Evaluation of Sheepmeat Industry Strategic Plan (SISP)

Summary

​This document is a report on progress toward meeting a range of Sheepmeat Industry Strategic Plan (SISP) performance indicators and a benefit cost analysis of the Plan.
Review of seventeen important SISP KPIs using a 'traffic light' analysis indicates that six are likely to be achieved; six are possible and five are either unlikely to be achieved or require a major data collection effort before determination. Themes addressing sheepmeat Quality and Animal Health are least likely to have been delivered or have insufficient data to make an objective determination.
Investment in the SISP mid-way through its implementation has been assumed to produce a number of benefits, only two of these benefits have been valued (increased carcase weight and increased weaning rate).
A total investment in the SISP, including co-investor contributions of $279.23 million (in present value terms) has been assumed to produce gross benefits of $641.16 million (in present value terms) providing a net present value of $361.94 million and a benefit cost ratio of 2.3:1 (over 30 years, using a 7% discount rate). The internal rate of return on funds invested is estimated at 17.9%.
The results of this analysis inform a planned review of the SISP in July 2012.