Meat processor Teys Australia has confirmed an agreement with Woolworths to provide a service kill at its Beenleigh abattoir for the supermarket’s South-East Queensland beef needs.
Teys will commence beef processing at the plant from September 29.
The service kill will ensure Woolworths has a base relatively close to Brisbane to take over from the Churchill abattoir, near Ipswich, whose management surprised the meat industry two weeks ago with a decision to close on September 28.
Until recently Churchill abattoir has processed about 600 cattle daily, but a shortage of stock and high cattle prices saw the plan reduce its kill to four days a week.
Director of Churchill abattoir, Barry Moule, said high cattle prices had seriously hurt the business.
“Without the capacity to pass on increasing costs, our customers have struggled to maintain cattle numbers,” he said.
Churchill is to be mothballed until potential investors are found and the plant gains an export licence.
Teys said it had a close relationship with Woolworths for more than 25 years and was proud to be one of the supermarket’s key suppliers.
“We look forward to developing this relationship further in the future,” a company statement said.