Optimal location of spelling yards for the northern Australian beef supply chain

• The model selects optimal sites for spelling yards considering all constraints.
• Solutions comply with guidelines like maximum driving hours and water deprivation times.
• An additional abattoir can increase the value of the supply chain in over AU $715M.
• The model assesses trade-offs in costs, cattle flows and states for different scenarios.
• A previously unavailable body of operational data was compiled for this problem.

The northern Australia cattle industry is currently facing important challenges, which include increasing demand, a strong reliance on live exports, and a changing climate. This paper presents a strategic optimisation model to help the stakeholders determine the optimal location of cattle rest sites (known as spelling yards) and the optimal flows from breeding farms to ports, abattoirs and saleyards, subject to budget, site capacities and service requirements. The model also considers the operational guidelines that regulate maximum driving hours and water deprivation times. Our contribution is twofold: the model not only recommends spelling yard sites and shows that an additional abattoir can increase the value of the supply chain by over $715 M, but also represents an important step towards rationalising this supply chain’s future operations by compiling a body of data that was previously unavailable for research and analysis.