Closing the Warragul saleyards will be good for farmers, VLE says

Bobby calves will still be able to be sold at Pakenham saleyards, when Warragul closes.

A previous herd dispersal at Warragul saleyards. The saleyards will be shut before Christmas. Picture: Andy Rogers

CLOSING the Warragul saleyards will concentrate buyer competition and improve prices.

Victorian Livestock Exchange director Wayne Osborne has made the claim in response to criticism of the company for pushing ahead with plans to close the Warragul facility at Christmas time.

“We are about the end-game and getting more competition at sales and delivering better prices for farmers,’’ Mr Osborne said. He said data from the Nat­ional Livestock Reporting Service showed better price averages were being achieved at Pakenham compared with other key centres across the state.

“Closing Warragul is not about boosting cattle throughput at Pakenham, rather it needs to be seen on the bigger plane of industry viability and improving outcomes.’’

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He said the VLE’s aim was to avoid the issue happening in the Western District of a lack of saleyard rationalisation, which was splitting numbers and buying power between selling centres.

“Consolidation of saleyards is the only way forward, and what we are doing is based on hard facts, as we know it gets better returns for farmers,’’ Mr Osborne said.

VLE said it was not workable to lease Warragul to a co-op of farmers and agents until a new saleyard was built in the area.

“Warragul is an old and dated facility, and its computer system and scales all need maintenance to the point it cannot remain open,’’ Mr Osborne said.

His response to other criticisms of the company included:

VLE had tried to communicate and work with the local livestock sector;

IT would continue to hold just one major prime sale at Pakenham on a Monday so farmers could yard both domestic and export stock together, and would monitor numbers;

IT would be possible to sell bobby calves at the Pakenham yards, and VLE had not stated it would not sell calves aged under four weeks. Rather it was intent on meeting industry and public expectations for the sale of bobby calves and avoiding animal activism; and

VLE is committed to building a new facility in West Gippsland, and had several sites offered.

VLE could not guarantee that it would not sell its current Pakenham site.

“Using the word guarantee, would just be meaningless political spin in an industry driven by commercial reality,” Mr Osborne said.

“But, as we’ve stated numerous times before and we state again, Pakenham will not close until we’ve built its replacement. Any closure or sale of Pakenham would only be to open its replacement.”