A major saleyard development is being investigated at Longwarry, Victoria, by west Gippsland stock agents and developers of the Western Victorian Livestock Exchange, at Mortlake.
Agents have been invited to invest up to 49 per cent of the development which would aim to absorb the throughput of the aging Warragul facility, Pakenham, and the Sale Livestock Exchange.
The convener of the discussion, and principal investor of WVLX and South Eastern Livestock Exchange, Yass, NSW, Brendan Abbey, said support for the concept was very positive.
“We had some 21 or 22 invited agents from eight stock agency firms attend the meeting, spanning an area from Pakenham through to Sale” Mr Abbey said.
“The proposal is to build a facility on a smaller scale to Mortlake, with 220 selling pens capable of holding 1700 adult cattle, with holding capacity for a further 1000 adult cattle in the receiving and drafting areas.
“The facility would also contain a calf selling shed and a dairy selling ring.”
Following the Thursday meeting, Mr Abbey said a feasibility study would be undertaken.
He said, the build would require the minimum support of 100,000 cattle annually “for it to go-ahead”.
“The agents have told us they sell a lot of the regions cattle direct to meatworks because of the cost of selling and a declining competition at the existing centres,” he said.
“We believe to build a complex of this scale in this location will attract greater numbers and increase competition – with the numbers we’d expect to receive, we also believe we can deliver a project similar to Mortlake that can reduce selling costs from the $22-$25 a head paid at Pakenham to $16-$18 a head.”
Mr Abbey said it could be at least three years before selling would become a reality at the proposed new West Gippsland saleyards.
“We have taken an option on a parcel of land at Longwarry.
“Provided we get the necessary planning approvals, which we suspect could take longer than at Mortlake, it could be at least 10 to 12 month before a 12 month building phase is commenced.”
VLE chairman Graeme Osborne declined to comment.