Beef Processors' Profit Allocation
Beef processors are anticipated to maintain their ability to pay substantial prices for finished cattle throughout the next year, driven by persistent overseas demand for Australian beef.
This demand is expected to yield abattoir profits above the long-term average in 2025, prompting processors to reinvest and expand their operations.
- Accommodation for workers, including caravan park expansions and house leases, is one area where millions of dollars are being invested.
- Environmental management upgrades are also being funded to facilitate increased turnover and explore ventures into renewable energy.
Red-hot overseas demand for Australian beef will deliver 2025 abattoir profits above the long-term average.
Author's summary: Beef processors invest in expansions and upgrades.