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| Rural Industries |
Objective
To assess processing demand nationally for deer and other game species and thence the capital and operating costs of processing.
Background
The size of the deer herd in Australia is not accurately
known but is estimated to be about 190,000 head. Venison is processed
in commercial abattoirs around the country but there are presently
no dedicated works for deer. The value of deer has dropped from
he high prices for breeding stock which previously prevailed.
It is estimated that there are 15,000 to 30,000 head of deer available
for processing each year.
The economics of a dedicated deer or farmed game processing works would be enhanced by collecting co-products worth about $35 a head. However, any new processing plant must compete with those in New Zealand, where the industry is 10 to 20 times larger and some operators are processing 50,000 head of deer a year.
Research
Discussions were held with participants in the deer farming and processing industry in New South Wales, Queensland, Victoria and Tasmania. In addition a survey was conducted among industry experts, advisers and government departments in relation to ostrich, emu and deer farming in all states of Australia.
Outcome
A survey of other farmed game in each state of Australia
was conducted. The report sets out estimated numbers of emus and
ostriches as well as deer. These industries are all in the early
stages of development and accurate figures for herd sizes and
potential slaughter numbers are simply not available.
The supply for processing can only be estimated over a wide range at present because most of the farmed game industries are at an emerging stage of development. Given that between 15,000 and 30,000 deer could be slaughtered per annum during the next ten years, the processing costs were calculated based on four processing volume options. Gross margins based on selected prices of venison and co-products were between 13% and 20% for slaughter numbers between 10,800 and 25,740 for one central abattoir. The inclusion of an equivalent time for processing other species in the abattoir could increase the gross margin for processing venison to 27%.
Implications
Based on these results it was concluded that a level
of about 20,000 head of deer per annum is the minimum for a commercially
viable operation. Alternatively, a facility which processes fewer
than 20,000 deer may also be viable if it processes other species
as well.
IRDC Project No: GAM-1A
RESEARCHER: Gordon Pender
ORGANISATION: Gordon Pender and Co Pty Ltd
Suite 98, 267 Castlereagh Street SYDNEY NSW 2143PHONE: 08 231 6675
FAX: 08 231 1354
Last updated: 10 October 1996
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