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Carpenter searches for Cataby partner

Carpenter Beef remains committed to finding a partner.

Carpenter Beef remains committed to finding a partner to finish building a major abattoir north of Perth, according to general manager John Berkefeld.

Mr Berkefeld said a number of parties were casting an eye over the project and it was business as usual for Carpenter Beef in the wake of the financial collapse of a live export subsidiary Carpenter International.

Carpenter Beef and Malaysia-based Brahim Holdings signed a memorandum of understanding on completing the abattoir late last year.

The MOU does not restrict the WA-based company with links to Ric Stowe to dealing exclusively with Brahim in trying to complete the abattoir Mr Stowe started building on his Joanna Plains farm at Cataby in 2007.

Brahim representatives are due back in WA this month to begin their due diligence, but other investors have inspected the site in the past few weeks.

It is estimated it would cost at least $15 million to finish the abattoir and possibly much more depending on the type of processing required.

Mr Berkefeld said a new and efficient abattoir operating on the Cataby site would create major opportunities for WA cattle producers.

“We are committed to getting the abattoir built,” he said. “It would help WA producers take control of their own destiny and to tap into premium markets.

“It could also change some of dynamics around our cattle industry given the relatively small herd in WA.”

Carpenter Beef has long-standing customers in the Japanese market.

Meanwhile, administrator Grant Thornton continues to work through complicated issues associated with the collapse of Carpenter International, which left 11,000 head of dairy cattle destined for export to China stranded in feedlots around Australia.

Grant Thornton’s Matt Donnelly said about half of the cattle were up for sale by tender.

Carpenter International was left with liabilities of up to $20 million after the failure of a sales contract with China’s Be Green Import Export Co.