THOMAS Foods International has announced it will not consider the Wallangarra Abattoir in its redeployment plans after one of its largest meat-processing plants burnt down in a massive fire.

Southern Downs Mayor Tracy Dobie said the news was disappointing, but it was a strategic business decision on behalf of the company.

"It was a possibility, but a very slim one,” Cr Dobie said.

Thomas Foods has transferred production to sites at Tamworth and Lobethal, which are in closer proximity to the Murray Bridge plant that caught fire in a welding accident.

"We will be increasing production at (these) plants as well as increasing our workforce at both sites,” Thomas Foods International CEO Darren Thomas said.

"That's the least stress they can have for the animals they are transporting to those sites,” Cr Dobie said.

"To bring them further on to Wallangarra is also more expensive for the organisation itself, and that is one of the reasons they temporarily closed down Wallangarra to begin with.

"This is good business-making on behalf of Thomas Foods.”

Cr Dobie said Thomas Foods had retained three staff at the Wallangarra plant to keep the machinery operational.

"All the machinery can be turned on immediately to start work again,” she said.

Cr Dobie said the facility was closed temporarily and would look at reopening once flock numbers in southeast Queensland had improved.

"Farmers are trying to build up their flocks again to fill that demand,” she said.

Dry weather, falling wool prices and wild dogs have been cited as the cause of dwindling sheep flocks on the Darling Downs.