AN AMBITIOUS plan to build a multi-million dollar major regional cattle selling centre that will engulf the State's South West markets is underway and planned to be operational within three to five years.
Palisade Investment Partners subsidiary, Regional Infrastructure Pty Ltd (RIPL), is in talks with four municipalities - Warrnambool City Council, Moyne Shire, Corangamite Shire Council, and Colac Otway Shire Council - about the construction of a new facility that will handle a minimum of 100,000 cattle annually.
RIPL general manager Garry Edwards said preliminary investigations showed none of the existing Colac, Camperdown or Warrnambool facilities met the redevelopment requirements in regards to size and operational efficiencies.
"We would be looking to do this as a new development at a brand new location," Mr Edwards said.
Southern Victoria is currently saturated with saleyards, with five located within one-hour drive of one another; Geelong, Colac, Camperdown, Warrnambool and Ballarat.
Throughput at these selling centres is on a steady decline, with an estimated drop over five years of 65,000 to 46,000 annual head of cattle throughput at Ballarat; 44,000 to 37,000 at Camperdown; 49,000 to 36,000 at Colac; 17,000 to 8000 at Geelong; and 118,000 to 80,000 at Warrnambool.
If successful, the regional selling centre will be a prime-focused weekly market.
The site will be selected within a 150-kilometre radius between Colac and Warrnambool.
"All facilities in the future need to become regional to be cost effective," Mr Edwards said.
"We look at areas where there is enough animal density to justify a regional facility so therefore we don't look at simple scenarios, for instance Warrnambool needs replacement.
"Any strategic investment in this sort of infrastructure needs to look at… okay, we are potentially looking at relocating Warrnambool, where it is the most appropriate place in the region that we can get a better facility for the entire region rather than simply building a Warrnambool replacement."
The confirmation of plans for the new regional selling centre comes just days after Corangamite Shire Council released a statement announcing the offer from RIPL to begin negotiations regarding the operations of the saleyards, while a new regional livestock selling facility was "constructed in the Corangamite Shire".
Monday evening, Warrnambool City Council voted on three motions regarding the relationship with RIPL including terminating discussions because of an alleged breach of confidentiality, council continue management of the saleyards and for Warrnambool to negotiate with Moyne Shire for a regional selling centre.
However, the vote was 3-3 deadlocked with Mayor Michael Neoh using his casting vote against the notice of motion as the decider.
Warrnambool City Council selected RIPL earlier this year as the preferred company to build and operate a new regional livestock selling centre within 40km of the municipal boundary.
"The issue is that there are a number of smaller council saleyards and with their present capacity and their present locations are unviable into the future," Mr Edwards said. "What we are trying to understand is what is the desire of the councils of these regions, the agents and the livestock producers, and exploring their recommendations as to where that should be located."
Formal consultation with agents and producers is anticipated to begin within three months.
