Craig Mostyn Group Acquires Patmore Feeds

Why It Matters

By internalising a major feed supplier, CMG reduces reliance on external sources, bolsters cost control and positions itself to meet rising demand as WA’s livestock industry shifts toward feedlotting. The move also signals confidence in Western Australia’s agricultural outlook, potentially encouraging further investment in the region’s value‑added food chain.

Key Takeaways

• Craig Mostyn Group acquires Patmore Feeds, 180k‑tonne capacity.
• Acquisition secures feed supply for CMG’s pig and livestock operations.
• ACCC cleared deal, citing limited impact on competition.
• CMG plans to improve pellet durability and feed conversion rates.
• Expansion aligns with WA livestock sector’s shift to feedlotting.

Pulse Analysis

Craig Mostyn Group’s purchase of Patmore Feeds marks a strategic consolidation in Western Australia’s agribusiness landscape. CMG, already a major player with pig farms, abattoir operations and premium pork brands such as Amelia Park, now adds a vertically integrated feed mill capable of producing 180,000 tonnes of pellets annually. This acquisition not only secures a reliable source of high‑quality feed for its own livestock but also strengthens CMG’s position in a market where feed costs represent a substantial portion of production expenses. By controlling the feed supply chain, CMG can better manage margins and respond swiftly to market fluctuations.

The deal arrives as WA’s livestock sector increasingly adopts backgrounding and feedlotting models, demanding more consistent and nutritionally optimized feed. Patmore Feeds’ existing infrastructure, combined with CMG’s intent to enhance pellet durability and formulation flexibility, promises higher feed conversion rates and lower overall production costs for farmers. Such improvements can translate into tangible savings for producers, reinforcing CMG’s narrative of delivering value downstream to the agricultural community. Moreover, the acquisition aligns with broader trends of vertical integration in the protein industry, where companies seek to capture more of the value chain from farm to table.

Regulatory scrutiny was minimal; the Australian Competition and Consumer Commission approved the transaction, concluding that CMG’s current demand for sheep and pig feed would not substantially lessen competition. This clearance underscores the relatively fragmented nature of the regional feed market and suggests that CMG’s expansion is unlikely to create monopoly power. Looking ahead, the integration of Patmore Feeds positions CMG to capitalize on the projected growth in WA’s livestock numbers, while also offering a platform for future innovations in feed technology and sustainability initiatives. The move signals confidence in the state’s agricultural future and may encourage further investment in local feed production capabilities.

Deal Summary

Western Australian agribusiness Craig Mostyn Group announced the acquisition of Patmore Feeds, a stock‑feed manufacturer with a 180,000‑tonne annual capacity. The deal, cleared by the ACCC in March, will allow CMG to secure pig‑feed supplies and expand its livestock feed operations across WA.