March 26, 2004

 

 

Philippines' San Miguel Exports Chicken To Japan

 

Leading Philippine food conglomerate San Miguel Corp., announced on Friday that it has began exporting poultry products to Japan.

 

San Miguel recently signed a deal with Japanese meatpacking company Yonekyu Corp. to export 28 metric tons of deboned chicken parts.

 

Japan has been searching for other Asian sources for its poultry requirements as its traditional suppliers - China and Thailand - have been severely affected by the avian influenza.

 

The Philippines remains one of the few countries in Asia that has been spared from an outbreak of the dreaded bird flu.

 

It is the Philippines' first chicken export to Japan after the bird flu outbreak in Asia.

 

San Miguel shipped the first batch of 6.8 tons to Japan Feb. 27 which arrived March 4. It has cleared customs and other Japanese quality requirements.

 

The second shipment of 21 tons left March 19 and is expected to arrive before the end of this week.

 

San Miguel and Yonekyu are still negotiating for a third shipment.

 

San Miguel said Yonekyu has expressed interest in pursuing a long-term business relationship with the company.

 

San Miguel and Yonekyu share a common stockholder, Japan's Kirin Brewery Co. Kirin holds a 15% stake in San Miguel and 20.1% in Yonekyu.

 

San Miguel, one of the largest poultry producers in the Philippines, has been implementing biosecurity measures through its food unit San Miguel Pure Foods Corp. to prevent a local outbreak of the avian flu virus.

 

Its poultry operation was a problem area for the group last year due to low chicken prices and the influx of cheap imports. Prices only started to recover later in 2003 after the bird flu virus broke out in other Asian countries.