March 25, 2025

 

Cattle deaths at Australian firm AACo station raise industry concerns

 

A herd of cattle has died from apparent thirst at a station in Queensland, Australia, operated by Australian Agricultural Company (AACo), a luxury beef producer that promotes animal welfare as part of its brand identity.

 

A source familiar with the incident reported that approximately 140 cattle, including nearly 100 cows and 40 calves, died in the summer heat. The deaths, which occurred around the Australia Day long weekend, are believed to have been caused by a tap from a water tank to a trough being accidentally turned off.

 

The incident has drawn significant concern within the agriculture industry and adds to existing scrutiny over AACo's operations. The company's major shareholders include British billionaire Joe Lewis, who previously pleaded guilty to insider trading, and Australian mining magnate Andrew Forrest.

 

In a separate case, another 90 AACo cattle died at a different Queensland property the same month. This property was not owned by AACo but was being used for agistment, where livestock graze on land owned by another party. A possible factor in these deaths was that the cattle had been sprayed for buffalo fly, which may have agitated them and led them to wander during a heatwave, potentially leaving them without water.

 

An AACo spokesperson described the deaths as "tragic and out of the ordinary" but "unacceptable and highly distressing." The spokesperson said that while the two incidents were unrelated, any failures identified would be addressed to prevent similar occurrences.

 

AACo, known for its high-end Wagyu beef, has positioned itself as a premium brand with a focus on livestock welfare. Its marketing strategy includes influencer chefs promoting its products, such as AUD 65 (US$40) per kg Wagyu porterhouse sold in Australian stores and AUD 193 (US$121) rib eye steaks served at restaurants in the UK.

 

The company operates across more than 1% of Australia's landmass and manages nearly 10,000 water troughs. Despite its large-scale operations, it has faced internal challenges, with its high-end strategy proving controversial. The company reported underlying profits of AUD 20.2 million (US$12.7 million) for the six months ending in September last year, reflecting ongoing financial pressures.

 

The Queensland Department of Primary Industries confirmed that AACo had notified the government of the cattle deaths. The department stated that the company had since adjusted its procedures and that no further investigation would be pursued at this time.

 

Kieren McCosker from the University of Queensland's Centre for Animal Science stated that dehydration-related cattle deaths were rare but not unheard of. He explained that livestock producers typically take extensive measures to prevent such occurrences, including regular water monitoring and the use of bore runners to manage conditions.

 

Under summer conditions, cattle should not be without water for more than 24 to 48 hours, as the risk of fatal dehydration increases significantly beyond that timeframe.

 

The cattle deaths follow unrelated concerns raised last year by a former employee about workplace safety at AACo. The whistleblower alleged a culture of bullying and intimidation at one of the company's properties. A contractor working for AACo also reported experiencing homophobic slurs and unsafe working conditions. The whistleblower was later made redundant and pursued legal action, which was settled through mediation.

 

AACo's financial reports last year indicated a 13% increase in safety incidents. The company acknowledged that this figure fell short of its targets and announced a safety review. A former employee suggested that staff shortages and declining expertise within AACo may have contributed to operational issues, including the cattle deaths. However, AACo denied any connection between staffing concerns and the recent incidents.

 

The company has also faced governance challenges. Last year, Joe Lewis, whose private entity Tavistock owns a 53.1% stake in AACo, pleaded guilty in the US to insider trading.

 

Prosecutors alleged that one of Lewis's representatives on the AACo board had leaked information about cattle losses during the 2019 Queensland floods. While Lewis was found to have shared this information with his private jet pilots, who then invested in AACo, the company stated that all of Lewis's board nominees had denied passing on any insider information.

 

AACo has declined to answer some questions regarding recent events but maintains its commitment to animal welfare and workplace safety.

 

- Australian Broadcasting Corporation