The long-awaited deal with the world’s largest meat processor will be formally put to the ACCC for approval with an outcome likely by the end of January next year.

The ACCC will examine the deal taking into account whether the acquisition might limit competition in Australian meat processing market.

But livestock sources at Naracoorte are already resolute that the move is "not good for the industry".

"We need the competition - particularly in the heavier market to remain stable," said Bruce Redpath general manager, Australian Livestock Australia, Naracoorte, SA.

"Word in the canteen when the news hit was generally good luck to Swift, but it's going to restrict competition."

Swift director John Berry said Vion Food group deal with TMC was part of securing a position in a major lamb production region, and insisted it would be "business as usual" for the TMC plant under the existing Vion owner until ACCC approval is gained.

He would not reveal the value of the take over, nor would he be drawn on potential for forward contracts next year, although industry sources say they may be set at $4.20 next month.

Tatiara Meats managing director Willem Van Doorn has said the deal was "very positive" and that the backing of the largest meat company in the world would ensure the long-term survival of the Bordertown plant as it faced unprecedented pressure from soaring sheep prices, robust Australian dollar and a declining sheep flock.

The announcement comes just five days after supply shortages had forced TMC to stand down its entire workforce of 400 for the day, the first time that staff had been stood down during December in the history of the abattoir.

Mr Van Doorn confirmed the acquisition would not lead to any job losses.

"Business is going on as per usual and we foresee no further stand downs to the end of the normal Christmas shut down (January 4)," he said.