Nationals concerned over Briton’s majority ownership of Australia’s biggest beef producer

National Party leader David Littleproud says British billionaire Joe Lewis’s control of AACo needs to be in Australia’s best interests.

AACo is Australia’s biggest beef producer.

The share register creep by British billionaire Joe Lewis to majority ownership of Australian Agricultural Company is “of concern” to the National Party, which says such a move should be tied to reinvesting in the regions.

Mr Lewis’s Tavistock company has not responded to requests for comment on its plans for the company, which accounts for more than 1 per cent of Australia’s land mass, making it one of the country’s largest landholders.

David Littleproud, leader of the Nationals, said he had been sounded out by Mr Lewis’s company about increasing its shareholding from just below 50 per cent before the federal election, and told the company hat any increase should come with a commitment to invest.

British billionaire Joe Lewis’s Tavistock has taken majority ownership of AACo.

“If there is a concentration of ownership it needs to work in the national interest,” Mr Littleproud told The Australian.

“I made it clear that I felt they needed to make an investment in training young people in the pastoral sector.”

Mr Littlepround said he bought the major pastoral companies together to work on how to train young people and had suggested reopening the Longreach Pastoral College, which shut down several years ago.

Tavistock now holds 50.07 per cent of AACo. It’s not clear if Fortescue Metals chairman Andrew Forest, AAco’s second biggest shareholder at 17.4 per cent through its Tattarang company, will respond to this move.

In May, AACo announced a tripling of profit as red meat prices soared and restaurant trade fired up again – but the company continued to suspend dividend.

David Littleproud says the ownership should be in Australia’s best interests. Picture: Martin Ollman

AACo is Australia’s biggest beef producer and has embarked on a significant program marketing named-packaged beef over the past few years to the global market, which forms a key part of its strategy, along with breeding, growing, feedlotting and trading animals, and further developing its pastoral properties.

The company is yet to say whether it will continue to invest in this approach under new acting chief executive David Harris, or change direction.

The company said Tavistock had “always been supportive” of the AACo’s strategy, and we expect that to continue.

“We’re delighted at the confidence this shows in the business, its performance, and the opportunities we are pursuing,” said an AACo spokesman.

“The board, acting CEO and executive team remain focused on executing against the five pillars of the strategy and delivering value for all shareholders, as we deliver our vision to be trusted globally as the producers of the finest quality Australian beef,” the spokesman said.

Former chief executive Hugh Killen resigned suddenly in June, effective immediately.