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B.FLT.2000 - Regional Investment Study 2026

Feedlots drive productivity across the beef supply chain, supporting 36% of Australia’s cattle slaughter and contributing $4.6 billion to GDP while sustaining thousands of regional jobs and economic activity.

Project start date: 01 April 2025
Project end date: 07 October 2026
Publication date: 08 July 2026
Project status: Completed
Livestock species: Grain-fed Cattle
Relevant regions: National
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Summary

Feedlots are a key driver of Australia’s beef supply chain, delivering consistent supply, boosting productivity, and supporting regional employment and economic activity. The industry contributes $4.6 billion to GDP, supports over 24,000 jobs, and underpins significant value across upstream and downstream sectors.

Objectives

The objective of this project was to quantify and communicate the economic contribution and broader value of Australia’s feedlot industry to stakeholders including government, investors and industry.

It aimed to provide a clear evidence base on feedlots’ role across the beef supply chain, including impacts on productivity, employment and regional economies. 
The project also sought to support informed decision-making by demonstrating the economic and supply chain benefits of feedlot investment and the implications of industry growth or contraction.

Key findings

- Feedlots are a major contributor to the Australian economy, generating $4.6 billion in GDP and supporting ~24,000 jobs, with most impacts occurring across the broader supply chain. 

- The industry plays a critical role in the beef supply chain by supporting 36% of national cattle slaughter and enabling consistent, high‑quality supply, improving productivity for processors and graziers.

- Feedlot activity drives significant upstream and downstream benefits, particularly in agriculture, highlighting its strong multiplier effects across regional economies and supply chains.

- Economic modelling shows the industry’s importance to future growth, new feedlot investment delivers regional economic gains, while industry removal would significantly reduce GDP and employment.

Benefits to industry

- The project provides strong evidence of the feedlot sector’s critical role in improving supply chain productivity, enabling more consistent cattle supply and supporting higher-quality beef outcomes.

- It strengthens industry confidence and supports investment by demonstrating the significant economic contribution of feedlots, including $4.6 billion to GDP and over 24,000 jobs. 

- The findings enhance stakeholder understanding of feedlots’ upstream and downstream benefits, helping to justify expansion and reinforce their importance to regional economies.

MLA action

- MLA is using the study to support stakeholder engagement by clearly demonstrating the economic contribution and supply chain importance of feedlots.

- The findings are being applied to inform future RD&A investment priorities, particularly those that enhance productivity, resilience and regional economic growth. 

- MLA is leveraging the results in communication and advocacy material to build industry confidence and support ongoing feedlot development and investment opportunities.

Future research

- Further analysis is recommended to refine regional modelling and better quantify how feedlot investment influences local economic growth, employment and supply chain dynamics.

- Additional research into supply chain interactions would help better capture the full upstream and downstream impacts of feedlots across agriculture, processing and services sectors. 

- Ongoing work to assess scenarios such as industry expansion or contraction will support more informed investment, policy and planning decisions for the feedlot sector.

More information

Project manager: Liz Pearson
Contact email: reports@mla.com.au