January 13, 2020
Brazilian meatpacker JBS opens new domestic beef plant
Renato Costa, chief executive officer of its beef division Friboi said the new JBS beef plant in Mato Grosso state will cater to the Brazilian market, as domestic prices have continued to increase, reported Reuters.
The Friboi CEO said 70 million BRS (~US$17.18 million) has been invested in JBS' 37th beef plant in Brazil, which is able to process 500 head of cattle daily.
Beef prices in Brazil have rose to record highs in 2019 thanks to exports to China. China has approved new sources for meat supplies globally to supplement dwindling local supplies of pork because of the African swine fever outbreak in the country. This in turn, has affected international meat trade flows.
Costa said the Brasnorte plant may be allocated further investments.
In a separate statement by JBS, Joanita Karoleski, chief executive of the Seara processed foods division has stepped down. Karoleski will be replaced by Wesley Batista Filho, grandson of José Batista Sobrinho, JBS company founder.
The Seara processed foods division posted close to 20 billion BRS (~US$4.92 billion) net sales in the 12 months ended in the third quarter. This accounted for 10% of JBS' sales.
Additionally, Batista Filho will continue as chief executive, JBS Brazil division.