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Wellard is an important link in meeting rising global demand for protein through the supply of quality livestock to consumers throughout the world. The purpose-built, technologically advanced livestock vessels that we charter to exporters and importers throughout the world, combined with a specialist livestock crew, ensure optimal welfare outcomes for the livestock on-board and a quality product our customers.

Wellard Closes $3.80/Kg Forward Contracting Program

March 9, 2015

MEDIA RELEASE

Wellard has closed its forward contracts for August delivery of mutton sheep to the company’s Beaufort River Meats abattoir in Kojonup, after securing its required numbers.

The contracts lock-in prices of up to $3.80/kilogram for the producers who signed up to the supply agreements.

Wellard Livestock Manager Paul Mahony said Wellard offered the forward contracts through to August in response to demand from some sheep producers for guaranteed pricing.

“The BRM forward contracts give those producers price certainty, and unlike other commodities, there’s little production risk exposure because they know they will have the sheep,” he said.

“Given the current price has been pushed to $2.95/kg and the price during August/September last year topped at $3/kg, I think the producers who chose to lock in at $3.80/kg have made an astute decision which will give them pricing certainty at an historically favourable price.

“Feedback from a number of growers also suggests the $3.80/kg guaranteed has made their bank managers happy too.”

Mr Mahony said the forward contracts provide BRM with some supply certainty at a time when numbers can be difficult to source.

For further information please contact:

Cameron Morse

Phone: + 61 8 9485 8888

Mobile: +61 (0) 433 886 871

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