The Australian Competition and Consumer Commission has today issued a Statement of Issues on the acquisition of the Sale and Korumburra saleyard businesses by Victorian Livestock Exchange Ltd, ACCC Chairman, Mr Graeme Samuel, said today.
"The ACCC invites further information and comment on the provision of saleyards and saleyard services in the Gippsland region and across Victoria".
VLE already owns and/or operates saleyards at Pakenham, Koonwarra (Leongatha), Traralgon and Yarram and provides other livestock services throughout Gippsland and neighbouring regions.
"The ACCC is seeking further information on its concern about the areas of competition it has been investigating during its assessment of VLE's acquisitions", Mr Samuel said.
"In particular, the Statement of Issues seeks more detail on the nature of the markets and methods used for the sale of livestock, the height of barriers to entry, the existence and possible use of countervailing power by saleyard users and the likely response of users to any adverse change in the prices or levels of service offered by the VLE saleyards in Gippsland, should the acquisitions proceed".
The ACCC invites further submissions from VLE, its customers and competitors as well as other market participants that focus on the topics outlined in the Statement of Issues by Friday 30 June 2006. The ACCC expects that, once it has considered any further submissions, it will make a final decision on the acquisitions in July 2006.