Solid international market demand has enabled sheepmeat co-operative WAMMCO to deliver a record profit, while still paying producers high prices for their lambs and mutton.
The pre-tax profit of $20 million for fiscal 2018, before a pool bonus is paid, marked a huge increase from $2.6 million a year earlier.
WAMMCO has processing plants in Katanning and Goulburn in NSW. It recorded consolidated turnover of $380 million after processing more than two million animals, equally split between the two sites.
Chief executive Coll MacRury said the result enabled a record pool bonus of $4.3 million to be rebated to producers in August, while it would also invest in further plant improvements.
The co-operative paid an average of $135 per head of lamb and $97 per head of mutton.
Mr MacRury said high volumes of stock allowed the Katanning processing facility to maintain effective operations throughout the season. He said WAMMCO had processed some sheep that became available as part of the live export pause, but it had little impact on the year’s financial results given the Katanning plant was closed in June for maintenance.
Challenges remained in sourcing staff, but he said existing staff regularly worked overtime, enabling WAMMCO to drive processing costs to below budget levels.
“We have had trouble and have brought in some visa people to supplement. It’s minimal — 5 per cent of our 360-strong workforce,” he said.
He said if sheep live exports “fell over”, WAMMCO would look more seriously at bringing in extra people from offshore as there was a lack of available labour around Katanning.
“We could potentially cope but we would need support around workforce, that is, staff on visas not having to go change employer after six months,” he said. Mr MacRury said international lamb and mutton product prices should remain relatively strong this financial year.
He said North America, the Middle East, South East Asia and China would continue to offer the best opportunities for further revenue growth, with the clean, green image of Australia and factors such as the product’s hormone-free status, continuing to attract a strong premium.
The West Australian, 1 November 2018. Jenne Brammer
Wayne Radford, will retire at the end of 2022 after a 56 year career in the industry. Wayne left John Curtin High School at Fremantle to join the skins team at Wesfarmers ...
Read moreMedia Release 28/07/2022 Western Australia’s largest sheep and lamb processing cooperative will return a record $8.4 million in pool bonuses to its producer members at the end of August 2022. The 2021/22 ...
Read moreMedia Release 14/07/22 Des Griffiths, an early CEO of the WA Meat Marketing Cooperative, credited with helping WA lamb producers to reshape an influential global lamb processing and marketing cooperative, passed ...
Read moreMedia Release (20-06-2022) Recently appointed Livestock Manager for WAMMCO, Mike Curnick is looking forward to capping his 37-year career in WA’s livestock sector in the lamb and ...
Read moreA distinguished career in the meat processing and livestock industry will end with the retirement of the WA Meat Marketing Cooperative’s Livestock Manager Peter Krupa on June 30. Mr ...
Read more