AGTRADE’S livestock nutrition division, ThriveAgri, has expanded its operations with the acquisition of fodder business, Hay Australia.
Responsible for approximately 10 per cent of Australia’s 1.35 million tonnes of hay exports last year, Hay Australia’s operations in Victoria and Western Australia source fodder from producers to provide to dairy, beef and equine customers.
AgTrade chief executive officer, Justin Slaughter, said adding the business to the AgTrade portfolio would broaden ThriveAgri’s reach across animal nutrition.
“With Australia’s enviable reputation for producing first-class fodder and straw bedding products, we will focus on building Hay Australia’s scale and capability to continue servicing existing customers, while seeking strategic opportunities in new markets,” Mr Slaughter said.
Mr Slaughter said Hay Australia would have opportunities to leverage AgTrade’s partnerships in livestock industries, while also supplying hay to its own portfolio of livestock, genetics and meat supply chains.
“Not only does this acquisition have some obvious benefits for our own hay needs, it also expands ThriveAgri’s capability to service, develop and grow fodder markets,” he said.
Mr Slaughter said ThriveAgri would prioritise growing Hay Australia’s supplier base by engaging with both dedicated hay suppliers and primary producers seeking to expand their business, or mitigate operational risks through diversification into fodder production.
“Strengthening relationships with existing suppliers, while identifying new supply partners, will allow us to expand our product lines and operations, and meet the unique needs of a broadened range of customers.”
Hay Australia employees safe
As part of the acquisition, Mr Slaughter said AgTrade welcomed more than 60 Hay Australia employees to its existing team across Australia, New Zealand and trading partner nations.
“We are pleased to be retaining the existing people, knowledge and skills of the business, while providing continuity of operations to our customers,” Mr Slaughter said.
“As we continue to expand the business, we expect to create even more meaningful employment and opportunities in the regions and communities in which we operate.”
Hay Australia’s chair, Paul McKenzie said he was looking forward to Hay Australia’s continued growth under the ThriveAgri banner.
“Hay Australia has been the conduit between quality fodder producers and international customers for over 15 years, and these relationships will continue to flourish,” Mr McKenzie said.
“There are great synergies between the businesses, and the change of ownership will open up some very exciting avenues for Hay Australia to grow and succeed at a new scale.”