product is sold into export and domestic markets3
  • Brand name used is – Noble farm brand.3

abattoir-11-06-2015

Source. ‘Manildra remains committed to town’ Cootamundra Herald 11.06.2015

Manildra Meat Company, Cootamundra abattoir

Contacts

For employment enquiries contact Manildra Meat website and go to contacts.

contact-details-for-employment

History

1952

  • Cootamundra facility established3

1963

  • Cootamundra facility is currently operated by Conkey & Sons Ltd34
    • Export facility that has chilling, freezing and freezing storage capacity34
    • Authors Note. This facility could actually be in relation to Harden NSW

1980’s

  • Noble family purchase facility3
  • Manager / Owner is Barry Noble12
    • Originally the facility was established by Mr Noble’s wife’s (Colleen) parents12.
    • GM Scott name is derived from Mrs Colleen Noble’s mother’s name. Grace Margaret Scott12.
      • Mr Barry Noble had worked at an abattoir in Homebush12..
        • Homebush was Government owned and closed down12..
        • Upon closure Mr and Mrs Noble looked at sites for their own establishment12.
  • Area of Cootamundra was centrally located with an abundance of top quality livestock in the area to source supply12.

1987

  • Facility is currently registered as a domestic processing facility under Aus-meat #35N35
    • Registered name under GM Scott as a domestic facility35
  • Authors Note. It is possible that Cootamundra had 2 abattoirs operating in the region at this time. (Note made 04.01.2018)
    • Another domestic facility is operated as Cootamundra Abattoir see Harden NSW

1996

1997

  • July. Cootamundra abattoir is currently Domestically registered under Aus-Meat as #35N36
    • Operator – GM Scott P/L.36
      • Processing Beef and Sheep36

2000

  • March. Cootamundra abattoir #35N is currently registered as a domestic processing facility37
    • Operator – GM Scott P/L37
      • Processing Beef and Sheep37

 

2008

  • June 7. Major product recall occurs for lamb products supplied by Cootamundra to Woolworths supermarket chains9
    • Lamb products brought between May 27 and June 5 in NSW, Vic, Tas, SA and NT have been recalled9.
      • QLD products brought between June 7 – 14, only lamb and cheese rissoles, lamb mini roast and economy burgers are recalled10
      • No products are affected in WA10
      • Safeway has issued a recall of some of lamb products in some of its Victorian stores10
    • strange odour emanating from some of the products9
    • no specific health risks but issuing the recall as a precaution10
  • Manager at Cootamundra abattoir, Arthur Cullen resigns11
  • GM Scott Current Director – Peter Noble11
  • July. Cootamundra abattoir #35N is currently registered as a domestic processing facility38
    • Operator – GM Scott P/L38
      • Processing Beef and Sheep38

2009

  • July. Cootamundra abattoir #35N is currently registered as a domestic processing facility39
    • Operator – GM Scott P/L39
      • Processing Beef and Sheep39

2010.

  • Meat processed at Cootamundra was sold in all Woolworths stores throughout NSW22
    • boneless leg of lamb or a French rack of lamb22
  • March. Cootamundra abattoir doesn’t appear on Aus-Meat registration listing40

2012

  • June. Facility received a significant industry accolade award for development work with a robotic carcase cutter.2
  • Current capacity to process 200 cattle and 3,800 lambs daily2
  • Principally supplying supermarket group Woolworths.2
  • Robotic arm development – Robotic Ovine Cutter (ROC)2
    • First of its kind in the world2
    • Originated from a prototype installed at Midfield Meats in Victoria around 20062
    • Can cut up to 4 cuts per carcase2
    • Processing 360 carcases an hour (Average 10 seconds per carcase)2
    • If doing 2 cuts per carcase can process 450 carcases per hour (Average 8 seconds per carcase)2
    • Cutting system is designed to2
      • handle wide range of carcase size2
      • utilises vision-profiling2
      • dustless blade-cutting technology which prolongs shelf life2
      • High cutting efficiencies that increase accuracy and yields2
    • ROC is expected to have significant impact on the meat processing industry over the next 5 years2
    • Eliminates 4 bandsaw cuts that would otherwise be made manually by an operator2
    • Increases OH & S significantly2
    • With further refinement anticipate speeds up to 600 carcases per hour (Average 6 seconds per carcase) could be achieved2
  • August. Cootamundra abattoir is the first abattoir in Australia to receive Federal Government funding for carbon mitigation project.3
  • Facility will undertake $200,000 project to help industrial refrigeration units to run more efficently3
    • Include upgrading or recycled rainwater project3
    • will combat rising energy costs and improve productivity3
  • Current processing capacity 3500 lambs and 200 cattle daily3
  • Currently employs 200 people3
  • December. Patriarch Barry Noble passed away4
    • Owner of the Cootamundra facility Mr Barry Noble dies of a respiratory illness12.
      • Died at 85 years old. Established the abattoir in the 1980’s12.
    • Installation of improved technology had always been very important to Mr Noble to enable the facility to keep ahead of competition12.

2013

  • Facility placed on the market as family members pursued other professional interests4
  • Facility had recently had $17M invested on a new processing floor with a view to upgrading from tier one to tier two export status4
    • Allowed opportunity to export markets like Japan, Korea and the US4
  • January. Cootamundra abattoir is registered with Aus-Meat as an export processing facility #8741
    • Operator – GM Scott P/L41
      • Processing Beef, sheep, goats and offal41

2014

  • April. Plant cuts production from five days to four due to lack of lamb supply19
  • June. Manildra Group Purchase facility4
    • Manildra is Australian owned4
      • Manildra is 100% Australian owned13.
        • Family owned and run business13
          • Honan Family17
          • Interests in ethanol, flour, sugar and value added products such as starch13
          • Stockfeed business with crop processing ventures in 5 regional centres17
        • Company is 62 years old13
          • Employs over 1,000 people13
            • Most are located in regional Australia, head office is located in Sydney13
        • Manildra also recently purchased a beef boning room and retail ready meat packaging facility in Bomaderry (150km South of Sydney on the East Coast)13
        • Also operated starch and gluten plants in the US for 35 years17
        • Purchased Argyle Prestige Meats in the South West Slopes17
          • Manildra purchased a 50% stake17
          • Argyle meats moved from leasing boning and packing facilities at Harden abattoir to a high tech operation at the former Dairy farmers factory in Nowra17
  • 2 Chinese entities and 2 Australian entities considered or placed bids for facility4
  • Manildra plan to lift processing capacity beef kill immediately to 150-200 a day4
    • processing mainly company owned cattle.4
    • The existing beef line has been under-utilised in the past13
      • Modestly working 100 head per day initially13
  • Facility has current service kill contract with Woolworths to process and bone 1,400 lambs a day4
  • Lambs are sourced from Wagga to Griffith, Forbes, Goulburn up to Cooma4
  • The local area is very high MSA (Meat Standard Australia) capabilities
    • Major selling point for Manildra with easy access to stock13
  • Manildra had been a client of GM Scott in the past13
  • July 1. Official takeover of Manildra group of the Cootamundra abattoir 13
  • Management team
    • Launches the Manildra Meat Company 17
    • GM Scott business manager – Bill Scott13
    • Manildra Group director of business development Peter Millard13
    • GM Scott CEO Len Jones13
  • Full export licence granted – expanded potential overseas markets from 18 to 1485
    • ‘tier two’ export13
    • Has taken 14 months in application of process to obtain the licence13
      • Market export increase capability from 22 to 18413
    • GM Scott already had connections with USA & Hong Kong13
      • working toward ties with China13
  • Cootamundra abattoir is the largest employer in the area13
  • Target markets will be5
    • Saudi Arabia, Hong Kong, Indonesia, Taiwan and Papua New Guinea5
    • China – Took over the Middle east as Australia’s biggest lamb and sheep meat market5
    • Middle East markets – take a lighter lamb, most sourced locally or from the New England area5
      • recently was a good market for mutton to ME but now is not viable to produce for5
  • Most prime lamb is sourced within 100km of abattoir5
    • 70% of the meat processed is service kill.5
    • 30% is export5
  • Currently processing 4000 lambs and 200 cattle a day, with 200 employees5
  • Cootamundra abattoir is confident of continued source of supply even if abattoir at Young opens5
  • Cootamundra compete with abattoirs in Victoria and Queensland for livestock5
  • September. New Goat abattoir is proposed at Blayney, off Newbridge road14.
    • Blayney is located approximately 200km North East of Cootamundra14
    • Goat specific abattoir $38M project14
      • Only one of its kind in the state of NSW14
        • Capacity 13,500 goats14
          • 4,500 processed daily14
        • located at the current SeaLink Freezer site14
      • could employ 165 people likely 5 days per week14
    • Environmental impact will be completed mid October14
    • Strong opposition from neighbours, residents and business in regards to noise, traffic, smell and impact of the facility14
  • Cootamundra livestock producers are looking to a 2nd abattoir in Cootamundra to process livestock for the domestic market15.
    • Export lines are given priority kill over other supplies of kill space15.
      • Facility and management require large numbers and would desire full vertical control of all animals and outgoing meat products15
    • Many farmers in the area are organic producers15.
    • Manildra investment is great for the town has meant some producers have had to seek other facilities to kill stock15
    • Manildra meat Company have offered producers services of its plant on commercial terms appropriate to the operation of the business15.
  • October. Cootamundra abattoir is currently export registered #8743
    • Operator – Manildra Meat Company43
      • Licensed to process beef, sheep, goat and offal43
  • November. 2nd abattoir in Cootamundra gains momentum with a proposed location identified along Turners Lane16
    • Facility would focus on service kills16
    • small multi-species abattoir16
    • Local farmer David Booth leading the push for the abattoir16
      • previously had lambs and goats processed at Manildra16
      • Not allowed to open a small abattoir on his property due to Council Local Environment Plan of the area zoning16
    • Investment funding is being sought16
      • Potential investors have pledged support16
        • wholesalers in Canberra, butchers and small farm operations16
    • Proposed abattoir would be independently run16
    • New proposal could exist with current abattoir16
      • We will focus on small, domestic service kills, They will be all about processing only  with no packaging or wholesale from the site. We don’t intend to put anything in a box” Mr David Booth16.
  • December. $10M upgrades are occurring at the Cootamundra abattoir17.

2015

  • March. Facilities staff and management commit to very high standards of Animal Welfare18
    • Livestock manager David Alexander18
    • Abattoir aimed to not only meet industry standards but be industry leaders18.
  • Animal Welfare is the single biggest issue currently being faced18
    • Improvements are made to ensure the animals are calm and as stress free as possible18
  • A new shed will increase the undercover capacity to 7,000 animals18
    • sheep will be kept dryer and cleaner18
    • New pens will enable better access to water18
    • flooring used will be steel mesh18
      • Previous timber floors break and cause injury18
  • Vets are in attendance each day and asses each animal for injury and ailments18
  • Any animals deemed unfit for slaughter are euthanased18

dog-muzzeled-26-03-2015

Source ‘Animal Welfare awareness at the abattoir’ Cootamundra Herald 26/03/2015

Working dogs are muzzled to prevent biting. The dogs are restrained in purpose built dog boxes when not required and used sparingly.

  • Graded steel ramp used for the sheep to reach the initial restrainer stunning area is about 3 – 5 storeys high. Sheep were unsettled when the sheep could see they were elevated. Construction of a corrugated iron floor beneath the ramp, concealed the height and allowed the sheep to move up it more calmly18.
    • Eventually the entire ramp will be concealed18.

sheep-moving-calmly-along-to-restraint-26-03-2015

Source ‘Animal Welfare awareness at the abattoir’ Cootamundra Herald 26/03/2015

Sheep following each other towards the restrainer

aw-awareness-26-03-2015

Source ‘Animal Welfare awareness at the abattoir’ Cootamundra Herald 26/03/2015

This sheep stands at the top of the ‘restrainer’ before it is electronically stunned by the device pictured

  • 4 men herd the sheep through the gates and towards the stunning area18.
  • 3 men are stationed at the helm of the operation of the stick hole18
    • 1 is the stunner and 2 hang the limp carcases18
  • Manildra process 3,400 sheep and lambs each day18
    • and 100 head of cattle18
    • Site is being upgraded to process 4,000 sheep and lambs18
      • and 300 head of cattle a day18
  • June. Seasonal downturn allows for upgrades to the meatworks19
  • Rumours working hours have been reduced19
  • Lamb prices were up to $6.10/kg carcase weight at the last Cootamundra stock yard sale19
    • Higher prices are believed to be part of the reason for cut in production19
  • Other abattoirs are facing similar issues19
    • Dubbo, Fletchers had shut its plant for a week due to a shortage of sheep19
      • Non-production week used to do maintenance on the plant19

 

2016

  • September. Abattoir nears completion of capital works20
    • Expansion of the beef slaughter floor20
    • Improvements to staff amenities20
  • Had been a contraction in beef processing line  due to on farm and saleyard cattle prices22
  • October. Dam located on Manildra meats property bursts it banks and nearly derails a train21
    • Dam is located 2km from the abattoir facility21
    • Dam only contains run off storm water21
    • Dam had burst its banks and washed away part of a railway embankment21.

dam-burst-06-10-2016

Source ‘Train nearly derailed as dam bursts’ Cootamundra Herald 06.10.2016

Dam located on Manildra Meat company land bursts its bank and undermines the train track.

  • As of December this year the Cootamundra abattoir would no longer process meat for Woolworths22.
    • Traditionally Woolworths had been a major customer22
    • Well known in 2010 that lamb meat processed in Cootamundra was sold throughout NSW Woolworths stores22.
    • Followed a competitive tender process24
    • Loss of Woolworths will provide Cootamundra opportunity to expand domestic and export business22
  • Staff numbers would be assessed according to seasonal demands and industry challenges22
  • Contract to process lambs for Woolworths has been lost to the Junee Abattoir24
  • Local producer Ron Ward and ACT’s Griffith butchery win 3 awards at the Official Great Aussie pie competition25
    • Mr Ron Ward used to have his meat processed at Cootamundra but since 2014 now has his stock processed at Cowra25.
  • November. New General Manager Jason Graham26
    • Managed New Zealand abattoir 3 years26
      • New Zealands’ largest red meat processing facility26
  • Accessible abattoirs willing to process organic produced animals is of concern to local producers27.
  • Very important to local producers to have the capability to diversify to spread risk and enable a spread of earning possibilities27
    • Manildra closed its beef floor to organic animals27
    • Cowra’s Breakout River abattoir beef line is fully booked at the moment27
    • Young abattoir may re-open for beef, but not sure when27
    • Sheep can be service- killed at Cootamundra27
    • Goats can be killed at Cootamundra27

2017

  • February. Manildra Meat Company, Cootamundra Abattoir will close28
    • Last kill will occur 24/02/201728
    • Plant will be mothballed28
  • Authors note – Mothballed is a term used to describe placing a facility in shutdown but still keeping up maintenance and all required standards to re-open and begin operation of animal slaughter in a short period of time. Facilities may maintain Aus-meat registration status even though they are not actually processing any stock.
    • A maintenance team will be at the facility28
  • Very difficult meat processing environment at the moment28
    • Near record high slaughter cattle prices28
    • Intense export market competition28
      • particularly Brazil28
    • Processors have taken heavy losses in the last 12 months28
      • A QLD processor was reporting losses of $200 per head on heavy grass-fed steers28
  • Facility currently employed 150 permanent and 70 casual staff28
    • All employees will be paid full entitlements28
  • All outstanding financial obligations will be met28
  • Plant will not be sold29
  • “We cannot continue to maintain a viable business in the current industry environment, particularly given the record high livestock prices and the inability of our customers to absorb these price increases” Manildra Meat General Manager Jason Graham29
  • Abattoir operations can be a volatile industry especially when cattle prices are at the level they are at now. My thoughts are with the individuals and families as they go through this tough time” Member for Cootamundra. Katrina Hodgkinson30
  • Cootamundra township has a current population of 7,500 people32
    • Loss of 220 jobs in that size of a town has a huge impact32
    • Some staff have applied and obtained work at other meat processing facilities such as Wagga Wagga #291 NSW, Gundagai #106 NSW and Young #128 NSW. 33
    • Some staff have also been accepted to work at the Junee Correctional centre33
  • Roger Fletcher, Owner of abattoirs at Dubbo.2 #2309 NSW  and Narrikup in WA comments on the current trading conditions of processing lamb and sheep at the moment and that it is a tough industry32
    • “I do the numbers and it’s unsustainable where we’re at”. Roger Fletcher32
    • “It’s a bit like if there are six hotels in a town and there’s only enough room for five drinkers, one’s got to close. And there will be more close.” Roger Fletcher32
  • April. JBS Australia announce they will temporarily close two of its southern lamb processing plant due to current livestock supply and price conditions31.
  • Other facilities that have also stopped production or reduced throughput recently are31
  • Some plants are currently operating on loss-making skeleton 3 day weekly kills31
  • Recent spate of abattoir closures raises questions in regards to over capacity of the processing sector with oversupply of stock due to drought31
  • Has been high levels of foreign investment interest in investments directed into processing31

Sources Cootamundra #87

  1. ‘5,000 jobs at risk: Abattoirs facing closure’ Sydney Morning Herald 21.05.1996
  2. ‘Productivity: Cootamundra’s robotic carcase cutter wins innovation award’ Beef Central 04.06.2012
  3. http://www.beefcentral.com/processing/cootamundra-plant-blazes-trail-in-carbon-mitigation-projects/
  4. http:’Manildra secures Cootamundra beef, lamb abattoir, despite Chinese competition’ Beef Central 27.06.2014
  5. http://www.theland.com.au/news/agriculture/general/news/meat-from-coota-to-the-world/2704030.aspx
  6. AUS-MEAT accreditation list 01.01.2014
  7. AUS-MEAT accreditation list 1987
  8. MSA Licensed Plants Meat and Livestock Australia 27.08.2013
  9. ‘Woolworths not to blame for product recall: GM Scott’ ABC News 07.06.2008
  10. ‘Woolies recalls lamb products’ ABC News 07.06.2008
  11. ‘Meatworks manager leaves in wake of Woolies lamb recall’ www.austfoodnews.com.au 11.06.2008
  12. ‘Loss of noble man’ http://www.cootamundraherald.com.au 05.12.2012
  13. ‘Abattoir purchase official’ Cootamundra Herald 27.06.2014
  14. ‘Blayney neighbours unhappy with plans for goat abattoir’ Western Advocate 26.09.2014
  15. ‘Farmers look to a second Cootamundra abattoir’ Foodmagazine 08.09.2014
  16. ‘Second abattoir proposal gains momentum’ Cootamundra Herald  21.11.2014
  17. ‘Manildra Group’s meaty move’ Stock and Land 13.12.2014
  18. ‘Animal Welfare awareness at the abattoir’ Cootamundra Herald 26/03/2015
  19. ‘Manildra remains committed to town’ Cootamundra Herald 11.06.2015
  20. a
  21. ‘Train nearly derailed as dam bursts’ Cootamundra Herald 06.10.2016
  22. ‘End of an era for Cootamundra abattoir’ Cootamundra Abattoir 26.10.2016
  23. Manildra Meat website
  24. ‘Competitive process results in end of Cootamundra contract’ Cootamundra Herald 27.10.2016
  25. ‘Vote of confidence for local farm’ Cootamundra Herald 28.10.2016
  26. ‘Manildra director pays tribute to former CEO’ Cootamundra Herald 01.11.2016
  27. ‘Spreading risk at Cootamundra’ Cootamundra Herald 15.11.2016
  28. ‘Cootamundra plant closure could flag more widespread processor shut-downs’ Beef Central 17.02.2017
  29. ‘150 permanent and 70 casual staff out of a job’ Cootamundra Herald 17.02.2017
  30. ‘Member for Cootamundra, Katrina Hodgkinson saddened by decision’ Cootamundra Herald 17.02.2017
  31. ‘Indefinite closures for JBS lamb plants, as supply challenge reaches critical point’ Beef Central 20.04.2017
  32. ‘Shortage of lambs for slaughter pushing up prices, forcing abattoir closures’ ABC Rural 24.02.2017
  33. ‘Meatworkers consider their fate after abattoir shuts down’ Cootamundra Herald 24.02.2017
  34. ‘World on a plate, A history of meat processing in Australia’ Stephen Martyn. 2012
  35. Aus-Meat Accreditation Listing 1987
  36. Aus-Meat Accreditation Listing November 1997
  37. Aus-Meat Accreditation Listing March 2000
  38. Aus-Meat Accreditation Listing July 2008
  39. Aus-Meat Accreditation Listing July 2009
  40. Aus-Meat Accreditation Listing March 2010
  41. Aus-Meat Accreditation Listing January 2013
  42. Aus-Meat Accreditation Listing October 2014

 

Inverell #218. NSW

Located in northern NSW, privately owned abattoir more commonly known as Bindaree Beef. Recently received $23M government grant for a biogas project. Negotiations with union regarding EBA have stalled, workers have had a number of stop works in recent months over pay disagreements.

Other Names

  • JR Meats – Owner is JR McDonald
  • Bindaree Beef – Owner is John R McDonald
  • Yolarno Pty Ltd
  • Purchased by Archstone Investment in August 201761

Current Operation

Location   

  • Inverell is located in north east NSW.
  • Abattoir is located Gwydir Highway Inverell.

Inverell

Inverell 2Hema Maps – Australia Truckies atlas.

Owner/s

  • North West Exports Pty Ltd3
  • Smorgons35
  • Bindaree Beef2
    • Family owned and operated2
      • John McDonald.
    • Manager Leigh Belbeck4
    • Took over operation around 1995/964
    • Owned in the past other abattoirs at Murgon (QLD) and Orange (NSW)
  • Archstone Investment purchase a 51% stake in business61.
    • Hong Kong based, Australian citizens. The Hui Family61.

Operation 

  • Ausmeat Accreditation #021822
    • Yolarno Pty Ltd.22
  • Export abattoir, beef and offal.22
  • Process 1,300 cattle per day  2

    • 5,600 cattle per week16
  • Employs over 600 people2
  • Location is strategic to ensure source of cattle 12 months of the year2
  • Abattoir and holding pens 143ha, adjoining farm 491ha8
  • Inverell is the largest abattoir in NSW25

History

1970’s

  • Near fatal blow to private processors when State governments stepped in to assist financially troubled council-run abattoirs6, such as Gunnedah abattoir (NSW)

1951

  • Abattoir established as North West abattoir2
    • originally processing both sheep and cattle2

1976

  • Plant becomes single species plant only processing sheep.2

1995

  • At this point in time owned by North West Exports Pty Ltd.3
  • Abattoir closes3
    • Loss of 450 jobs3
    • Abattoir was the districts largest employer.53
    • Inverell at the time had population of 10,000 people.53
  • Operations of the facility
    • Plant had been affected by strikes from time to time.53
    • Was a poor water supply at the plant.53
    • Processing plant was old and in much need of refurbishment.53
    • Was a forlorn hope the facility would be reopened.53
  • Area is still suffering from aftermath of catastrophic floods few years before3
  • Abattoir purchased by Bindaree Beef around this period4
    • confirmed Bindaree beef acquired plant at this time2
    • clearly communicated to all that employees must be drug and alcohol free.53
      • work would be hard but teamwork was main.53

1996

  • Up to half of NSW 56 abattoirs could close with the loss of up to 5,000 jobs1

    Authors Note – Not sure if Inverell is solely a sheep abattoir at this point as in latter years it processes cattle. In regards to cattle processors, the majority of live export cattle during this period would have been Bos Indicus or crosses to South East Asia markets, sourced from mainly northern Australia. Not animals suited to heavy slaughter in Australia and from herds whos’ production was not likely destined for abattoirs in NSW.

  • LE exports 1990_1998_edited-2Source – Live Cattle Exports. Australian Commodities Vol 5 #2 June 1998

     Chart showing the high volume of South East Asia live cattle export destinations period 1990 – 1998

1999

  • February. 143 head of cattle are condemned after tests show endosulfan residues 5 times higher than Australian maximum residue limit (MRL)23
    • Animals had been worth $525 a head – $75,000 in total23
    • Residue level of 1mg/kg had been detected23
  • $180,000 worth of processed beef was downgraded from export standard for being above 0.1mg/kg but below domestic requirement of 0.2mg/kg23
  • Authors note – Endosulfen was a product found in herbicides and some agricultural chemicals used on crops such as cotton, tropical fruits, vegetables and nuts.
    • Endosulfen was banned from Australia in 2010.

2001

  • Census figures show 7,800 abattoir jobs lost in regional Australia between 1996 to 200150.
    •  A further 2,160 were lost from Abattoir closures to 26/10/200350
  • Authors Note – these figures don’t match ABARES.
    • 1996/97 ABARES ACS 1999 Employment in meat processing 28,900 people
    • 2000/01 ABARES ACS 2003 Employment in meat processing 28,000 people

2002

  • July. recommenced slaughtering cattle but don’t hold the complete environment protection authority licence to kill cattle15
    • regarded as a clerical error when EPA licence was sought for an increase in volume, wasn’t picked up until July 2003.15
  • December. Facility is not meeting Environment Protection Authority standards on odour control24
    • odour is caused by effluent currently stored in dams at the site24

2003

  • June. Forced to lay off 70 employees4
      • 30 casuals4
      • 40 permanent staff4
    • First time in 8 years employees laid off.4
    • Reasons cited for lay off4
      • Drought causing a drop in stock numbers was the greatest problem4
      • High Australian dollar – makes less attractive in export4
  • Production dropped by 20% in last 6 months, many abattoirs having the same problem4
  • Recently odour problems from the plant have been occuring15
    • failure of aerobic and anaerobic ponds to break down organic matter, in particular blood15

2007

  • Bindaree Beef sell Murgon abattoir Otherwise known as South Burnett works.

2009

 

2010

  • April Inverell council refuse an application to financially back the abattoir27
    • Money was to be for expansions27
    • Amount applied was $30M27
      • Create 600 jobs27
    • Council refused as it could not afford the money without reduction of services to the community27
      • Legislative laws that restrict council finanical support of private enterprise27
    • Abattoir was appealing to the community to lobby council to change position27
      • Abattoir want to stay but need finanical support to expand27
  • July. Fear that beef imports will shut down facility4
    • due to Australia negotiating free trade agreements and abolishing  9 year ban on beef imports from mad cow countries.4
      • Mad cow disease is only present in spinal column, only muscle cuts are imported.4
  • currently employs 600 people at Inverell.4

 2011

  • Bindaree Beef Inverell on video showing Cattle slaughter from live animal to point of retail.
  • Authors note – I highly recommend viewing of this video it is an extremely informative short narration of how a live animal is prepared for slaughter, stunned and the carcase processed – From Farm gate to your Plate.
  • Bindaree Beef video 2011
  • Transformation of organic waste into methane idea begins39
  • Approximately 65% of production is exported50
    • 35% sold on domestic markets50
  • Census figures show 7,800 abattoir jobs lost in regional Australia between 1996 to 200150
    •  A further 2,160 were lost from Abattoir closures to 26/10/200350
  • Authors Note – these figures don’t match ABARES.
    • 1996/97 ABARES ACS 1999 Employment in meat processing 28,900 people
    • 2000/01 ABARES ACS 2003 Employment in meat processing 28,000 people
  • Australian meat processor corporation predicts that 20% of the currently remaining Australian abattoirs will be closed within the next 10 years50
  • Most abattoirs that have closed in the past 15 years have been supplying the domestic market50

2012

  • Bio-digester and rendering plant proposal7
    • $43M project7
    • highly effective waste treatment system to produce biogas, clean water and liquid fertiliser.7
    • utilisation will generate power and steam for on-site use7
    • replace rendering plant that will use less electricity and steam7
    • First of its kind in Australia7
    • Planned construction to begin July 2014, in operation March 20157
  • Current waste process8
    • waste effluent travels to floatation tank, then pumped to anaerobic lagoon8
      • waste water from the lagoons is used for farm irrigation8
    • Paunch material (internals of guts and stomachs) is used on farm as land fill8
    • steam is produced by 2 coal fired boilers8
    • All animal by products are cooked to be pressed and used at meat meal or tallow8

biogas #1_edited-1Source – Bindaree Beef Preliminary environment Assessment – Rendering plant and biodigester plant.

The current abattoir meat processing facility showing the current lagoons

biogas_edited-1Source – Tony Windsor Independent MP, Media release. 03.07.2013.
Proposed establishment of biogas and rendering system

  • November. Pilot biogas and rendering plant is installed31
    • Cost $2M31
    • Making adjustment to find best operation33
    • results are far better than they had hoped for33
      • Amercian suppliers have been amazed33

2013

  • Biogas system Federal Government contribution9
    • Total Project to cost $45,833,306.009
    • Grant Amount $22,941,653.00 (50%)9
      • funding not provided by ‘Australia’s carbon price’ via clean technology Food and Foundaries investment program’ but directly from government revenue from carbon tax.10
    • Total taxable emissions 2011/12 23,345 tonnes CO2-e9
    • Total taxable emissions after project 1,253 tonnes CO2-e9
    • Carbons emissions reduced by  98.58%9
      • equivalent to removal of 60,000 cars from the roads over 10 years10
    • Total annual projected operating cost savings $2,442,544.009
    • Total annual additional income $1,1796,150.009
    • Utility cost of processing cattle cut by third for every animal9
    • extra production shift create 200 new jobs9
    • fertiliser for sale will create 10 new jobs9
    • Previously Class D nutrient rich water produced, project will produce Class A9
    • No need for landfill use9
    • saving 7,200t coal burning a year9
    • no odour from lagoons or smoke from coal.9
  • The system will be a world first biogas project.11
  • American technology, methane is retrieved,liquid fertiliser and Class A water.11
  • Pennsylvania-based organic waste-to-energy specialist28
  • Bioconversion Solutions28
    • methane is captured and stored, cleansed and then used to fire gas-fired boilers11
    • technology has the capacity to bio-digest the stomach contents of animal, which has never been done in Australia.11
    • undigested grass, manure & blood will go into an equalisation tank, pH levels are corrected before pumped into a anaerobic bio-digester33
      • 1st gut of the animal – normally very difficult to process and was previously disposed of in landfill37
    • organisms do work in bio-digester to generate bio-gas33
      • also produces fertiliser & Class A water for irrigation33
  • $2M had gone into research of the project10.
    • on-site pilot project is already operating to prove the system works10
    • Bindaree staff visited a site in USA Philadelphia to see the technology at work
  • Installation of project means Bindaree Beef no longer liable to pay carbon tax price.10
    • site had previously been identified among 10 or 12 largest Australian processing sites10
    • directly liable for carbon tax based on yearly carbon emissions above 25,000t10
  • July. Estimates of 700 workers now at Inverell.12
    • almost 5% of the city’s population13
  • September. Project and grant have now been formally approved.13
    • site preparation to start early 2014, completed within 2 years.13
  • November. Article questions the issue of transparency of the grant and its sheer size compared with other grants in the industry14
    • A copy of the grant submission isn’t available, “commercial in confidence” reason cited by government and accounting firm who assisted with grant application.14
    • Independent MP of New England – Tony Windsor was instrumental in keeping Gillard labour government in power.14
    • John Clements – who was advisor to Windsor now works for Bindaree14
    • When Abbott liberal government got in power – announced would disband the Clean energy finance corporation14

Photo. coal pile_edited-1

Inverell Abattoir coal pile. Source ABC rural 07.03.2013

2014

  • February. Plant infrastructure expansion enabled employment of 150 new employees25
  • Pay dispute over negotiation of bargaining agreement (EBA)16
  • Meat Workers Union (MWU) say – Grant Courtney – radio interview16
    • 450 people directly employed at plant, 165 are union members .16
      • Authors note – 36% of workforce are union members
      • Grant Courtney claims union represents 50% of the workforce17
    • Another article cites 800 workers at this point in time25
      • 238 employees eligible to vote25
        • 162 actually voted25
    • Company fears stoppages would cripple production
    • Union members allowed to vote Protected action ballot – 88 chose not accept agreement16
      • Authors note – 19.5% of workforce being union members voted for non acceptance of EBA.
    • Under the Commonwealth government Fair work Act – right to strike.16
      • voted to proceed with industrial action19
      • rolling stop bans and stoppages are threatened17
      • 2 to 8 hour stoppages to begin from 24th Februrary.19
      • MWU – Grant Courtney spoke to JR McDonald (Owner Bindaree Beef) – if stoppages occur, plant would be shut down.19
        • Authors Note – If a plant is under industrial action, stoppage or ban (control of workers) there is a point at which the workers receive entitlements, plant may still be in partial operation so some are still working. If it is shutdown then the control is in the employers hands and the rules of payment are different for entitlements and all workers are affected irrespective of if in a union or not.
    • Strike at this point not an authorised action by union as that requires 72 hours notice to employer16
    • MWU say Bindaree Beef offering16
      • Want to take away gauranteed pay for Christmas and Boxing day16
      • force work on ANZAC day16
      • offering 0.2% wage increase per week in16
        • 1st year – ($1.46 for lowest paid to $2.17 for highest)16
        • 2nd year – 2.8%16
        • 3rd Year 2.8%16
    • MWU say they want 3% wage increase in first 12 months16
      • Fair work increases minimum wage is $17 per week16
      • Increased payment for slaughtermen, boners, carcase graders and cleaners19
  • Bindaree Beef say they voluntarily increased the wages $25 per week when the previous EBA expired in mid 2013 for all workers.16
    • Company and AMIEU had agreed on arrangement for next 4 years.16
    • Grant Coutrney part of the negotiation and agreed to it, verbally stating support.16
    • Production based incentives mean 3% will be easily exceeded as production expands.19
    • since agreement union has come back twice wanting additional benefits and company agreed.16
    • Now is the third time and the union are asking for another $2 per week.16
  • 800 workers employed at Inverell.19
  • Latest offer is extra $25 -$75 a week, depending on grade of the worker.19
    • union demand amounts to $27-$77.19
  • Bindaree workers receive19
    • $80 attendance allowance – for turning up to work 5 days in a row19
    • $5 a day – ‘awful allocation allowance’ – paid to workers for dealing with back tripe.19
    • Grade 1 slaughtermen get $7 ‘handling bonus for every animal processed over 2019
      • worth an average $77 per day19
  • Former agreement19
    • Grade 1 slaughtermen and neck boners earn basic wage $689.3019
      • is actually $1,166 with bonus’s on average for 201320
      • will be more in 201420
    • Carcase graders get $643.7019
  • Wage increase agreed too with Bindaree and AMIEU will cost Bindaree $8M more.20
  • March. Workers stop work at Inverell18
  • Stop work meeting occured 05/03/201429
  • 120 Union members attended off-site meeting29
    • First time work is stopped in 18 years.18
    • Minister of Environment – Luke Foley says18
      • 85% of voting employees rejected proposal of 0.2% increase.18
      • Past 16 years workers have been forced to work ANZAC day18
      • meatworkers are among lowest paid manufacturing workers in this country18
      • NSW abattoirs are very full and are doing very well.18
      • The Mudginberri abattoir (NT) dispute pioneered new right attacks on wages and conditions.18
    • AMIEU pushing for 3% – 0.4% above CPI29
      • $19.60 for lowest paid per week29
      • $27-$28 for highest29
      • …that is a reasonable wage claim, clearly this company can afford it, (because) this company is doing record kills at the moment” Grant Courtney29
    • Bindaree offered 2.8%, includes 2.6% passed on in June 201329
      • Will adopt National Employment Standard in regards to public holidays29
        • company has the right to ask employees to work and employees have right to refuse29
      • irresponsible to offer further pay increases without productivity agreements29
        • Wages increase over next 4 years $8M29
  • New range of high quality grass and grainfed beef brands21
    • based on Meat Standards Australia’s Optimisation model and MSA index21
    • improve communication with both producers supplying the plant and end-user consumers.21

brand #2_edited-1

brand #2 edited

Source http://www.bindareebeef.com.au
Only some of the brand names promoted by Bindaree Beef.

  • June. Application is lodged with NSW major projects to build rendering and bio-digester plant30
    • Capital outlay $43,945,00030
    • construction jobs required 64 people30
    • Operational jobs 1 person30
  • July. Clean Energy Finance Corporation (CEFC) agree to co-finance Bindaree Beef project at Inverell.31
    • Clean Energy Finance invests commercially to increase flow of funds into renewable energy, energy efficency & low emissions technologies32
    • Invest by way of direct investment that attracts private sector finance32
      • with stategic co-financing partners32
      • CEFC operates under Clean Energy Finance Corporation Act 201232
    • Funding is via special statutory appropriations to ensure capital and ability to undertake investment32
      • CEFC Act establishes a CEFC account which receives $2B per year32
        • Funding 01/07/2013 to 201732
        • Amounts can be rolled over into future years if not invested entirely in one year32
  • Abbott government tried to dismantle CEFC in early 201437
  • pressure from power and fossil fuel companies37
    • CEFC will provide finance of up to $15M31
      • commercial terms with no concessionality31
      • worked with Bindaree for 2 years31
        • initially as Low Carbon Australia31
    • Australian Government will provide grant $19.7M31
      • through AusIndustry31
    • Bindaree Beef and it’s own bank will provide rest of funds31
    • Project total estimates now $46M
  • Purpose of the project31
    • Deliver significant boost to the competitiveness of the Bindaree Beef operations31
    • Employs 830 people31
      • Inverell population 16,00033
    • Annual Turnover $400M31
    • Estimated market share 2.5-3%31
    • Plant is capable of processing 1,200 head of cattle a day31
  • Project Impact31
    • Cut energy bills by 50%31
      • save $2.4M in operating costs33
    • Eliminate use 7,300 tonnes per annum of coal31
    • Avoid shutdowns due to power fluctuations31
      • power fluctuations or brown outs cause the boiler motor to shut down33
    • Produce 1.2MW – 1.6MW of power31
    • Reduce annual GHG emissions by 76%31
      • 32,720 tonnes Co2 pa31
      • Lifetime savings of 654,400 t Co231
      • Taxable emissions will go from 28,000 tonnes to 1,200 tonnes33
        • elimation of 95% taxable emissions33
        • Equivalent to removal of 60,000 cars over 10 years33
    • Generate income through fertiliser sales $1.7M per year33
    • Reduce direct pollution from smoke33
      • When boiler motor stops light grey smoke from chimney stack turns thick and black33
    • Reduces all odours as the anaerobic lagoons will no longer be needed33
    • Company is value adding to it’s core agriculture business rather than exporting the raw product.37

bio digester. meateng_edited-1

Inverell abattoir proposed biodigester and rendering plant
Source www.meateng.com.au

  • Australia is allowed re-opening of beef exports into China following a 9 month stoppage55.
  • September. Some of the workers have been at the facility since the current owner JR MCDonald purchased the facility 18 years previously (about 1995/1996)35
  • JR McDonald speeks about reform in the industry36
    • MSA grading36
      • 8M head Australian cattle slaughtered every year36
        • only 2M head graded under MSA36
      • MLA plans to increase to 3M head36
      • Vast majority of cattle sold through saleyards are not under MSA36
        • Yet very good types of cattle are sold36
          • Not under MSA if sold as mixed consignments36
            • means 2 good beasts in a mixed lot don’t meet MSA36
            • Large lots of hundreds of head meet MSA but boning group represents lower end of scale36
        • MSA started as simple system36
          • grades ranging from 1 to 6, based on marbling and age36
            • mainly a system to grade British breeds36
          • Now MSA is unwieldy – with 18 boning groups36
            • include old bullocks and old cows36
        • Beef industry is renowed for manipulation and control36
        • Dumping of old cows on the domestic market is a particular problem36
          • Cow being sold beside prime, skinless chicken36
    • Domestic market should not be given more importance36
      • 65% of meat is exported36
        • represents 80% of the industry value36
      • old cow should be labelled ‘economy’ steak rather than low grade36
    • Trimming costs in abattoirs needs to be lowered36
    • Australia is expensive place to do business36
      • Australian Government costs $18 per beast36
        • US $136
        • Argentina $036
      • Costs should be able to get back to $2 head in Australia36
      • Costs $300 a beast to process in Australia36
        • US is one third of that36
      • Inverell power costs at the plant $10,000 a day36
      • AQIS costs $6,000 a day36
      • Workers Compensation $10,000 a day36
        • plus wages for 830 staff36
    • Currently record kills are bringing in big money for abattoirs36
  • Bindaree beef looks to sell ‘retail ready’ beef to China38
    • Deal signed – Bindaree Beef / Sanger Australia38
      • Packing Australian beef in Chinese language packaging and air-freighting to China38
      • Bindaree already sell primals to China38
        • this opportunity will allow value add of product that normally went to US grinding38
      • Product is MSA graded to align with cooking methods38
    • Increasing market for high-quality meat38
      • increasing mistrust for low-grade produce due to food substitution and poisoning scandals38
      • Small percentage of Chinese who can afford Australian produce38
        • small percentage of a huge population is still a substantial market38
    • Bindaree will release new payment grid in October38
      • provide incentives to producers to meet brand specifications38
      • acknowledge processors fortunes are tied to producers38
      • supports Bindaree moves from shipping a commodity to supplying a product38
  • November. Australian-Sino 100-Year Agricultural and Food Safety partnership (ASA 100) is established57
    • Initiative between Australia and China to position Australia as a supplier of premium agricultural products that are friendly and safe for the next 100 years57.
      • Unite Australia in market approach57.
      • Competitive markets supported by efficient modernised operations57
        • Energy efficiency and better access to workers including 457 visa applicants57
  • December. NSW Minister grants permission approval for the rendering plant and digester to begin construction39
    • Work should begin in February and completed 18 months39
      • Actual power output when fully operational is difficult to estimate39
      • Should supply one-third of energy needs at the plant39
      • Coal fire system will stay as a back up incase needed39
  • Chinese free trade agreement signed with Australia expected to enable red meat producers$11B boost through abolition of tariffs over the next 9 years.40

2015

  • January. Bindaree Beef seek a strategic investor to make $100M cash injection40
    • Aim to increase processing capacity and enter new export markets40
    • Hired PricewaterhouseCoopers Securities – Brisbane40
      • Calling for first round bids in late February40
    • Bindaree is one of top five red meat processors40
      • capacity to handle 1,300 cattle daily40
    • Includes Sydney based sales & trading arm40
      • supplies beef, lamb, pork, veal and poultry to more than 40 countries40
    • Bindaree Trading in 2013/2014 year40
      • Over $40M in earnings before interest, tax and amortisation (EBITDA)40
      • $571M revenue40
      • Forecast ambitious 61% EBITDA in 201540
        • Difficult to see how 61% can be supported if Bindaree/Sanger relationship is simply Sanger selling Bindaree’s product41
          • Means Bindaree don’t control sale of it’s own product41
    • Industry sources estimate value of business $400-$500M40
      • Typical processing sector benchmark trading 4.5-5 times EBITA41
        • Values Bindaree at $200-$250M41
    • Possible sale process masqueradeing as strategic stake auction40
    • Sales pitch
      • growing global beef consumption40
        • Particularly China’s emerging middle class40
      • Industries high barriers to entry40
      • large-scale processing facilities40
      • Bindaree brand portfolio40
  • If overseas injection occurs makes a mockery of JR McDonald’s longstanding public opposition to foreign ownership of Australian beef processing assets41
  • Bindaree agree to a 3 year Beef Supply deal with a customer Chinatex64
    • Involves processing 900 head of cattle per week for export to China64
    • Chinatex were to bear risk of rising cattle prices64
    • Chinatex were warned that cattle prices were likely to rise, and there would be highs and lows over the contract period64
    • Chinatex had done smaller frozen beef deals out of Australia in 2014 that had been profitable due to low cattle and meat prices at that time64
    • Chinatex contract has no connection to the Shandong Delisi group merger or Quigdao meat processing facility discussions that occurred later in 201664.
  • April. Mr John McDonald, Chairman of Bindaree Beef writes a submission to the Senate Inquiry into the effect of market consolidation on the red meat processing sector58.
    • There is massive amount of collusion and misuse of power in the processing industry58
    • Consolidation having a huge impact on farm gate prices, up to 80% of beef producers in bad financial situation58
    • Existing selling structures are satisfactory – Problems are due to consolidation causing less competition58
    • Regulatory environment is working OK58
    • Rural debt crisis is imminent58
      • Bindaree Beef has been approached regularly for financial assistance and support to producers in the Goondiwindi, Moree, Coonamble, Casino and Inverell areas58
        • Bindaree Beef has leased some properties and purchased stock58
          • Allows guaranteed cashflow to producers58
        • Rural debt has esculated from $20B in 2000 to $65B in 201558
        • Nippon, JBS and Cargill have taken over the beef industry58
          • Control all meat industry boards58
  • July. Bindaree Beef merge with meat marketing and distribution company Sanger Australia42
    • New Company – Bindaree Beef Group42
      • Effective 06/07/201543
      • organisations combined $750M per annum43
        • 350 customers43
        • 50 countries – Including North & South America, China & Europe43
    • two companies have worked together for 40 years42
      • Other articles cite 42 years44
      • Negotiations began 18 months ago44
      • Bindaree supply up to 55% of the product which Sanger sells44
    • Sanger will continue to operate as an independent subsidiary42
      • sold $650M worth meat last year44
  • Script Merger42
    • No money is involved in the transaction42
    • Sanger have taken shares of Bindaree Group42
    • Chairman – JR McDonald42
    • Inverell facility can process 6,000 cattle a week42
      • cattle supply base is New England area42
      • prospered when dozens other regional meatworks have failed44
  • Enables growth of the business next 20-30 years43
  • 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.

NSW abattoir capacities Dept ag consolidation_edited-1

Capacity of Major beef abattoirs in NSW. Page 15.

T2 Throughput state beef_edited-1

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

M4 direct cattle movements NLIS QLD_edited-1

2012 NLIS Cattle Movements to abattoirs. Pg 25

F12 hourly labour costs food manufacturing_edited-1

Hourly Labour costs for food manufacturing industry. Pg 30

  • August. Bindaree Beef Group Executive officers46
    • James Campbell – CEO, effective 18/08/201546
      • Family farm, Boorowa NSW46
      • Double degree in commerce and business administration46
      • KPMG – accounting involving restructuring and insolvency for corporate agricultural businesses46
      • ANZ agribusiness boss in China46
        • 4 years in Shanghai46
    • Graham Greenleigh – former CEO46
      • Led Sanger’s 2 years46
      • Now Director of groups business development director46
        • Been director at Sanger since 199546
        • Started with Sangers 198746
  • Bindaree are in negotiations to buy a feedlot at North Star in NSW46
    • NSW largest feedlot 46
    • capacity 20,00046
    • Annual turnover capacity 80,00046
    • Paid $25M in July.51
  • September. Sangers (a division of Bindaree Beef Group) strike a deal with JD.com, an online retailer47
    • exposure to China’s 600M internet users47
    • Brand will be developed exclusively online47
    • Beef will be processed at Inverell, packed into consumer ready packs, chilled and sent to JD’s cold storage wharehouses in China47
      • JD.com had invested heavily in distribution infrastructure47
      • employing 30,000 people47
    • JD.com closed loop supply chain, dealing directly with suppliers47
      • ensures product integrity47
      • protection against imitation is key to partnership decision47
    • Product will be cheaper cuts of beef normally made into minced meat and fast-food hamburgers47
      • initially a modest amount will be exported47
      • online retail being the fastest growing component of purchasing in China47
      • range of meat products will broaden overtime47
      • Products will begin sale Mid September47
  • One of China’s largest meat processors – Shandong Delisi Food Co is in negotiations with Bindaree Beef regarding a strategic stake in the business48
  • Shandong Delisi Food  sign $140M agreement for a 45% stake in Bindaree Beef49
    • transaction is still subject to foreign review board approval49
    • one of the first major deals to be announced since the China/Australia FTA49
    • Advise to the transaction supplied by King & Wood Mallesons (KVM).52
      • required navigation of complex Chinese regulatory  requirements.52
    • Delisi49
      • Is listed on the Chinese Shenzen Stock Exchange49
      • Market capitalisation $1B49
      • Sales network can reach 700M people49
      • 20,000 busines customers51.
      • Is the largest pure-play pork processor in the worlds51 largest pork-consuming country51
  • Beef deal with Chinatex is under pressure. Benchmark Eastern Young Cattle Indicator (EYCI) having lifted from 416c/kg in March to 596c/kg in September64.
    • Rise of EYCI of 43% in 6 months64
  • October. Delisis injection will mostly be spent around the Inverell plant51
    • upgrade technology of freezing, chilling and boning51
      • help to improve yield and efficency51
  • Bindaree Beef is now valued at $400M51
  • December. Function is held to celebrate 20 years of Bindaree Beef.53
    • Lot of challenges – plant had been old, finance to modernise was hard to get and costs crippling.53
    • Over the last 20 years Bindaree has.53
      • processed 5.2M cattle.53
      • employed 7,000 people.53
      • Paid $750M in wages and salaries.53
      • Returns to cattle producers has topped $5B.53
      • 225,000 truck movements in and out of the meatworks.53
      • Beef has been exported to 70 countries.53
  • Single lane bridge between Walcha and Inverell would be upgraded to allow heavier truck access.54
    • current wooden bridge can only handle B-doubles.54
    • New concrete bridge will handle much heavier loads.54
    • Vital access improvement for transport to and from Inverell abattoir.54

2016

  • May. Chinatex default on 3 year supply agreement set up in early 201565
  • June 30. Deadline for contract agreement Delisi Group60.
  • Bindaree Beef reduce casual employee numbers by around 100 personal60.
  • Bindaree begin court action to pursue payment of contract with Chinatex65
  • July. Contract agreement date for deal with Delisi group is not finalised59
  • Balance sheets of meat processor would have looked far better 12 months previously60
  • Rumours of staff retrenchment would halve the plants current carrying capacity60
  • August. Contract agreement date for deal with Delisi group is not finalised59
  • November. Two large Chinese investment deals to purchase Australian-owned processors have failed to go ahead59.
  • Bindaree beef $140M investment deal with China’s Delisi group has not been executed59.
    • Speculation is the hesitancy to complete the deal is linked to current processing industry profitability59
    • Discussion’s had re-opened with other interested parties59
  • Other facility considering joint venture agreement – Churchill #8Q. QLD59.
  • Bindaree was currently processing 4,000 cattle per week59
  • National Beef herd has sunk to 20 – year lows59
    • Balance sheets in the red with large losses at processing59

2017

  • August. Bindaree beef sell 51% of business to Hong Kong based, Australia citizens, the Hui family, Archstone investment61
  • Reported $120M sale 62
    • Hui family is led by Hue Mang Mau61.
    • Primary business interests are in property development in Asia controlling businesses on Shanghai and Hong Kong stock exchanges61.
    • Also hold some property in Western Australia61
      • Archstone established Consolidated Australian Pastoral Holdings (CAPH)62.
        • Moola Bulla station, Shamrock station62.
        • WA properties will be more geared to live export62.
    • Intention to make further acquisitions of cattle properties in the Inverell area61.
    • AMIEU claim Hui Wang Mau paid $150M for 51% stake in Bindaree beef operation69.
  • Bindaree has current operating capacity of around 900 head cattle per day61
    • last 2 years has seen a significant reduction in numbers processed due to severe cattle shortage61.
  • Bindaree Beef will establish 7 member board61
    • 3 from original Bindaree beef group61
    • 4 from Hui/Archstone investments61
    • Andrew McDonald to remain as CEO61
    • Sanger Australia to retain a minority shareholding with others61.
  • November. Supreme Court order a Chinese business, Chinatex to pay Bindaree  $31.35M as compensation for reneging on a beef deal struck in 201564.
    • Chinese customer – Chinatex64
    • 3 year supply deal had been to process about 900 head of cattle per week for export to China, with the meat sold through it’s own contacts64
      • Chinatex had been warned of cattle price pressures at the time of the contract signing in 2015
      • Chinatex’s representative Zhiuhua Liang feared Chinatex’s own customers would leave and requested help to hide losses64
        • Mr Liang didn’t want head company at Beijing to know of losses64
        • Bindaree continued to purchase and slaughter cattle for Chinatex in line with the contract64
    • Bindaree found other customers for some of Chinatex’s product, with Chinatex buying some64
    • Chinatex has recently been brought out by Chinese state-owned behemoth China National Cereals, Oils and Foodstuffs Corp. (COFCO)64.
      • It would not be a good look for COFCO to walk away from a court order covering a company it owned64
    • Bindaree apply and receive a court appointed freezing order against Chinatex Australia65
    • Chinatex write a response to Fairfax media claiming that Bindaree are using unfair pressure on a foreign company to reach their purpose through political means66
      • Chinatex claim that Bindaree beef didn’t suffer any actual loss from the deal as they sold the product to other customers66.

2018

  • January. Bindaree Beef are concerned about the increased competition of Brazil and Argentina into Hong Kong and China frozen meat products63.
    • Brazil regained access to Chinese markets mid 201563
      • Brazil supplied 30% of China’s imported frozen beef in 201663
    • United States gained access to China in 2017 after a 14 year abscence63
    • Argentina have just signed a bi lateral agreement with China to supply beef and sheep meat63.

Source MLA Snapshot. China January 2018.

Types of Australian beef exports that are sent to China

Source MLA Snapshot. China January 2018

Proportion of Australian beef exports that China receives.

  • March. Bindaree returns to court after November 2017 ruling pursuing payment by Chinatex’s parent company COFCO65
    • Federal Senate, National Senator John Williams says the matter greatly concerns him65
    • “It is an example of an overseas-owned company that appears to be making every attempt to defy an Australian court judgement, which in turn would have a severe impact on a large Australian employer” Se John Williams65.
    • COFCO have stripped Chinatex of their assets65
      • Chinatex Australia transferred its shares, $38M from Australian subsidiary cattle Unibale Pty Ltd to related party Chinatex Fortune, a Hong Kong based company65
      • Bindaree had successfully obtained a freezing order against Chinatex since December 201765
    • June. Chinatex enter Voluntary Administration on 22/06/201867.
      • Administrators – Grant Thornton.67
      • Claims against the company amount to $115M. Including Bindaree debt67
      • Estimations of Bindaree’s likely hood to receive fund are from 0% to 20% likely (Pg 11)67
  • October. Bindaree release a new premium beef brand68.

new brand. Farmonline. 23.10.2018.

‘Bindaree launches all-new premium beef brand’ www.farmonline.com.au 23.10.2018

  • Research conducted by Bindaree  lead to development of range that is MSA graded for consistency68
  • October 24. A workers strike occurs after months of negotiations and meetings fails to reach agreement on a wages dispute69.
    • Fair work Commission recent Award review require a 2% increase as absolute minimum on wages69.
      • Bindaree claim its workers are already receiving above award wages and wish to only pay the 2% increase69.
      • AMIEU want more than the 2% increase69.
  • Bindaree Beef agree to pay only the minimum increase required by Fair Works Commission recent Award review70
  • October 27. Another strike for 2 half hours by workers  is to occur, with the evening shift workers also striking70.
    • AMIEU want 3% after the 2% increase70.
      • Believe Bindaree can afford it because its part owner Hui Wing Mau has a net worth of $7.2B69
      • AMIEU claim Bindaree Beef is profitable and can afford it while its workers are struggling to meet living costs70
      • Award wage is minimum of $803 per week70
        • Boner’s are paid $1,500 to $1,800 per week70.
        • Unskilled workers already receiving 50% above award wage60
        • AMIEU claim only 5% of workers earn above the minimum wage70.
  • Bindaree has currently been processing stock 5 days a week70.
    • Has been able to increase wages in the past due to improvements in efficiency and equipment70.
    • Current supply of stock is reducing due to severe drought across Eastern Australia70.
      • East coast processors are forecast to drop production in the immediate future due to drought and supply pressure70
      • Farmers are not able to plant crops due to current drought and have not been profitable recently, they are not sympathetic to meatworkers asking for higher pay rises when economically things are so unstable.70
      • Workers demands are adding to the unrest in the region due to drought pressures70.
      • Abattoir in Tasmania has already closed  due to high energy costs and lack of support for supply and funding70
        • Devonport (Tas) , owned by JBS was promised $800,000 2 years in government funding to remain open. It has received some of that funding but will close 15/11/201971
  • The following charts were adapted from the Analysis of Regulatory and Related costs in Red Meat Processing. AMPC. SG Heilbron. Oct 2018.
    • This project identified and quantified the costs of red meat processing, including assessing the regulatory components. It compared costs with key international competitors in United States, Brazil and Argentina72.
    • Information was assessed from 29 facilities representing the national slaughter of 60% cattle and 35%72.

Key cost components. Beef. AMPC. 15_16Key Cost Components Australian Cattle 2015/ 2016. 100% costs excluding Livestock purchase

Weighted Av costs per beast. AMPC 15_16

Weighted Average Processing Costs. Key cost components were assessed based on per head of throughput ratio

Countries compared. AMPC 2015_2016.

Comparison of Operating costs with major competitors, US, Brazil and Argentina.

Sources. Inverell. Est # 218. NSW

  1. ‘5,000 jobs at risk:Abattoirs facing closure’ Sydney Morning Herald 21.05.1996
  2. http://www.bindareebeef.com.au. accessed 27.02.2014
  3. ‘Inverell business community’ Parliamentary Hansard 01.06.1995
  4. ‘Drought, dollar forces lay offs at Inverell abattoir’ The Northern daily Leader. 18.07.2003
  5. ‘Coles, Woolworths to shun beef imports’ Perth Now 02.03.2010
  6. ‘Who is JR McDonald’ The Land 05.05.2010
  7. ‘Bindaree Beef  – Bio digester and Rendering plant’ http://www.mitchelhanlon.com.au. accessed 27.02.2014
  8. Bindaree Beef Preliminary environmental assessment rendering plant
  9. ‘Carbon price secures Inverell’s future’ Tony Windsor MP. Independent for New England 03.07.2013
  10. ‘Bindaree Beef scores unprecedented $23M grant for carbon price’ Beef Central 03.07.2013
  11. ‘NSW meatworks soon to be cooking with biogas’ ABC Rural 03.07.2013
  12. ‘One of Australia’s biggest abattoirs proves Gillespie wrong’ http://www.roboakeshott.com 04.07.2013
  13. ‘Innovative regional thinking behind world first biogas project’ Beef Central 13.09.2013
  14. ‘Beefed-up grant raises eyebrows in New England’ http://www.smh.com.au 09.11.2013
  15. ‘Licence blow to beef plant’ Central Western Daily 17.02.2003
  16. ‘Pay dispute at Bindaree Beef’ ABC News. 24.02.2014
  17. ‘Bindaree Beef and unhappy workers negotiate again on Wednesday’ ABC News 26.02.2014
  18. ‘Bindaree Beef wages dispute’ Parliamentary Hansard 06.03.2014
  19. ‘Bindaree beef dispute heats up’ http://www.farmonline. com.au. 21.02.2014
  20. ‘Bindaree counters union claims’ Stock and Land. 26.02.2014
  21. ‘Bindaree takes new approach to beef brand identity’ Beef Central 03.03.2014
  22. Ausmeat Accreditation listing. accessed 25.05.2014
  23. ‘Bindaree Beef worth $75,000 condemned for high endosulfen residue’ www.erisk.net 24.02.1999.
  24. ‘Bindaree beef in a stink with council’ Central Western Daily 15.12.2002
  25. ‘Rolling industrial stoppages likely at Bindaree’ Beef Central 21.02.2014
  26. ‘Bindaree Beef workers threaten dispute over $2-a-week argument’ www.smh.com. 21.02.2014
  27. ‘Bindaree Beef expansion on hold as council turns down application for funding’ ABC. 16.04.2010
  28. ‘Australia to get it’s first meat waste biogas plant’ www.ben-global.com 06.03.2014
  29. ‘Bindaree dispute continues’ ABC News 10.03.2014
  30. Major projects Planning. NSW 16.06.2014
  31. ‘CEFC finance for Bindaree Beef biogas & rendering upgrade’ CEFC July 2014
  32. www.cleanenergyfinancecorp.com.au
  33. ‘Inverell meat works shows the world….’ 2degreesproject.com.au
  34. ‘Bindaree bio Digester’ Meateng
  35. ‘JR McDonald: a Bindaree Beef legend’ www.northernstar.com.au 11.09.2014
  36. ‘Bindaree Beef Boss on need for red meat reform’ www.ruralweekly.com.au 13.09.2014
  37. ‘No guts, no glory on clean energy’ The Saturday paper 13.09.2014
  38. ‘Bindaree beef carves path to China’ www.farmonline.com.au 29.09.2014
  39. ‘Bindaree plan – bio-digester on the boil’ www.northerndailyleader.com.au 30.12.2014
  40. ‘Bindaree Beef in $500M auction’ www.farmonline.com.au 29.01.2015
  41. ‘Bindaree Beef seeks $100M equity investor’ Beef Central 02.02.2015
  42. ‘Meat Processor Bindaree Beef to merge with meat sales company Sanger Australia’ ABC Rural 08.07.2015
  43. ‘Bindaree Beef and Sanger Australia tie the knot’ www.foodanddrinkbusiness.com.au 08.07.2015
  44. ‘Streamlining supply benefits beef’ www.farmonline.com.au 10.07.2015
  45. Dept Ag. Submission to Market consolidation and the red meat processing sector July 2015
  46. ‘Campbell New Sanger CEO’ The Land 18.08.2015
  47. ‘China’s middle class to get skirt that tastes as good as sirloin’ www.afr.com 03.09.2015
  48. ‘Shandong Delisi to take stake in Bindaree’ www.afr.com 16.09.2015
  49. ‘China abuys 45% stake in Bindaree Beef for $140M’ The Australian 27.10.2015
  50. Bindaree Beef submission Inquiry into meat marketing May 2011
  51. ‘Why Bindaree chose Delisi’ Nth QLD Register 28.10.2015
  52. ‘KVM advises Bindaree Beef on significant Chinese investment’ www.kvm.com. 04.11.2015
  53. John Williams, NSW National Party Senate speech 01.12.2015
  54. ‘Finish line in sight for Abington Bridge….’ www.barnabyjoyce.com.au 14.12.2015
  55. ‘China chilled beef trade re-emerges…..’ Beef Central 07.07.2014
  56. ‘Bindaree beef to China chases premiums’ QLD Country Life 25.09.2014
  57. ‘Bindaree Beef backs ASA 100’ http://www.farmonline.com.au 14.11.2014
  58. Bindaree Beef. Submission 11. Senate Inquiry Effect of Market consolidation. 23.04.2015
  59. ‘Bindaree, Churchill re-opens investment talks……’ Beef Central 22.11.2016
  60. ‘Is Bindaree’s $140M deal with Chinese investor on the rocks?’ Beef Central 15.07.2016
  61. ‘Bindaree Beef sells Majority stake to Hong Kong based Investor’ Beef Central 31.08.2017
  62. ‘Archstone’s plans for 1 million hectares….’ ABC Rural 20.09.2017
  63. ‘China Argentina beef deal highlights our cost pressures’ www.farmonline.com.au 23.01.2018
  64. ‘Bindaree’s Chines partner ‘lacked moral compass’, court says in $31M judgement’ Beef Central 27.01.2017
  65. ‘Bindaree’s Chinese business partner slammed in Senate over avoiding debt’ Beef Central 23.03.2018.
  66. ‘Failed China beef deal turns political’ www.farmonline.com.au. 26.03.2018
  67. Chinatex Voluntary Administration. Grant Thornton. 22.06.2018.
  68. ‘Bindaree launches all-new premium beef brand’ www.farmonline.com.au 23.10.2018
  69. ‘Bindaree Beef workers to walk out after billionaire boss refuses to budge’ AMIEU. Newcastle. 22.10.2018.
  70. ‘Bindaree pay dispute’ ABC Rural radio. 27.10.2018
  71. ‘Devonport closure puts more than 100 people out of work’ ABC News 22.10.2019.
  72. Analysis of Regulatory and Related costs in Red Meat Processing. AMPC. SG Heilbron. Oct 2018

Forbes #656. NSW

Located southwest NSW, built in the 1950’s, owned and operated by Japanese 1988 to 2003. Plant required significant capital upgrades which the owners were not prepared to do and it closed in 2003. Talk of reopening in 2013.

Other Names

  • Lachley meats

Current Operation

  • Unknown

Location   

  • Forbes is located approximately 600km east of Sydney in central NSW, Abattoir located in the Lachlan valley.4

Forbes

Forbes #2

Hema Maps – Australia Truckies atlas.

Owner

  • Lachley Meats ( when closed 2003)1
    • Owned from 1988-20034
    • Japanese owned – The Hannan Corporation2
  • Tasman Group4
    • Currently operates other abattoirs.4

Operation   

  • export beef works2
  • Specialised in grainfed beef for Japanese and Korean Markets5
  • 170ha site, that is 8km from the CWLX livestock selling centre14.

picture 2013._edited-1Source – ‘Abattoir industry in disastous state’ ABC Rural. 16.02.2010.
Forbes abattoir also known as Lachley meats.

History of Forbes #656.

1950’s

  • Built

1987

  • Liberalisation of Japanese beef markets meant reduced import quotas and reduced import tariffs over the next 3 years. (Pg 82)9

1988

  • Plant in operation at this point1.
  • Lachley meats take over2
    • Trading company Mitsubishi were important investors in Australian beef cattle lot feeding and were involved in ‘paddock to plate’ supply chain control. Mitsubishi invested in Lachley meats and Mid Coast Meats – Macksville NSW.(Pg 124)7
    • Japanese firms invested in Australia feedlots and processing facilities especially in QLD, in order to supply the liberalised Japanese market, to ensure product quality and safety standards and to create a more secure supply chain for their parents in Japan (pg 123)7
    • Cattle feedlots in Australia had increased in the 1960’s solely to supply the Japanese markets, when the 1974 (Oil Crisis) occured massive losses occured to Australian feedlotters and producers with little impact on the Japanese buyers as they had little equity in the investments. When trade was rebuilt Japanese importers had to invest in the feedlots to share some of the risk (Pg 81)9

1997

  • At this point Forbes abattoir is Aus-meat registered as an Export Beef, sheep facility11
    • Operator – Lachley meats (Forbes) P/L11

2003

  • August. Abattoir closes.1
  • 170 permanent employees, plus another 70 part-time1
    • company committed to meet all workers entitlements1
  • Another article cites 300 jobs were lost due to the Forbes abattoir closure
  • Forbes abattoir at one stage had employed up to 450 people14
    • 4.5% of the then Forbes population14
  • Unlike Cities of Geelong and Illawarra when Ford factory and Bluescope steel closed, Forbes didn’t receive anywhere near the same level of government support14.
    • Both cities had received about $25M together14.
  • Lachley closed operations rather than invest in capital in a plant that had a bad trading history since 19881
  • Japanese owned pulled the plug on further financial support.2
    • citing high operating costs of an aged plant2
    • shortage of labour2
    • capital requirements needed to comply with by-products results since acquisition in 19882
  • Hannon Corporation was the 2nd largest importer of beef into Japan3
    • Owned a plant in Japan that could process up to 150,000 head a year3
  • Increased tariff on beef imports by Japan earlier had claimed it’s first Australian victim3
    • Major factors are the economic situation in Japan3
    • Situation in Australia and markets is exasperated by the drought3
  • All creditors and liabilities will be paid out in full2
  • Abattoir had closed and re-opened 3 times in the last 20 years.2
  • Local council willing to help to facilitate sale of plant as abattoir or conversion to some other type of factory6
    • Money was available for industrial developement6
    • Special abattoir displacement retraining fund to help retrain people through TAFE6
    • Assist in reducing costs of worker’s compensation, public liability and insurances overall, “..because abattoirs pay right at the top of all those services and that is working against abatttoirs in general” Member for Lachlan Ian Armstrong.6
  • Closure of the abattoir would impact by taking a major premium buyer for cattle out of the market throughout the region.6
  • December. Abattoir sold to Tasman Group services.4
  • Tasman Group also operate Brooklyn (Vic) and Altona (Vic), Yarrawonga (NSW) Longford (Tas) and King Island (Tas)4
    • Also feedlot Yambinya – Wakool4

2010

    • Six red meat abattoirs in Central NSW have closed since 200313
    • Outlook for the sector looks bleak13
      • “It’s disastrous. There are too many processing abattoirs out there and not enough animals to slaughter” Neville Newton, Goulburn abattoir operator13
  • There are currently 29 red meat abattoirs in NSW, down 30% 10 years ago13

2011

  • May. Equipment from the Killarney #22Q. QLD abattoir is used to refurbish Forbes10
    • Equipment is kept in storage and not actually installed but is included in sale deal offered September 201614
  • Sale of facility is thought to have occurred about this time – Australian owner14.

2013

  • Abattoir to be re-opened, had be closed last decade.8
  • Will be over 12 months before improvements are carried out and plant in operation.8

2014

  • NSW Government is questioned if it will offer potential buyers of the Forbes abattoir financial assistance12.
    • Governments reply – Mr Ian Armstrong, Minister of Regional Development, Minister for the Illawarra and Minister for Small business answers that the NSW government would be willing to work with any potential buyer of Forbes abattoir12
    • Grafton #157 NSW had received financial assistance in the past12

2016

  • September. Forbes abattoir attracted strong overseas investment enquiry – principally Chinese10
    • With a view to re-opening as a beef processing plant10
    • Half of the 10 or so interested parties in the purchase were overseas interests10
      • Looking to vertically integrate10
  • Some investors looking to demolish the plant entirely and build a brand new facility14
    • One Korean interest is looking for an Australian shareholder partner14
  • Other facilities in Australia listed for sale at this time

Source ‘Three meat processing plants hit the market…’ Beef Central 14.09.2016

Forbes abattoir

  • Three abattoirs are on at the market in Australia at this time14.
  • Equipment removed from the Killarney abattoir in 2011 kept in storage is included in the sale deal offered at this time14
  • Current owner of Forbes abattoir is thought to have owned the site for 4-5 years14.
  • Stockyards, ponds and office infrastructure are intact at this point in time14
  • October 6. Forbes abattoir site is auctioned14

Source Ian Simpson Property sale advert.

2018

 

Sources of Forbes #656

  1. ‘Dubbo stands while Forbes falls’ Daily Liberal. 21.08.2003
  2. ‘Meat jobs go at Forbes’ The Land. 28.08.2003
  3. ‘Agriculture’ The World trade review. 16-30 September 2003
  4. ‘Abattoirs revived’ Stock and Land 24.12.2003
  5. ‘Meatworks jobs saved’ The Land 25.12.2003
  6. ‘Council offers aid as abattoir closes’ ABC News 22.08.2003
  7. ‘Japanese investment in the World economy: extract’ Roger Farrell.
  8. ‘Forbes council confirms towns abattoir be re-opened after a decade in mothballs.’ ABC Rural. 30.08.2013
  9. World on a plate. Stephen Martyn 2014
  10. ‘Chinese still showing interest in processing assets’ Beef Central 04.10.2016
  11. Aus meat registration list July 1997
  12. http://www.parliament.nsw.gov.au. Questions 18.09.2003
  13. ‘Abattoir industry in disastrous state’ ABC Rural 16.02.2010
  14. ‘Three meat processing plants hit the market – What’s behind it? Beef Central 14.09.2016
  15. https://www.ruralview.com.au/Real-Estate/1-lachley-street-forbes-nsw/Property-Details-buy-rural-10479908.html. viewed 04.03.2018

Goulburn #217. NSW

Located 200km southwest of Sydney and north of Canberra. Has faced major shortage of animal supply issues in the past due to drought and decreased national sheep herd. Recently increased costs of water affected operations.

Other Names

  • Southern Meats.

Current Operation

  • Currently in operation.
  • Ausmeat Accreditation number #02178

 

Location   

  • Goulburn is located 200km South west of Sydney and 90km north of Canberra
  • Abbatoir is located 99-241 Mazamet road, Goulburn NSW.

Goulburn

Goulburn #2

Hema Maps – Australia Truckies atlas.

Owner

  • Southern Meats Goulburn1
    • Also own Harden abattoir (NSW) – closed Harden in 2006.
    • Joined with Western Australian Meat Marketing co-operative Limited (WAMMCO)10

Operation   

  • Export abattoir for sheep and sheep offal.8
  • Specialist plant of sheep and lamb production5
  • Draws livestock from Victoria and NSW5
  • Pupose built boning room for further processing of customers orders5
  • Skins processed to drum salt stage5
  • Rendering facility produces bleachable and bleached tallow in addition to bloodmeal and meatmeal5
  • Production is predominently export-driven including the Middle east and US market6
    • SE Asia and Japan5
    • simple 6-way packs to more detailed specifications for orders6
  • Capacity to process 8,000 sheep and lambs a day10
  • Livestock kept in covered yards on arrival at plant10

History

1957

  • Goulburn was a strategically important abattoir at this time27.
    • Operated by local government to boost local employment and establish regional livestock selling centres27.
    • Others at the time were located27

1963

  • Operated as an export facility with chilling, freezing an freezing storage capacity by the Goulburn City Council25

1991

  • Neville Newton purchases the Goulburn abattoir28

1997

  • July. Is Aus-meat registered at this time26.
    • Operated by Southern Meats Pty Ltd26

2001

  • Southern Meats Pty Ltd – figures for year ending December 20024,Harden abattoir (NSW) and Goulburn combined.
    • Ranked 10th in Top 25 Australian beef and Sheepmeat processors for 20014
    • Throughput 65,000 ETCW (estimated tonnes carcase weight)4
    • Turnover $225M4

2002

  • Southern Meats Pty Ltd – figures for year ending December 20024, Harden abattoir (NSW) and Goulburn combined.
    • Ranked 12th in Top 25 Australian beef and Sheepmeat processors for 20024
    • Throughput 49,000 ETCW (estimated tonnes carcase weight)4
    • Kill share 1.8%4
    • Turnover $206M4
    • Total staff 7004

2003

  • Southern Meats Pty Ltd – figures for year ending December 20035, Harden abattoir (NSW) and Goulburn combined.
    • Ranked 14th in Top 25 Australian beef and Sheepmeat processors for 20025
    • Throughput 46,675 ETCW (estimated tonnes carcase weight)5
    • Turnover $180M5

2004

  • Major problem facing the industry was the lack of growth in the Australian sheep flock, combined with skyrocketing cost of lamb in recent years.1
  • July. Major problem was lack of rain1
    • need water to use to run the plant1
  • Plant is currently operating 4 to 5 days a week.1
  • Plant was closed for a number of months in 2003 due to drought and low availability of stock numbers1
  • livestock supply improved in 2004
    • average carcase weights slightly higher
    • 2nd shift work put into operation
  • Southern Meats Pty Ltd – figures for year ending December 20045, Harden abattoir (NSW) and Goulburn combined.
    • Ranked 10th in Top 25 Australian beef and Sheepmeat processors for 20045
    • Throughput 55,000 ETCW (estimated tonnes carcase weight)5
    • Kill share 2.6%5
    • Turnover $185M5
    • Total staff 4805
    • Production split 95% export, 5% domestic5
    • Species split 75% sheep, 25% lamb5
  • Harden abattoir (NSW) closed 2004 due to stock shortages.

2005

  • Southern Meats Pty Ltd – figures for year ending December 20066, Goulburn only
    • Ranked 10th in Top 25 Australian beef and Sheepmeat processors for 20056
    • Throughput 55,000 ETCW (estimated tonnes carcase weight)6
    • Turnover $185M6

2006

  • Southern Meats Pty Ltd – figures for year ending December 20066, Goulburn only
    • Ranked 14th in Top 25 Australian beef and Sheepmeat processors for 20066
    • Throughput 51,000 ETCW (estimated tonnes carcase weight)6
    • Kill share 1.8%6
    • Total staff 4806
    • Production split 95% export, 5% domestic6
    • Species split 75% sheep, 25% lamb6
    • Brands Fine Brand, Country Meadow, Southern Cross6

2007

  • Southern Meats Pty Ltd – figures for year ending December 20067, Goulburn only
    • Ranked 25th in Top 25 Australian beef and Sheepmeat processors for 20077
    • Throughput 28,000 ETCW (estimated tonnes carcase weight)7
    • Kill share 0.97%7
    • Total staff 4807

2009

  • Forced to let workers go who worked afternoon shift
  • Going through an extremely long dry period
  • February. Southern Meats will shut down it’s Goulburn abattoir operations if a new saleyard is approved for building 250m from its own front gate11
    • Saleyard is proposed by Kattle Gear Australia11
      • $9M complex in Mazamet road11
        • Cater to 20,000 sheep and 2,500 cattle11
  • Southern Meats Owner and General Manager – Mr Neville Newton11

2010

  • February. Goulburn. Currently employs 250 people3
    • Used to have more than 4003
  • Central West NSW used to have 11 abattoirs now it just has 44
  • Livestock numbers plummet due to long period of drought4
  • “It’s disastrous. There are far too many processing abattoirs out there and not enough animals to slaughter” Neville Newton. Goulburn owner / Operator4
  • Currently 29 licensed red meat abattoirs in NSW4
    • down by 30% from a decade ago4

2011

  • March. Southern meats had forced full production shutdown for 16 weeks – March to June.9
    • Abattoir closed March 21 for six weeks due to livestock shortages12
      • Low sheep numbers14
        • Sever drought that has caused this and another lengthy closure this year15
      • High Australian dollar on the export markets14
    • May 2 re-start is subject to stock availability12
    • 180 employees were laid off.
  • April. Local town employers are encouraged to employ the meat workers on a seasonal basis  to prevent the loss of their expertise and skills from the area12
    • Some workers are using long service leave and annual leave to survive the downturn12
    • Important to retain as many of the people locally to minimise the impact on the local economy12
    • Workers age range from 16 to 66 with 40% female12
      • some had gone to Canberra in the building trade and others had began work at the Tahmoor poultry plant12
  • Industry and Investment NSW and Southern Meats have developed a scheme to train abattoir workers in other fields13
    • Aim is to keep the workers in Goulburn during the plant’s shut down periods13
  • May 28. Plant announces it will not restart until July 414.
    • Second time the re-opening has been delayed14
    • AMIEU claim the abattoir is about to be sold14.
      • AMIEU organiser Mark Perkins14
      • Current employment agreement covers short-term closures and stand-downs but not the sale of the facility14
      • Union were not informed of extension of closure until 27/05/201114
    • Management of the plant decline to comment on the facilities future14
  • June. Abattoir is sold to the Western Australian Meat Marketing Co-operative (WAMMCO) for an undisclosed sum15
    • WAMMCO have another plant in Katanning15
    • Sale includes business, land and buildings15
      • Sale had been in negotiation for 3 months
      • WAMMCO will take on all former workers15
      • had been aware Goulburn was experiencing difficulties15
      • Plant to reopen July 115
  • Competition had been very difficult with 2 major lamb processors pushing up livestock prices15
  • The abattoirs premier export product was a strong attraction to the buyer15
  • WAMMCO wanted to branch into eastern states15.
    • 1.3M head of sheep had left WA in 9 months to eastern states15.
    • Risk management strategy15.
  • AMIEU is confident most workers will return to the abattoir when it re-opens July 416.
    • all entitlements of employees who would return would be paid16
    • Union have a good relationship with WAMMCO in the west16
  • July 5. Plant reopens17
    • Approximately half of the workforce have returned17
      • Just over 100 people returned17
    • Reopen under Southern Meats name17
      • Chief Executive Coll MacRury17
    • Plant would restart at 60-70% capacity to build to full production17
    • Southern Meats want to double capacity and employ 400 people17
    • Livestock would be sourced from saleyards and direct from the paddock17
      • Direct from the paddock was more efficient and used in the west17
    • Plant would continue will supply to halal markets17
      • Animals were stunned with an electric stunner pre slaughter17
    • Previously plant had focused on mutton export17
      • WAMMCO would pursue more lamb products17
        • 20% going to the domestic market18
        • May take 18 months to build domestic opportunities18
        • Australian dollar was so strong against most countries’ currency18
    • Most stock would be secured from producers within 2-3 hours of the facility18
    • WAMMCO Western Australia is run at 90% direct from producers supply18
    • Plan to get Goulburn supplied 75-80% direct18
      • then adopt some principles of the NSW co-operative18
        • performance based payments18
        • work with producers to lift genetic pool18
        • produce the type of lamb market wants18
    • Immediate aim is to get the plant to profitability18
      • Will need to see numbers improve18
        • Better margins back to the business18
        • Wants plant back to capacity on one shift18
          • Processing 4,200 – 4,500 sheep and lambs per day18
      • Will take a couple of years18
      • Prices paid in the last 10-12 months are not sustainable18
        • market can’t support that type of buying18

2012

  • August. owner expressed concerns about its viability and job security when its annual water charges skyrocketed by up to $70,0002
    • Council introduced a new policy – water is calculated on amount used.2
    • Council agreed to reduce charges and do a watching brief of water use.2
      • aware of need to assit meat industry, export and internally in tough times.2
  • Plant is already facing significant cost increases due to carbon tax and exchange rates.2
  • Abattoir is unable to pass costs on the extra costs19.
    • people just don’t get employed to offset costs19

2013

  • March. Abattoir has thrown down gauntlet in regards to Goulburn’s water pricing20
    • Council suggested a 25% discount on water charges to the business20
      • Southern Meats say this will add $150,000 annually or 69% to their bill20
  • In the current business environment this is not sustainable for Southern Meats and if this is adopted it would have a severe impact on our ability to operate successfully in Goulburn” Southern Meats CEO Coll MacRury20
  • Abattoir would be unable to provide further employment if the water charges are implemented20
  • Council has also risen residential water charges by 33%20
    • ‘Full cost recovery’ for council’s water business unit20
    • in line with state government directive20
    • Price of water was cheap in the first place20
    • Prices had not risen for a long time20
  • Council have allowed 42% reduction to the abattoir – $125,000 annually20
    • Phased in over 5 years20
      • Abattoir say the charges are still not acceptable20
    • Abattoir uses 210 Megalitres annually (2011/2012)20
      • 10% of entire Goulburn water use20
      • currently pays 97c/kilolitre = $205,000 annual water bill20
        • If it paid the same as other businesses it would pay $570,000 pa20
        • Initial offer $365,000 reduction in fee = $36 cross subsidy by every Goulburn property20
        • Latest offer abattoir would pay $1.57/kl cross subsidy of $43 per property20
  • Abattoirs are facing high costs20
    • Livestock costs are high20
    • high Australian dollar20
    • higher business and labour costs relative to other countries20.
      • Any competitive advantage was critical20
    • Says other competitors are paying less for their water20
  • Other businesses lost in the region included Oral B, Supertex, The Goulburn Wool Scour and Kermac20
  • Southern Meats employs 270 people20
    • Slaughters 3,600 sheep and lambs daily20

2014

  • August. Agreement is made with Japanese city businessman signs a deal worth $340,00021
    • Goulburn sister city to Japanese city Shibetsu21
    • Mr Imai – CEO of Shizou Farm Corporation21
      • Own
        • several restaurants21
        • motel21
        • runs 600 Suffolk sheep on his farm21
        • grows 143 acres of sugar beet21
      • One of the largest operations in Japan21
        • 43 greenhouses21
        • a meat processing works to slaughter own stock and imported21 animals21
        • catering firm contracts to Nippon Airways21
        • Transport business21
    • Goulburn abattoir agreement will see 17 tonnes of lamb exported by air and ship21
      • Initially the contract had been with a Melbourne site21
    • Goulburn exports 800 tonnes of high quality lamb to Japan annually21
      • Overall exports 500 – 600 tonne every week21
  • Russia has imposed sanctions against Australian products including beef and pork21
    • Unsure if lamb will be affected at this date2

2015

  • June. work will soon begin on a state-of-the-art renewable energy project22
    • Goulburn abattoir will be able to harness power of own methane22
    • Australian first22
    • Biogas will be used to generate electricity that offsets grid supplied electricity22
      • Biogas is currently used as a fuel at a number of processing works22
    • Quantum Power, Gold coast based bioenergy company will construct the equipment22
      • generate up to 1MW or renewable energy22
        • sufficient to offset power of 400 homes22
        • Offset 40% of grid supplied electricity to the abattoir22
        • take 6-9 months to construct, beginning in 3 months22
          • Once built it will convert waste stream to biogas comprising of 60% methane22
  • November. Unique Australian technology is taking the injuries out of bandsaw work in abattoirs23
    • Goulburn abattoir is one of several installing ‘bladestop’ technology23
      • operator becomes part of electronic circuit connected to the saw23
        • If person touches it, stops within 15 milliseconds23
        • Operator wears a belt that has an electronic circuit breaker23
    • 70 units sold in Australia in the last 18 months23
      • Technology has been around for 7 years23
        • Latest model available for the last 2 years23
    • Research has been going for 11 years through MLA23
      • Goulburn was involved in the research projects23
    • gives employees a greater sense of confidence to use the machines23
    • 4 major incidents at Goulburn in the last 5 years involving bandsaws has resulted in 827 hours of lost time and $100,000 workers compensation claims23
    • 2012/2013 Safe Work Australia statistics showed that there were 95 accepted workers compensation claims and $400,000 paid in compensation due to powered saws in the Australian Meat Industry23
  • Southern Meats is currently processing 3,000 – 5,000 lambs per day23
    • Employs 320 staff depending on the season23
    • Majority of meat is exported to European union and Muslim countries23
    • Domestically processed lamb is for Cosco Australia23

2016.

  • September. At this point in time the facility is managed by Craig Newton. Son of Neville Newton who had owned the facility from 1991 – 201128

2017

  • April. JBS Australia announce they will temporarily close two of its southern lamb processing plant due to current livestock supply and price conditions24.
  • Other facilities that have also stopped production or reduced throughput recently are24
  • Some plants are currently operating on loss-making skeleton 3 day weekly kills24
  • Recent spate of abattoir closures raises questions in regards to over capacity of the processing sector with oversupply of stock due to drought24
  • Has been high levels of foreign investment interest in investments directed into processing24

 

Sources  – Goulburn #217 NSW

  1. ‘Harden abattoir closes; Goulburn’s future uncertain’ Goulburn Post 11.07.2004
  2. ‘Financial reprieve for abattoir’s bills’ ABC News 23.08.12
  3. ‘Abattoir industry in disastorous state’ ABC rural 16.02.2010
  4. Feedback. Top 25 red meat processors 2002
  5. Feedback. Top 25 red meat processors 2004
  6. Feedback’s Top 25 red meat processors 2006
  7. Feedback’s Top red meat processors 2007
  8. Ausmeat Accreditation listing as at 20.05.2014
  9. NSW EPA Annual Return. June 2011 – May 2012
  10. http://www.southernmeats.com.au. accessed 21.05.14
  11. ‘The knives are out: Meat works will close if yards built’ Goulburn Post 03.09.2009
  12. ‘Bid to keep ab workers here’ Goulburn Post 05.04.2011
  13. ‘One door shuts…’ Goulburn Post 12.04.2011
  14. ‘Abattoir sheepish’ Goulburn Post 28.05.2011
  15. ‘Abattoir sells up’ Goulburn Post 06.06.2011
  16. ‘Meat works sale buoys union’ Goulburn Post 07.06.2011
  17. ‘New Beginning’ Goulburn Post 05.07.2011
  18. ‘Southern Meats eyes domestic lamb share’ www.farmonline.com.au 08.07.2011
  19. ‘Abattoir appeals for reprieve from soaring water bills’ ABC News. 20.08.2012
  20. ‘Increase will chop into abattoir’s edge’ Goulburn Post 22.03.2013
  21. ‘Goulburn lamb cuts mustard’ Goulburn Post 11.08.2014
  22. ‘Goulburn abattoirs harnesses methane’ Goulburn Post 12.06.2015
  23. ‘Bandsaw safety technology cuts meat processing injuries’ Sheep Central 04.11.2015
  24. ‘Indefinite closures for JBS lamb plants, as supply challenge reaches critical point’ Beef Central 20.04.2017
  25. ‘World on a plate’ Stephen Martyn. 2011
  26. Aus-Meat Accreditation List. July 1997
  27. ‘A giant in the life of Gunnedah – 100 years since O’Keefe bon’ Naomi Valley 23.10.2012
  28. ‘Neville Newton, a man of great substance’ Goulburn Post 20.09.2016
  29. ‘Goulburn, Southern meats winds back lamb and mutton production’ Sheep Central 17.02.2017

Oberon

Located 200km east of Sydney, Privately owned facility that was shut for a period due to a business deal. Re-opened in 2014 targeting Asian market preferences in Sydney.

Other Names

  • Unknown

Current Operation

  • Is currently operating in 2014.

Location   

  • Oberon is approximately 200km east of Sydney, on the western side of the Great dividing range.

Oberon

Oberon #2Hema Maps – Australia Truckies atlas.

Owner

  • Privately owned.2
    • Manager Andrew McLeod.2

Operation   

 

History

2010

2014

  • February. Abattoir re-started2
  • Had been closed for last 2 1/2 years due to sour business deal2
  • Will fill demand for Asian style processing of smaller stock2
    • processing goats, lambs, deer and beef2
    • Chinese prefer a skin-on burnt2
      • Processed through a hot tub, hair is beaten off and skin stays on, then hair is burnt off and gives a crisp golden colour2
      • large market demand in Sydney2
  • Currently employing 16 people2
    • intentions to employ up to 402

 

Sources

  1. Abattoir industry in a disastrous state. ABC rural. 16.02.2010
  2. ‘Oberon abattoir back in operation’ ABC rural. 24.02.14

Collarenebri (Proposed) Goat

A proposal put forward to convert a disused abattoir previously used for ostriches and emu to goat, in 2008.

Other Names

Current Operation

  • Proposed1

Location   

  • Collarenebri is located in far north west NSW on the Barwon river. Aprroximately 600 km north west of Newcastle. The abattoir is located on Mungindi road1.

collarenebri 1

collarenebri 2

Hema Maps – Australia Truckies atlas.

Owner

Operation   

History

  • Previously had been a emu and ostrich abattoir that had failed1

2008

  • February. Dellmain, a company plans to develop goat abattoir in Collarenebri1
  • Development application was publicly exhibited1
    • process 750 goats a day for 250 days of the year (approximately 8 months of the year)1
    • Create 40 direct jobs, maybe 100 more indirect1
    • If approved abattoir could open in April or May 2008.1
  • Main markets are ethnic communities in United States.1

 

Sources

  1. ‘Goat meatworks promises Collarenebri jobs boost’ ABC News. 07.02.2008.

Casino. #239. NSW

Casino is more commonly known as the Northern Co-operative Meat Company

Casino is an Export accredited facility processing beef and offal. It is the only Co-operative owned meat business in Australia.

Other Names

  • Northern Co-operative Meat Company

 

Current Operation

  • Aus-meat registration #02394.
    • Aus-meat listing accessed 02/10/2017
    • Export accredited facility
  • Casino is the only producer Co-operative owned meat processing business in Australia16
  • NCMC also operate a pig processing operation at Booyong20

Source http://ncmc-co.com.au/. Accessed 28.08.2017

Location   

Australia. Casino

Casino

Hema Maps – Australia Truckies atlas.

Owner

  • Northern co-operative meat company – Only farmer co-operative owned beef abattoir in Australia1
    • Chief Executive Simon Stahl1

Operation  

  • Service kill to customers involving up to 20 operators1
  • Specialised Wagyu processing plant – six regular kill customers provide 10% weekly beef throughput – 4000 head1
  • Direct incentive program offered to co-op members – paid $450,000 in incentive payments 80,000 slaughtered head.1
  • Membership is about 1500 members, both cattle and pork, including 1350 as ‘active’1
  • Members not required to gaurantee of livestock supply and competes with other processors3
  • Operates two floors – Capacity 12,500 a week, Beef floor over 150kg, veal floor under 150kg3
  • As a Cooperative is required to publicly disclose its end-of-year results unlike most other meat processors1
  • Also own Pig processing plant – Booyong, Casino Hide traders.3

Source Beef Central 05.11.2014. Logo

Source Beef Central 08.06.2017

History

1933

  • Northern Co-Operative Meat Co is established as a farmer owner processing business16
    • Service export and domestic beef and pork markets16

1933 – 1939

  • Founders for the first 6 years processed cattle in their own right36

1975

  • Casino Hide Tanners is established16
    • One of the first tanneries in Australia dedicated to the tanning of cattle hides for export16

2000

  • South Burnett meatworks at Murgon close.27
    • Leaves Casino as the only producer owned processing co operative remaining in operation in Australia27

2010

  • 2009/2010 financial year after tax profit $1.025M3

2011

  • March. Northern Co-operative say jobs will go if the Richmond Valley Council goes ahead with planned changes to its water charges14
  • May. Questions asked in legislative council in regards to general information of abattoirs in operation in NSW at the time that employ 50 full time equivalent staff or more.12
    • Casino Northern co-Operative Meat Co Ltd is included in list.12
      • Licensee –  Fung Lea Food Pty Ltd12
  • 2010/2011 financial year after tax loss $1.03M – impacted by climate conditions on cattle availability3
    • Start of 2011 was extremely wet19
    • High Australian dollar19
      • Escalated 26c19
    • Climate conditions had placed significant pressure on business in the January to March Period19
      • Peak production period is normally January to June19
    • Meat processing industry profitability isn’t constant19
      • Fixed costs are very high19
      • Lack of stock can create significant challenges19
        • Supplies predominantly come from independent parties for service kills19
        • When trading conditions become difficult they slow their production particularly when competition or prices of livestock increases19
  • Current CEO at this time is Gary Burridge19
    • Intends to stand down in April 2012
    • Mr Burridge had worked 18 years in this one position19
      • Will move to a new position with T & R Pastoral group20.
      • Will continue to hold Chairman position with Australian Meat Industry Council.20
  • Casino Co-op is currently owned by 1650 members who are predominantly cattle and pig producers19
    • No guarantee of livestock numbers from members19
    • Facility competes with other processors for throughput19
  • NSW Adult Cattle Slaughter throughput – www.mla.com.au
    • Statistics only for the State of NSW financial years.
    • Comparing monthly slaughter for entire state of NSW.

2012

  • Jan.Northern Coopertive Meat co takes on controlling interest in Ramsey meats business3
  • Acquired Ramsey Meats business (Grafton) and now closed.1
    • Ramsey – located Grafton closed operations 14.11.10, shifting business to Casino2
    • Legal representative – Move from Grafton regretted and not the companies preferred option, it appeared inevitable certain Government departments were “single minded in their efforts to achieve the closing of the abattoir business”2
    • Ramsey meats were heavily focused on veal production and had been shifted a service kill arrangement to NCMC since its closure20
  • February. New CEO is appointed. Simon Stahl21
  • Currently operates from Nippon Meat Packers Australia head office in Sydney21
    • Manager of innovation and regulatory oversight21
    • Joined Nippon in 1992, initially working at Oakey (QLD)21
    • Spent 7 (1995 – 2012) years as managing director at Nippons Mackay (QLD) plant21
  • June. 2011 / 2012 Financial year Profit $826,00022
  • Additional plant throughput (due to Ramsey Meat acquisition) had helped trading.22
    • Veal numbers up 73% on previous year22
      • Utilisation operating at 40% capacity in 10/11 now operating at 95%22
    • Beef throughput up 3% on previous year22
      • Beef floor currently operating at 100% capacity22
        • Yearly cycle is 90%22
  • Specialised Wagyu processing  a significant part of the Casino business22
  • Direct consignment incentive to co-op members on 80,000 head was $318,00022
    • Incentive is paid to co-op members by a custom kill operator committed to processing at Casino22
    • Currently 1550 members22
  • NSW Adult Cattle Slaughter throughput – www.mla.com.au
    • Statistics only for the State of NSW financial years.
    • Comparing monthly slaughter for entire state of NSW.

  • Casino is hopeful of being re-listed to supply Russia
    • Plant with 6 others was de-listed earlier in the year.
  • May. NSW unveils regulations to ensure wellbeing and welfare of animals.13
    • Regulations require a designated Animal Welfare Officer (AWO) to oversee and be accountable for the welfare of animals processed at each abattoir facility.
    • AWO’s will undergo specific training that will make them eligible for the position only if that training is completed.
    • All domestic abattoirs in NSW will be required to also have an AWO by 01/01/2013
  • June to December – processing period hard.1

2013

  • Jan – June.  – shift in momentum of processing numbers due to drought.1
  • Hitting weekly records and working extra shift1
  • Not so much extra animals due to drought but abundance due to supply from Northern properties, larger Southeast QLD processors  didn’t have to come south to source kill supply1
  • Plants beef throughput up 7%, to end of financial year veal floor utilisation up to 85%, beef floor – currently 100%, yearly cycle 90%1
  • NSW Adult Cattle Slaughter throughput – www.mla.com.au
    • Statistics only for the State of NSW financial years.
    • Comparing monthly slaughter for entire state of NSW.

 

  • August. Licence agreement is obtained to allow the Casino plant to process PCAS (Pasturefed Cattle Assurance System) on behalf of it’s customers-operators23
  • NCMC record a before tax profit $3.9M for the 2013 /2013 financial year.24
    • Driven by sharp rise in throughput in Jan – June due to effects of drought24
    • Veal numbers increased due to first full year of operations since acquisition of Ramsey meats24
      • up 25% on previous year24
      • Veal floor had been operating at 40% before Ramsey Meats purchase24
        • Now operating close to 85%24
    • Beef throughput was up 7%24
      • Beef floor operating at 100%, yearly cycle average 90%24
      • Processing 4,000 head a week24
        • Wagyu kill for six regular customers makes up 10% of beef throughput24
          • Challenging processing Wagyu because of customers requirement of different cutting lines for global customers and different branding and packaging24
    • Not a 12 month period record of throughput24
      • last quarter, weekly records of throughput were being achieved24
        • Saturday shifts being worked24
          • Possibly the first time the plant has operated on Saturdays24
  • Direct Consignment incentive $450,000 for about 80,000 head24
    • Achieving a new record level in  12/1324
  • Currently approximately 1500 members, cattle and pork producers24
    • 1350 regarded as active.24
  • NCMC Chairman at this time – John Seccombe24
  • Nov. Before tax profit -$3.9M for 2012/2012, up from $839,000 for 2011/20121
  • Passed Russian regulatory audit in November 2012, restoring full access to emerging market there1
  • Offering livestock suppliers a 20c/kg carcase weight premium on vealers meeting Pasturefed Cattle assurance system (PCAS)5.
    • Veal cattle 70-150kg5
    • have identified a large international customer who is keen to adopt PCAS as part of brand story5
  • Livestock suppliers under PCAS are receiving 20c / kg carcase weight premium for vealers25
    • A large international customer is keen to adopt program as part of its brand story25
    • 20c /kg is twice amount offered for PCAS on the beef floor.25
  • Veal throughput had increased 25% since the 18 months acquisition of Ramsey meats.25
    • Veal carcase around 120kg25
    • Vealers can range from 70 – 150kg25
  • Australian processors face higher costs of production, PCAS offers a way to differentiate their brand25
  • NCMC purchase Manning Foods36

2014

  • June. End of year profit for 2013 / 2014 $25.9M. Year ending 30/06/201416
    • High rates of slaughter due to drought
  • In general profitability across Australian export processing industry if high27
    • high export demand27
    • Abundance of relatively cheap cattle caused by drought27
      • Producers are receiving poor livestock prices27
  • NSW Adult Cattle Slaughter throughput – www.mla.com.au
    • Statistics only for the State of NSW financial years.
    • Comparing monthly slaughter for entire state of NSW.

  • September. Beef and Sheepmeat processors feature predominantly among Australia’s largest 500 privately owned companies.26

Source. Beef Central. 24.09.2014

  • Red meat sector presence in the top 500 listing is important26
    • 14 businesses listed were associated with the Meat and Livestock industry26
      • 12 were either processors or non-packer exporters26
    • Reflects the broad business activity of the red meat industry across the nation26
    • Most beef businesses are located in rural areas. Significant employers in those areas26
      • Top 4 red meat entries supporting close to 9,000 regional full time staff.26
    • All the red meat companies showed increased turnover in last financial year26
      • Once in a generation business opportunity driven by abundance of slaughter stock at cheap prices due to widespread drought26
        • particularly those plants with access to international markets.26
      • Normally abattoirs high volume, low margin enterprises26
        • this year high volume, high margin26

2015

  • March. Northern Co-Op export licence isn’t locked into the service of its foreign owner
    • Duopoly squeeze on producers causes pressure on prices and price signals producers do/don’t receive.15
      • Duopoly pressure is supermarkets in the domestic market that buy 60-65% of the domestic market and foreign ownerships hold on the export markets15
      • Australian beef processing is effectively owned by its major export market15
        • United States – in the form of Teys and Cargill15
        • Brazil – JBS15
    • Minimal opportunity for independent operator / producers to gain processing space to export Tier 1 to China or other Asian destinations15
    • Efficiencies coming onstream in abattoir technology mean that a small southern works might be constructed for half the price of AACo’s operation at Livingstone, Darwin” Mr Burton Taylor, former chairman of AACo.15
    • Processor ‘gouging’ over the past 2 years of drought induced turnoff has occured15
  • June. Casino, Northern Co-Operative Meat Co posts a $23M profit before tax for 2015/2015, year ended 30/06/201515
    • Turnover of $301M, Net profit after tax of $17.9M38
    • Total assets of $134.4M 38
    • Result due to a number of factors15
      • record cattle throughput for the year15
        • Many stock turned off to slaughtered due to drought conditions15
    • Second years profit represents 2 of the best back-to-back years in the business’s 82 year history16
      • Bonus incentives to members totalling $3M16
      • Shareholders to receive dividend payments 12% of share capital value16
        • in addition to livestock supply incentive payments16
  • NSW Adult Cattle Slaughter throughput – www.mla.com.au
    • Statistics only for the State of NSW financial years.
    • Comparing monthly slaughter for entire state of NSW.

  • November. Significant capital projects to be undertaken include16
    • upgrading cold storage with the installation of plate freezing technology16
    • automated robotic system in the cold storage area16
    • upgrades to the beef floor16
      • Modification to the twin lead up races to knocking box16
        • replacement of conventional box with rotary box with the addition of accumulator chain16
    • new boilers16
    • waste management treatment facility at the tannery16
  • New capital projects planned to be commissioned in 201616
  • Outlook for 2016 was that stock prices would remain at or near historical highs16
    • Expectation that 10-15% reduction in cattle numbers being processed than previous financial year16
      • As per Meat and Livestock Australia predictions16
  • Service kill partners currently using the plant total approximately 16016
    • 20 core larger clients16
    • Others are smaller butchers or wholesale operators16
  • Facility has capability to kill 8,000 cattle per week on two separate processing floors16
    • One floor processes stock over 150kg16
    • Veal floor processed lighter stock16
  • Provides customers with world-class facility to process beef, veal or pork16
  • Accreditation as an approved processor for16
    • EU (European Union)
    • US (United States)
    • Japan
    • China
    • Korea
    • Halal
    • Organic and biodynamic markets
  • Operates and maintains a secure segregation system for carcases intended for separate markets16

Source http://ncmc-co.com.au. 23.08.2017

  • Largest component of business is Casino Service Processing (CSP) business division16
    • Operated in conjunction with Casino Hide Tanners16
      • Capacity to process more than 900,000 cattle hides per year16
        • Processes hides from green through to wet blue leather.16
  • NCMC independently operate their own marketing range of brand lines16
  • Casino will close one of it’s two beef chains for the season on 20/11/201528
    • inevitable undersupply of stock has caused the early closure28
    • Veal chain will be close 13/11/201528
      • Veal will be shifted to single chain until proposed final closure date of 16/12/201528
    • 150 casual staff will be put-off early28
    • Permanent staff will not be re-trenched or otherwise affected28
  • Had been a stock throughput decline of 30% recently28
    • Adult cattle numbers had declined 20%28
    • Veal numbers were back 70%28
      • Impossible to maintain both chains later into the season28

 

  • “Australian beef industry has gone from a 35 year high in beef herd size, to a 20 year low in the space of just 2 years” Simon Stahl, CEO, NCMC28

 

  • “Australian processors have been operating 30% above normal capacity for the last 2 years as producers responded to drought conditions by turning in their cattle for processing” Simon Stahl, CEO NCMC28

 

  • Subject to rain Casino plans to re-open its beef chain after a 3 week break on 11/01/201628
  • JBS Australia Townsville and Teys Australia announce early closures for the season due to cattle availability28
  • December.

Source. Beef Central 29.12.2015

2016

  • January. Infrastructure improvements are installed29
    • Upgrades will cost approximately $40M33
      • Tannery improvements costing $7M33
  • February. Meat and Livestock Australia 2016 industry projections predict a likely fall in the number of slaughtered cattle for 201634

Source Beef Central 27.01.2016

  • 2016 Beef kill Australia wide expected to be 7.6M head34
    • 18% decline from high point in 201434
    • 2017 is expected that kill numbers will be 7M head34
      • Lowest number since 199534
  • Live exporters are mounting increasing pressure against beef processors in Australia34
    • ‘Traditional’ processors areas of procurement for cattle are being entered by exporters to fill live boat orders.34
      • The separation that once existed in terms of live weight between boat (live export) and processed cattle appears to be breaking down.34
  • International markets are currently in a poor state34
    • Australian meat processors in general are making losses on almost all lines of slaughter cattle being processed.34
    • Producers previously had to wait long periods for kill space to sell stock to slaughter now those wait times have lessened34
  • Casino plant had cut back on the veal processing chain last year has resumed to processing on the chain of 50%34
  • Casino beef chain is currently operating at 70%34
  • March. Wiley undertakes major infrastructure improvements at Casino29
  • 4 Projects29
    1. New Cold chain management facility29
      • reduction in product movement and multiple handlings29
      • Implementing ASRS (Automated storage and retrieval system)29
        • 1st in a frozen environment in Australia29
        • 2nd installation in the world29
      • Capacity of 4840 cartons, throughput of 14,000 cartons per day29
        • Dematic smart sort carton system – European product33
        • Improvements in efficiency and traceability29
        • Increased storage capacity 33
        • Reduced manual handling and forklift movements33
      • Plate freezing capacity, blast chill tunnel 30
        • All product will be able to be frozen and chilled onsite33
      • loading dock cold chain compliant30
        • Ability to handle shipping containers and pantech trucks30
          • Trucks reverse into ‘igloo’ and seal encloses around the access point30
            • This will soon be a standard feature in the industry30
      •  
      • Completion is expected Mid 2016

 

Source Wiley 20.09.2016

  1. Design and construct knocking box and race system29
    • over 100 operators that use the facilities29
      • Require efficient facilities with a highly trained workforce29
    • Design principles based on Temple Grandin methods29

 Source Wiley 19.03.2016

  • Twin rotary knocking boxes30
    • design modification allows operator to change unit to suit the beast being slaughtered30
    • operates 30% faster than previous system33
    • Suits a larger range of animals30
    • Reduces stress on animal30
    • Longer than standard units30
  • Pivotal part of the abattoir process, setting rhythm for rest of facility29
  • Equipment was fitted offsite and installed in January29
  • Veal race was also re-directed.29

Source Wiley 20.09.2016

    1. Supply and relocated steam services29
      • Installed in January29
      • Utilises compressed air and hot water29
      • Previous existing structures were unable to support the loads and new gantries had to be made29

 

  1. Upgrade to waste water treatment at the Tannery29
    • Work at the Tannery will begin in June 201629
      • Costing $7M33
    • Upgrade existing chrome precipitation plant30
      • Improvements to waste stream segregation30
      • Additional hair removal with new hair savers30
    • Upgrades allow for marketing of hides to higher value markets30
  • Casino is approved for export to the USA, Japan, Korea and EU.29
    • Holding certification or organic and Halal processing29
    • Facility can process 12,500 cattle per week29
  • Improvements occurred while the plant was still in operation29
    • On- site access was limited29
    • Important not to interrupt production output being conducted29
      • Often work was conducted outside normal operating hours and at night29
  • May. Australia’s top 100 food and drink companies identifies 16 closely aligned with red meat processing, further processing or value adding sectors35
    • 2014 and 2015 delivered record processing thoughputs of livestock across Australia35

Source Beef Central 12.05.2016

  • June. ACCC (Australian Consumer and Competition Commission) hear from a local producer claiming that the region has suffered in recent years due to the changing dynamics of the local processing sector.36
    • Casino purchasing Ramsey Meats (2011) and Manning Foods (2013)36
      • Reduced the number of buyers operating on vealers in the local market from 3 to 1.36
      • Once the Co-Operative began to process it’s own cattle it impacted negatively on producer returns36
      • Traditionally Casino plant had paid a significant premium to the EYCI (Eastern Young Cattle Indicator), in the past few years this had been reversed.36
        • In 2010 Casino paid 27c/kg above EYCI36
        • In 2011 Casino paid 42c/kg above EYCI36
        • In 2012 Casino paid 30c/kg above EYCI36
        • Once Casino took over Ramsey meats in 2012 result was negative 2c/kg36
        • In 2014 Casino paid 20c /kg less than EYCI36
        • In 2015 Casino paid 31c /kg less than EYCI36
  • Casino plant had been operating at 30% capacity prior to the decision to operate as a veal processor in its own right36
  • CEO Simon Stahl refuted claims “EYCI was not a vealer based pricing indicator and was irrelevant in comparing against vealer prices”36
    • NCMC represented only 1% of young cattle traded.36
  • Operating as a service kill operator has some advantages but also weaknesses36
    • If individual operators start to lose money or they have a better option they go elsewhere36
    • Beef floor continues to operate predominantly as a service kill36
  • 2015 / 2016 financial year Casino makes a $1.57M profit before tax.37
    • Result would have been worse had it not been for the high level of throughput in the July to December 2015 period37
      • Numbers dropped significantly across Australia for all processors in January to June 2016 period37
    • NCMC had lost some of its service kill customers in the last 12 37
      • Specialised Wagyu sector was still a major part of the plants throughput37
        • 5 or 6 of Australia’s largest Wagyu  supply chains conduct service kills at Casino37
          • 20% of the plants throughput37
    • Beef chain numbers had been down 37% on the previous year
      • 2015 / 2016 was the lowest throughput for the last 15 years37
    • A significant loss in trading is expected in 2016 / 2017 due to the downturn in numbers37
  • NSW Adult Cattle Slaughter throughput – www.mla.com.au
    • Statistics only for the State of NSW financial years.
    • Comparing monthly slaughter for entire state of NSW.

  • Top 100 Australian food and beverage companies list

Source Beef Central 27.02.2016

  • September. Tannery Infrastructure improvement work has been completed30
    • Cold chain work expected to be completed October – November 2016.30
  • October.Casino for the first time has adopted service kill of manufacturing types (Cows and Bulls) to underpin rates of throughput37
  • Casino is currently killing 3 or 4 days a week on both beef and veal chain37
    • Processing 500 – 800 cattle per day37
  • Pork Processing business of NCMC is an important strategic diversification for the co-op37
  • Co-operative CEO at this time John Seccombe37
  • Casino General Manager Simon Stahl37
  • November.Top 100 list is released of Australian Business Council of Co-operatives and Mutuals (BCCC)38
    • Looks at Co-operatives and mutual enterprises in Australia38
    • Agriculture is relatively poorly represented in the list.38
    • Casino plant operated by NCMC ranked 27th on the list.38

2017

  • Facility can process 12,500 bovines per week17
  • Accreditations and Licences are available for viewing at this site NCMC

Source http://ncmc-co.com.au. accessed 23.08.2017

  • March. Chinese Premier visits Australia may yield significant trade access improvements for Australian beef and sheepmeat40
  • Trade access reform talks with China focus on key areas40
    • Removing current restrictions in chilled meat that only currently allow 12 Australian establishments to export chilled meat to China40
    • Opening up access to all Australian export eligible meat40
      • Currently access is limited by licence40
        • 15 red beef plants looking to export to China that don’t hold a licence40
        • With up to 60 beef and sheepmeat plants seeking to achieve access to China40
  • Approval is given to some beef and lamb processors in Australia to export chilled meat to China42
  • June. Casino plant is fined $15,000 from the NSW Environment Protection Agency (EPA)41
    • EPA claim Casino failed to meet the requirements of a Pollution reduction program at the abattoir and tannery41
    • NCMC rejects allegations saying the breach refers to a report submitted by NCMC41
    • IN early 2016 NCMC was required to develop a plan that demonstrated sustainable wastewater management at the premises by 30/12/201841
      • required a report to be submitted to the EPA setting out a program and measures41
      • EPA claim the report failed to address key issues41
      • Pollution reduction programs are included in the licensing environment protection licences and are legally binding41
    • NCMC have invested $10M on improvements to waste water management over the last 5 years41
  • Since 1990, more than 90 abattoirs across Australia have closed.41
    • Mostly in regional areas41
  • NCMC currently employ about 1,000 employees across 5 core business divisions41
  • 140,000 people employed in the red meat processing sector across Australia41
  • Cost pressures on manufacturing in Australia were real.41
    • if all stakeholders didn’t address the issues the red meat processing industry will move off shore.41
      • Like the steel and automotive industry have already done.41
  • NSW Adult Cattle Slaughter throughput – www.mla.com.au
    • Statistics only for the State of NSW financial years.
    • Comparing monthly slaughter for entire state of NSW.

  • July 26. China temporarily bans beef imports from six Australian meatworks due to concerns about labelling non-compliance.42
    • No suggestions of health or food safety42
    • Issues concerned multiple breaches to do with inner and outer labelling, on a small number of cartons 45
    • Chinese labelling requirements may seem pedantic but product substitution in China is very common45
      • Particularly through the grey trade routes45
    • 6 plants had been reported as suspended on the Administration of Quality supervision, Inspection and Quarantine of China website (AQSIQ)42
      • Australian beef exports worth more than $600M last year42
        • China is the 4th largest market42
        • 2015 /16 exports to China of beef and sheep meats $970M (160,000 tonnes)45
    • Australian abattoirs affected are42
      • NSW
        • Casino (Northern cooperative Meat Co)42
        • Scone (Primo – JBS)45
      • QLD
        • Canon Hill (Australian Country Choice)42
        • Kilcoy (Kilcoy Pastoral Co)42
        • Rockhampton (Beef City – JBS)45
      • SA
        • Murray Bridge (Thomas Foods International – Murray Bridge)45
    • Shipments of meat were currently on the water42
      • Shipments were allowed to enter 28/07/2017 if they had already been dispatched prior to 24/07/201744
    • Need to resolve any labelling issues and AQSIQ and restore normal trade for the 6 affected plants425
    • US beef imports begin into China4
      • Direct competition against Australian products42
      • First time for 13 years USA have exported to China42
  • Australian government officials were working with industry and Chinese authorities to resolve the Chinese ban issue urgently.43
    • Australian and China have a strong bilateral trade relationship43
    • An audit was conducted of Australian facilities affected44
    • Beef industry commentators were mindful of any opinions that may cause negative implications to the talks and meetings to resolve the issue43
  • July 28. Chinese meat import ban is lifted.
    • Inability of Australian processors to access the market caused a combined market loss of $1M per day48
  • China had imposed a surprise blanket ban on chilled beef 3 years ago45
    • 1,000 containers of product had been affected at that time45
      • New Zealand had been imposed with 2013 ban and approached negotiations over re-entry with an assertive style45
        • It was in-effective with New Zealand only regaining access to China markets in the last few weeks45
    • Much less product was in transit with this current ban45
      • If the ban wasn’t resolved quickly the chilled meat may to be frozen down to preserve it45
        • Freezing the meat would lessen its value considerably45
      • If the containers in transit hadn’t been allowed in they may have had to have been re-exported to other markets at a lower value and frozen.45
  • August. Claims made in Federal Parliament that containers of Australian beef are about to be stranded on Chinese wharves are false46

Source Beef Central 15.08.2017

  • Australian red meat processing industry’s peak industry council call on all levels of government to recognise the impact that record input costs, regulatory burden and encumbered market access is having on the industry48
    • An axis of issues impact profitability and growth48
  • Churchill abattoir at Ipswich recently closed, leaving 500 staff out of work48
  • Meat processing industry is currently operating in the midst of the worst terms of trade in its history48
    • Record high livestock prices48
    • Livestock supply constraints48
    • Increasing input costs, including energy48
    • unfavourable exchange rate48
    • Burdensome and duplicative government oversight48
    • uncertain export trading environment, including technical market access difficulties48

Sources. Casino

  1. ‘Casino records $3.9M profit, driven by drought-induced throughput’ Beef Central 06.11.13
  2. ‘South Grafton plant to close’ Beef central 24.10.11
  3. ‘Casino takes big stake in Ramsey meats’ Beef Central 06.11.13
  4. Aus-meat Accreditation listing as at 14.01.2013
  5. ‘Casino’s new PCAS veal program to offer 20c/kg premium’ Beef central 06.11.13
  6. www.ncmc-co.com.au
  7. ‘Tender for Casino abattoir upgrades’ www.ncmc-co.au
  8. NSW Parliament 26.10.1999
  9. ‘Casino Abattoir Takes Up Ramsey Operations’ www.themeatsite.com 25.10.2011
  10. ‘Strong turnaround in profit for Casino’ Beef Central 08.11.2012
  11. ‘Bobby calf comeback at Casino with new veal export market on the cards’ ABC Rural 04.02.2015
  12. http://www.parliament.nsw.gov.au. Questions on notice in parliament dated 31.05.2011
  13. ‘New regulations to ensure welfare of animals in NSW abattoirs’ Foodmagazine. 18.05.2012
  14. ‘Northern Co-Operative Meat company says jobs will go’ http://www.abc.net.au. 15.03.2011
  15. ‘Supply chokeholds ‘strangle producers’ http://www.farmonline.com.au 17.03.2015
  16. ‘$23M profit for Casino’s NCMC plant, after record throughput year’ Beef Central 02.11.2015
  17. Casino Service Processing. http://ncmc-co.com.au. Sourced 23.08.2017
  18. ‘Supply, $A behind Casino Meat Cooperative loss’ Beef Central 09.11.2011
  19. ‘Casino takes big stake in Ramsey Meats’ Beef Central 11.01.2012
  20. ‘New CEO for Casino plant’ Beef Central 15.02.2012
  21. ‘Strong turnaround in profit for Casino’ Beef Central 07.11.2012
  22. ‘Supplier opportunity emerges as PCAS momentum grows at Casino’ Beef Central 13.08.2013
  23. ‘Casino records $3.9M profit, driven by drought-induced throughput’ Beef Central 04.11.2013
  24. ‘Casino’s new PCAS veal program to offer 20c/kg premium’ Beef Central 05.11.2013
  25. ‘Processors feature prominently among Australia’s 500 largest private companies’ Beef Central 24.09.2014
  26. ‘Bitter-sweet result, as Casino lodges record $25M pre-tax profit’ Beef Central 05.11.2014
  27. ‘Casino joins list of early beef plant closures’ http://www.beefcentral.com. 13.11.2015
  28. https://www.wiley.com.au/news-events/ncmc-amn-article/
  29. https://www.wiley.com.au/blog/ncmc-upgrade-update-sept/
  30. $30M project will help transform Casino’s Northern Co-op beef plant’ Beef Central 29.12.2015
  31. ”Full steam ahead’ Wiley 18.12.2015
  32. ‘Casino processor pumps profits back into productivity’ The Land 19.01.2016
  33. ‘Weekly kill: More cracks starting to show, as plants succumb…’ Beef Central 09.02.2016
  34. ‘Red meat processors feature prominently among Australia’s top 100 food companies’ Beef Central 12.05.2016
  35. ‘ACCC forum: Changing cattle market dynamics at Casino’ Beef Central 14.06.2016
  36. ‘Dramatic year on year contrast…..’ Beef Central 24.10.2016
  37. ”Red meat sector poorly-represented in cooperative business structures’ Beef Central 21.11.2016
  38. ‘Red meat processors feature prominently in Top 100 food….’ Beef Central 27.12.2016
  39. ‘Beef exporters confident of China access breakthrough during premier’s visit’ Beef Central 20.03.2017
  40. ‘Casino beef plant rejects $15,000 EPA fine’ Beef Central 08.06.2017
  41. ‘China orders halt to red meat imports from several Australian meatworks’ ABC Rural News 26.07.2017
  42. ‘China suspends six Australian beef business’s’ http://www.farmonline.com.au 26.07.2017
  43. ‘Breakthrough in Australia’s beef with China over meat exports’ ABC News 28.07.2017
  44. ‘What yesterday’s China processing suspension mean for Australian meat exports’ Beef Central 27.07.2017
  45. ‘Nothing behind Labor’s claims of beef access blockages in China, AMIC says’ Beef Central 15.08.2017
  46. ‘MLA Projections: Tightening supply set to further increase competition….’ Beef Central 27.01.2016
  47. ‘Abattoir closures must force recognition of…….’ Beef Central 30/8/2017

Bega.#. NSW

Bega was a domestic, service kill abattoir of small animals such as rabbits and poultry.

Unknown if currently in operation

Other Names

Current Operation

  • Unsure as at 06.11.2013.

Location   

  •  Bega is located 150km South east of Canberra, NSW east coast.

Australia. template Bega

Bega 002

Hema Maps – Australia Truckies atlas.

Owner

  • Co-operative owned – Bega Valley Gourmet meats co-operative small species1

Other abattoirs in Australia

Go to this link to view Location of Australian Abattoirs

abattoirs_edited-1   

Operation of Bega. NSW

  • Small species abattoir to process rabbits and poultry1
  • Service kill abattoir for local producers of small species1
  • Encouraged backyard breeders of small species to have animals processed at Bega and improve self suffiency2
  • Provided service to homesteaders and small scale farmers across the Bega valley

History

2004

  • June. Opened1

2012

  • Sept. “Despite rising costs for meat processors, small private orders can be profitable for abattoirs” Philip Wolf – Bega Valley Gourmet meats2

2013

  • Mar. May be forced to close
  • Only 2 members left and supplies of chicken and rabbits have waned3
  • Processing less than 100 animals, at peak was processing 800, abattoir has a very uncertain future.3
  • Cost of keeping this place going has risen dramatically since we started nearly ten years ago” Chris Frank, Meat safety officer.3
  • “The commercial operation of growing poultry or rabbits has not kept pace with the costs of our operation here”.Chris Frank, Meat safety officer.3
  • Jun. co-operative is on brink of insolvency and looking to close doors at end of financial year4
  • Last small species abattoir in operation in NSW4
  • Meeting to be held in Narooma consider abattoir future4
  • If people don’t have this option they are forced to buy chickens from Coles or Woolworths, we need the abattoir to keep local fresh produce viable” John Champagne, South East Producers Association4
  • Not enough commercial breeders of small animals in the Valley to support the co-operative,4
  • Insurance and electricity prices were a heavy burden4
  • Abattoir licensed to process bones of larger animals, cattle & sheep, but can not afford the infrastructure to expand its operations4
  • Meeting – 10 people signalled an in interest in using the abattoir which means its future is secure for now5
  • Lack of members and decline in the supply of chickens and rabbits has meant the facility has been struggling to meet its running costs.5

Sources

  1. ‘Abattoir welcomed’ Bombala times 16.06.04
  2. ‘Slaughter your own meat, says Bega Abattoir’ ABC rural. 03.09.12
  3. ‘Small abattoir at Bega may close” http://www.efarming.com.au. 15.03.13
  4. ‘Fight to keep Bega abattoir afloat’ Bega District News 11.06.13
  5. ‘Bega abattoir saved from getting the chop’ ABC News 14.06.13
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