Independent Meat Producers Squeezed Out as Australia’s Processing Access Tightens

SYDNEY—Independent meat producers across Australia are sounding the alarm over what they describe as dwindling access to meat processing plants, a development they say is favoring the interests of major supermarket chains and undermining competition in the agricultural supply chain.

In regions such as northern New South Wales and parts of Victoria, producers claim they are facing extended delays and reduced processing capacity due to abattoirs prioritizing large-volume contracts with supermarket giants. This has left many family-run and medium-scale livestock businesses struggling to maintain regular supply schedules and fulfill customer orders.

“This is a serious bottleneck for producers who don’t have the scale or corporate leverage of a Coles or Woolworths,” said David McFarlane, spokesperson for the Australian Livestock Producers Alliance (ALPA). “We’re seeing multi-week backlogs, unfair booking systems, and in some cases outright preference given to vertically integrated operations.”

The issue is compounded by limited regional infrastructure, labor shortages in meatworks, and rising operational costs. Smaller producers argue they are being priced out of the system as processors hike fees and lock in capacity for major retail players.

According to data from Meat & Livestock Australia (MLA), national slaughter volumes have remained relatively stable, but the distribution of access has become increasingly centralized. Independent graziers and boutique meat suppliers say this leaves them with few viable alternatives.

“There’s no lack of demand for quality Australian meat, but we simply can’t compete on processing access,” said Angela Rigg, who runs a family cattle farm near Dubbo. “By the time we get a slot at the abattoir, the market has moved or customers have looked elsewhere.”

Calls are growing for the federal government to review market concentration in the red meat processing industry. Industry groups want reforms that guarantee fair access to infrastructure and discourage monopolistic practices that squeeze smaller operators out of the supply chain.

While major retailers continue to dominate the domestic meat market, stakeholders warn that ignoring the plight of independent producers risks weakening rural economies and reducing consumer choice in the long term.