HARVEY Beef has bought the business assets of meat processing facility Fremantle City Processors, doubling its carcase boning capacity.
Operating as the Harvey Industries Processing Centre (HIPC), the Fremantle facility will continue to run as a boning room after investment by Harvey Beef’s trading company Harvey Industries Group.
Chief executive of the group, Michael Rapattoni, said it was excited about buying facilities that would allow Harvey Beef to significantly increase production capacity.
“Ultimately, we are confident this move will benefit producers and the Western Australian red meat community substantially,” Mr Rapattoni said.
“As a group, we see this as the perfect opportunity for continuing our commitment to strengthening relationships with our producers, key suppliers and customers.”
Fremantle City Processors started as a beef processing facility at the end of 2006 under managing director Rob Nottle, now a major shareholder in the company.
The processor has had a successful record of servicing both the domestic and export markets.
“We are pleased to have been able to partner with Harvey Beef, an organisation committed to promoting the ongoing growth of the beef industry in both WA and around the world,” Mr Nottle said.
“I feel confident that the newly formed Harvey Industries Processing Centre will be able to further capitalise on the firm foundations that have already been laid in Fremantle to better service producers and customers.”
There will be no changes daily operations at Harvey Beef or its new processing centre.
Both companies said staff, customer and producer conditions would remain and this was important for the centre’s future.
The companies also said the takeover would allow them to better service existing customers in Japan and Korea and grow new relationships overseas.
Another shareholder in the centre, Challenge Dairy Cooperative, has endorsed the sale and the business’s direction.
Mr Rapattoni and Challenge Dairy chairman Larry Brennan said they were pleased to enter a strategic supply alliance for dairy steers and cull cows that would create values for both companies.
About 70pc of Harvey Beef’s products are exported to Japan, Korea, Indonesia, USA, Singapore, Taiwan and the Middle East.