February 4, 2016

Bindaree Beef Group to build food processing factory in Qingdao

Australia's leading beef processing and exporting enterprise, Bindaree Beef Group, announced recently that it will be investing AUD$60 million (US$43.3 million) to establish a boning room, cold storage and distribution center in Qingdao, Shandong province.

The 10,000 square metres beef processing facility is scheduled to be completed by end of 2016. Besides providing employment for 600 staffs, it is estimated that the new plant will import and distribute 100,000 tonnes of beef annually, with Australian beef making up the largest proportion.

Bindaree Beef Group's chief executive officer Andrew McDonald commented that the company aims to target the high-end Chinese consumer market with its branded, high-quality, clean, and green Australian beef. In addition, McDonald revealed that the company is also looking into "developing new brands this year with specifications targeted to the Chinese consumers". 　　

The announcement came as the result of a partnership between the Inverell-based company and Chinese meat processor Shandong Delisi Food Company. The latter has announced its intention to acquire a 45% stake in Bindaree Beef Group last November with an investment sum of AUD$140 million (US$ 101 million).

"Australia exported 150,000 tonnes of beef to China last year but the Chinese consumed 7.2 million tonnes. We believe within ten years, China will overtake Japan and the United States as Australia's main customer. Now that we have a Chinese partner with strong networks and penetration, this was the obvious move," McDonald concluded.