ThriveAgri, AgTrade’s livestock nutrition division, is expanding its operations through the acquisition of major fodder business, Hay Australia.

The move will see ThriveAgri’s presence in animal nutrition boosted throughout the country, while also providing new opportunities to produces and buyers of hay products, with Hay Australia accounting for around 10% of Australia’s 1.35 million tonnes of hay exports in 2021.

“Providing a consistent and trusted supply of fodder through Hay Australia entirely supports ThriveAgri’s overarching mission of helping to ensure healthy animals and productive supply chains through delivery of high-quality animal nutrition services,” said Justin Slaughter, CEO of AgTrade.

Hay Australia will continue to supply hay to its own portfolio of livestock, genetics and meat supply chains, while also having access to AgTrade’s partnerships across livestock industries.

“AgTrade operates a diverse portfolio of global export agribusinesses, developed over the past 49 years, and is a trusted partner throughout livestock supply chains in Australia and New Zealand,” said Slaughter.

“We also have strong, long-term relationships with major international customers across more than 26 nations, including the Japanese and other Asian fodder markets, while the AgTrade portfolio of businesses itself is one of the largest single consumers of hay in Victoria.

The acquisition will also boost ThriveAgri’s capacity to service, develop and grow fodder markets across Australia, with the division set to prioritise the growth of Hay Australia’s supply base.

“Strengthening relationships with existing suppliers, while identifying new supply partners, will allow us to expand our product lines and operations, and meet the unique needs of a broadened range of customers,” said Slaughter.

More than 60 current employees at Hay Australia will be retained and added to AgTrade teams in Australia, New Zealand and other countries who are trading partners.

“Hay Australia has been the conduit between quality fodder producers and international customers for over 15 years, and these relationships will continue to flourish. There are great synergies between the businesses, and the change of ownership will open up some very exciting avenues for Hay Australia to grow and succeed at a new scale,” said Paul McKenzie, chair of Hay Australia.

In addition to growing Hay Australia’s exports, ThriveAgri will also take on the company’s operations, which include Bridgewater’s ‘barcode’ storage facilities.

“With Australia’s enviable reputation for producing first-class fodder and straw bedding products, we will focus on building Hay Australia’s scale and capability to continue servicing existing customers, while seeking strategic opportunities in new markets,” concluded Slaughter.