Western Australian sheep producers can now apply for significant grant funding to invest in on-farm infrastructure, a key part of a $40 million government program designed to strengthen the domestic sheep industry. The Supply Chain Capacity Program, a joint initiative of the State and Commonwealth governments, is a direct response to the impending phase-out of live sheep exports by sea and provides a critical opportunity for farmers to invest in value-adding and diversification.
The program is structured to support capital works that enhance the capacity, efficiency, and productivity of the onshore processing supply chain. For agritourism operators with livestock, particularly those looking to expand into farm-to-table meat products or enhance their finishing systems, this funding presents a timely opportunity to co-invest in their business’s future.
Funding Streams for Producers and Processors
The program is being delivered in two competitive grant rounds of $20 million each, with the first round now open. There are two distinct streams of funding available:
- For Producers: Grants of up to $2 million are available for on-farm finishing and feedlotting developments. This funding is aimed directly at producers looking to improve their capacity to prepare sheep for the domestic processing market.
- For Processors: Grants of up to $5 million are available to enhance processing capacity and efficiency. This includes funding for infrastructure providers such as abattoirs, cold storage, and lairage facilities. The government has explicitly encouraged smaller-scale abattoirs to apply.
To be eligible, applicants must be able to demonstrate matching co-contributions. The deadline for the first round of applications is 5pm, 22 October 2025.
A Strategic Shift to Onshore Value-Adding
The program is a clear strategic move to build confidence and resilience within the WA sheep industry as it transitions away from live exports. By incentivising investment in on-farm and processing infrastructure, the government aims to help the sector capture new opportunities in the domestic and international markets for processed sheep meat.
WA Agriculture and Food Minister Jackie Jarvis stated that the program will assist the industry to adapt.
“The Supply Chain Capacity Program… will assist Western Australian sheep producers and supply chain businesses to adjust to the ending of live sheep exports by sea and help mitigate the impact of the change,” she said.
“The program will incentivise investment in on-farm and processing supply chain capital infrastructure, to build confidence in the sheep industry and capture future opportunities.”
Implications for Agritourism Diversification
For WAAA members, this grant program aligns directly with the goal of farm diversification. The ability to co-invest in modern finishing systems can improve the quality and consistency of their livestock, which is crucial for those developing premium meat brands or supplying their own on-farm restaurants. Furthermore, the support for smaller-scale abattoirs could improve access to processing facilities for operators in some regional areas, a common bottleneck for those looking to develop paddock-to-plate enterprises. Federal Minister for Agriculture, Julie Collins, noted the funding will help the industry “capitalise on consumer demand in Australia and overseas for high-quality and ethically produced food and fibre.”
