Producers and agents fear privatisation of Dubbo saleyards

Producers fear that the offloading of the Dubbo saleyards by Dubbo Regional Council could lead to a substantial increase in fees.

A fee hike is the one of the key concerns of local agents, who are calling on the council to keep the facility community owned.

“The privatisation of similar selling facilities in NSW had proven to cost stakeholders more to operate with the same outcomes,” said Paul Dakin of AWN Lord.

“If this facility is not already sold, producers must be aware that fees may increase by double, as has happened in other centres who faced the same shift to privatisation as we are,” he said.

The Dubbo Regional Livestock Market (DRLM) is one of the country’s largest publicly owned saleyards, with more than 1.1 million head of sheep and 156,000 cattle passing through it last year.

It services an area covering more than a third of NSW with weekly sales of prime cattle, store cattle and sheep and lambs, and goats when required.

Dubbo Regional Council (DRC) has owned and managed the facility for more than 60 years and has progressively developed the set up to become one of the leading selling centres in Australia – behind only Roma and Dalby for cattle throughput.

According to DRC it costs around $5.5 million a year to operate and maintain the saleyards and although the facility generates income through usage fees, it is a “business” which could be run by a private operator.

DRC councillors resolved last week to call for expressions of interest for the lease or sale of the facility.

That has angered Dubbo agents who argue the DRC earns enough income from the saleyards to cover the operational costs of the facility. Mr Dakin said the saleyard was given to the Dubbo Council unencumbered by the Talbragar Shire Council 60 years ago, and now generated a large economic benefit to the local community and ratepayers of the Dubbo region.

“All ratepayers should be alarmed at the speed of which this process to sell or lease the facility has been managed by council, rather than being presented during the upcoming election where a democratic outcome is achieved, and greater thought and consideration can be given to such a large decision for the region.”

Mayor Mathew Dickerson said Council was yet to make a final decision on the future of the yards.

“The only decision undertaken by Councillors is that we must ensure all our different business units are run as efficiently as possible,” he wrote in a council memo.

“I can’t stress enough that no decision has been made for the future of the saleyards, but with changes in legislation and further advice Council has received, leaving the status quo is not a viable option.”

Narromine producer Stuart Boland, who sells in excess of 1000 cattle each year through the Dubbo saleyards, is disappointed at the lack of engagement with stakeholders from DRC.

“This is a decision which could affect the bottom line of producers like myself,” he said.

“Other centres in NSW have experienced the same shift to private management and their fees increased quite substantially.

“This is my local area but it could become unviable to sell stock at Dubbo in future.”

Warren-based sheep and cattle producer Malcolm Kater is also a significant supplier of prime cattle and sheep to the Dubbo saleyards from his own operation and those of the H.E. Kater Egelabra enterprises.

He can’t understand why the facility would be sold if it is profitable.

“The question needs to be asked if there is a revenue issue or budget black hole within council that is forcing a review of the saleyards that will culminate in the decision being made to sell or lease it,” he said.

“You don’t sell a cow in full milk so why should the saleyards be any different?”

Executive Officer of the Australian Livestock Markets Association (ALMA), Stephanie Whitaker said she was not aware of a shift in local government selling operational saleyards as a going concern.

According to ALMA figures over the past 10 years the number of government-owned saleyards compared with private operated facilities had remained relatively stable.  

In 2014 there were 74 yards owned by government operations and 56 privately owned yards; compared with 65 Government yards and 63 private yards in 2024.

“Many local governments highly value their saleyards, not just for their economic value but also the social value for their communities and regions,” Ms Whitaker said.