Swift Australia to buy Tatiara Meat Co
NIGEL AUSTIN, RURAL EDITOR, December 16, 2009 10:30am
The future of up to 500 workers at a major meat exporter has been assured by its sale to Swift Australia, part of the world's largest meat-processing business.
Uncertainty about the future of the Tatiara Meat Company at Bordertown has been replaced by a new optimism after the sale.
It coincides with fears about the amount of livestock in Australia and the ability of meatworks to secure enough livestock to continue operating.
Tatiara was forced to close last Friday because it didn't have enough sheep to process.
It is Australia's largest exporter of chilled lamb and the major employer in Bordertown, playing a crucial role in the community of 2500 people.
Swift director John Berry said the future was assured for the 400-500 strong workforce, with the business continuing to be a strong part of the Bordertown community.
"We will be discussing it with the South Australian Government and the Tatiara District Council to give them confidence that Swift Australia will be around for the long-term,'' Mr Berry said.
"We are extremely excited by the chance to buy into this business and by the opportunity it brings for the South Australian producer.
"Swift believes there is scope for livestock producers to gain access to a broader range of overseas customers for the high-quality Tatiara brand through its international sales and marketing network.''
Tatiara District Council chief executive Rob Harkness said he expected it would be business as usual for the meatworks following the sale. ``It's very important to Bordertown. It's our biggest individual employer and it's very important for our lamb producers,'' Mr Harkness said.
Mr Berry said major issues affecting the industry following the global financial crisis included a volatile Australian dollar, cheap animal protein and an international slowdown in demand.
He said Swift was confident about the future, but would like to see the Australian sheep flock expand from its 100-year low of 70 million head.
"We cannot have a long-term processing industry if we don't have the numbers of livestock,'' he said.
"A challenge for Australian governments, both state and national, is a strategy around how the live export trade is dealt with because it is making significant inroads into livestock numbers in northern and southern Australia.''
Mr Berry said Australia needed a new policy for livestock exports to make it sustainable.
Swift Australia is a wholly owned subsidiary of JBS S.A., which is listed on the Brazilian stock exchange and has operations in Brazil, Argentina, Italy, the United States and Australia.
Its Australian business, headquartered at Dinmore in Queensland, operates nine processing facilities and five feedlots on the east coast, with a daily capacity of 8555 cattle and 24,500 sheep, pigs and calves.
The sale, subject to approval by the Australian Competition and Consumer Commission, is expected to be finalised in February.
Uncertainty about the future of the Tatiara Meat Company at Bordertown has been replaced by a new optimism after the sale.
It coincides with fears about the amount of livestock in Australia and the ability of meatworks to secure enough livestock to continue operating.
Tatiara was forced to close last Friday because it didn't have enough sheep to process.
It is Australia's largest exporter of chilled lamb and the major employer in Bordertown, playing a crucial role in the community of 2500 people.
Swift director John Berry said the future was assured for the 400-500 strong workforce, with the business continuing to be a strong part of the Bordertown community.
"We will be discussing it with the South Australian Government and the Tatiara District Council to give them confidence that Swift Australia will be around for the long-term,'' Mr Berry said.
"We are extremely excited by the chance to buy into this business and by the opportunity it brings for the South Australian producer.
"Swift believes there is scope for livestock producers to gain access to a broader range of overseas customers for the high-quality Tatiara brand through its international sales and marketing network.''
Tatiara District Council chief executive Rob Harkness said he expected it would be business as usual for the meatworks following the sale. ``It's very important to Bordertown. It's our biggest individual employer and it's very important for our lamb producers,'' Mr Harkness said.
Mr Berry said major issues affecting the industry following the global financial crisis included a volatile Australian dollar, cheap animal protein and an international slowdown in demand.
He said Swift was confident about the future, but would like to see the Australian sheep flock expand from its 100-year low of 70 million head.
"We cannot have a long-term processing industry if we don't have the numbers of livestock,'' he said.
"A challenge for Australian governments, both state and national, is a strategy around how the live export trade is dealt with because it is making significant inroads into livestock numbers in northern and southern Australia.''
Mr Berry said Australia needed a new policy for livestock exports to make it sustainable.
Swift Australia is a wholly owned subsidiary of JBS S.A., which is listed on the Brazilian stock exchange and has operations in Brazil, Argentina, Italy, the United States and Australia.
Its Australian business, headquartered at Dinmore in Queensland, operates nine processing facilities and five feedlots on the east coast, with a daily capacity of 8555 cattle and 24,500 sheep, pigs and calves.
The sale, subject to approval by the Australian Competition and Consumer Commission, is expected to be finalised in February.
Source: http://www.news.com.au/adelaidenow/story/0,22606,26493652-913,00.html
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