The leading sheepmeat processor owned by a cooperative of WA farmers will see improvements such as a new vacuum-packing machine, reconfiguring of boning and mutton rooms, and planned installation of a water recycling plant.
The loan is part of State Government's Co-operative Loans Scheme than so far has loaned about $80 million since the scheme was established in 2004, to support established primary producer co-operatives throughout WA to purchase or upgrade assets.
Agriculture and Food Minister Alannah MacTiernan said WAMMCO's Katanning plant is the biggest employer in the region and employs more than 300 people when operating at full capacity on a single shift.
"These upgrades will allow for increased production levels to remain competitive in an ever-changing world market and to meet the increased demand for high-value chilled cuts,” Minister MacTiernan said.
"With the capacity to increase processing of sheep by 2,000 head per week, these upgrades will secure valuable jobs in the region, generate more profit and increase returns to WAMMCO's producer members,” she said.