Supply Chain Capacity Program

The Supply Chain Capacity Program aims to increase onshore processing supply chain capacity, efficiency and productivity in Western Australia (WA) to support sheep producers and supply chain businesses as they adjust to the phase-out of live sheep exports by sea.

The program will encourage investment in processing supply chain infrastructure and operations, building industry confidence and moderating the impacts of the phase-out. By enhancing on-farm and processing capacity, the program seeks to position WA’s sheep industry to meet future processing demands and capture emerging opportunities.

What can the funding be used for?

In Round 1, $20 million will be available for eligible applicants under one of two streams. Funding is for capital projects, including:

• expanding capacity, efficiency and productivity of onshore sheep processing facilities (e.g., lairage, ramps, wastewater upgrades, improved heavy vehicle access and associated driver facilities)

• increasing cold storage capacity, efficiency and productivity for sheep meat products

• installing technological advancements, such as objective carcase measurement technology in processing plants, software upgrades, and processor training for producers

• increasing sheep feed lotting and on-farm finishing capacity, efficiency and productivity.

The Australian Government is providing $40 million towards the Supply Chain Capacity Program to fund capital works that increase the capacity, efficiency and productivity of the WA sheep supply chain.

The funds will be distributed via two competitive grant rounds of $20 million each.

In Round 1, funding is available in two streams:

1. Capital investments for producers – Grants from $50,000 to $2.0 million for on-farm finishing.

2. Capital investments for processors – Grants from $50,000 to $5.0 million to enhance onshore processing supply chain capacity, efficiency and productivity.

Applications will be assessed competitively and must demonstrate value for money and a clear contribution to strengthening the sheep supply chain.

Applicants must be able to provide dollar-for-dollar matching co-contributions.

The Supply Chain Capacity Program is open to the WA livestock supply chain and local sheep producers to support activities that flatten turn-off spikes and expand processing capacity.

Round 1 is open to eligible businesses engaged, or intending to engage, in the production and processing of the WA sheep supply chain, including those involved in farming, processing, feedlot operations, and the provision of supply chain capacity infrastructure such as cold storage and lairage services.

To be eligible for Round 1, applicants must:

• operate or intend to operate in WA’s sheep supply chain.

• be a private sector business (including incorporated trustees), a public company, grower cooperative, conglomerate, formal/informal partnership or similar organisation.

• hold an Australian Business Number (ABN) and be registered for GST in Australia.

• provide dollar-for-dollar matching co-contributions.

Full eligibility details, including eligible activities and required information, are available in the program guidelines.

On-farm producers and smaller-scale abattoirs are encouraged to apply.