Southern Cross feedlot manager James Sage
SOUTHERN grainfed beef supply chain Thomas Foods International is planning to invest more than $22 million expanding its Southern Cross Feedlot in South Australia.
Australia’s largest 100pc family-owned meat processing company also expects to create up to 15 jobs by increasing the feedlot’s capacity by 41pc.
Under the proposal submitted to the Coorong District Council, TFI will increase the Tintinara feedlot’s capacity from 27,000 to 38,000 Standard Cattle Units (SCU). TFI’s last expansion of Southern Cross was completed in 2023 and brought the company to Number 12 in Beef Central’s Top 25 Lotfeeders feature.
The expansion, which could take 18 months to complete, includes the construction of 66 new shade-covered pens, each accommodating 160 head, and the addition of a third 56-inch mill, taking milling capacity (cold tempered) to 60 tonnes per hour.
Additional hay and grain storage (both dry and tempered) will also be located near existing site infrastructure, and additional feed delivery trucks and other infrastructure will also be required.
TFI’s Southern Cross feedlot general manager, James Sage said the expansion would support increased operational demand and create further employment opportunities for locals.
“This is a significant investment in our feedlot operations which play a vital role in TFI’s integrated supply network,” Mr Sage said.
“The Southern Cross feedlot has been growing steadily in recent times, in part due to the increasing number of cattle required at the Murray Bridge meat processing plant, and the overall outlook is very positive.
“Our feedlot already represents the very best in modern cattle handling systems with a focus on animal welfare and operational efficiency. Through this expansion we are best positioning the feedlot for the long term.”
The additional 11,000 head capacity will be 100pc filled with company-owned cattle – all Angus fed for 150-day minimum and some 200-day and 270-day programs.
With those extended days on feed programs, annual yard turnover is around two cycles, adding to the need for greater future capacity.
Most of the production will go into TFI’s successful Angus Pure HGP-free grainfed program. processed at TFI Murray Bridge, plus several other sub-brands. The Southern Cross yard is 100pc no-HGP.
This expansion represents the latest investment by TFI in the feedlot, with the company investing more than $17 million over the past three years in expanding and upgrading the facilities to its current capacity and with a workforce of 40 staff. From its
What’s often overlooked in the financial side of a feedlot development like this is the cost of livestock to fill the pens. With Angus feeders in the south currently worth a conservative 550c/kg (see last week’s feeder steer update) it values the stock purchase to populate the new pens at $27.25 million, Beef Central has calculated.
The expansion proposal is currently with the Council for development assessment and if approved, TFI aims to begin building works immediately.
“The local community and the Coorong Council have all been very supportive of the feedlot development, and the financial injecting it brings to the local community,” Mr Sage said.
Like a number of large export processors across eastern and Southern Australia, TFI Murray Bridge now processes a lot more grainfed cattle than it ever did in the past -both company-fed and sourced from others. Grainfeds are now scheduled on days each week at Murray Bridge.
Originally known as Iranda feedlot, the Great Southern site has undergone a series of expansions over the years, firstly from 2500 to 15,000 around the time of TFI’s purchase, then to the current-day 27,000, and now the proposed 38,000.