New saleyards operator sought

By Geoff Adams

Jun 17, 2024

Greater Shepparton City Council is seeking a long-term lease for the highly profitable Shepparton Regional Saleyards.

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The saleyards has a million-dollar turnover and sees a throughput of about 1200 cattle and more than 1000 sheep weekly.

The saleyards, in New Dookie Rd, is projected to generate a surplus of $281,000 in 2024-25. In the current year, the anticipated figure is closer to about $350,000.

The current management contract is expected to expire at the end of this year.

A council spokesperson said due to the expressions of interest process, no comments could be made until the process has concluded.

Expressions of interest for the lease closed earlier this month.

Council proposes that the saleyards commercial lease be for a term of 10 years , with two additional terms of 10 years, with an expectation that the operator will conduct the day-to-day management of the business starting on January 1, 2025.

Council is seeking expressions from businesses to lease the saleyards on the basis of ‘satisfactory commercial rent’, with an alternative of a remuneration based around a mix of rent, profit share and a willingness to invest in existing and new infrastructure.

The aim is to ensure the saleyards remains a viable livestock selling facility.

Smaller saleyards around the nation have been closing down in recent years, forcing livestock producers to travel further to sell stock in the bigger centres.

Last week, Regional LIvestock Exchanges (RLX) announced it has advised the Corangamite Shire Council, owner of the Camperdown saleyard, that it will be winding down operations after concluding that the site cannot be operated viably into the future.

RLX has been operating the site at Camperdown since 2018 and, despite working with local agents and producers to increase throughput, cattle continue to be directed to Hamilton, Mortlake and Colac in preference to Camperdown.

RLX chief executive officer Brett Freer said over the past few years the yard has rarely received the stock volumes required each month to meet the minimum throughput numbers in the lease. The last day of operations is expected to be on June 25.

Meanwhile, the Victorian Livestock Exchange at Pakenham is due to close at the end of this month, with the owners citing council rates and land taxes as the problem.

Warrnambool saleyards closed last year.