September 18, 2007

Cargill Pork adopts pricing software from SignalDemand

Cargill Pork has announced a 5-year commitment to adopt SignalDemand's pricing and profitability management software.

Cargill Pork, a division of Cargill Meat Solution, now ioins Cargill Beef in adopting SignalDemand's Price and Response 3.0 software solution for pricing its meat products.

The development marks an expansion of Cargill Meat Solution¡¯s long-term relationship with SignalDemand and Cargill¡¯s commitment to extend science-based pricing into other areas of their business, the company said.

SignalDemand delivers software solutions and advisory services that help process manufacturers determine optimal margins, prices and product mix. The company would guide Cargill Pork in the complex process of pricing in the highly competitive short-, mid-, and long-term markets in which they compete.

The company said its software solutions would allow Cargill Pork to see how pricing decisions impact revenue and customer demand.

Based on the strong success at Cargill Beef, Cargill Pork is excited to bring SignalDemand¡¯s pricing and mix capabilities to its pork business, said Dirk Jones, President, Cargill Pork.

Given the increasingly dynamic nature of the business, the SignalDemand solution allows Cargill Pork to provide fair pricing for its pork products, and reduce volatility in the business, Jones continued.

SignalDemand's customers include Cargill Meat Solutions, Hormel, National Frozen Foods, Rich Products, and Ventura Foods.

In 2006, Tyson, Swift & Co and Cargill, the top meat producers in the US, were sued for using erroneous USDA reports to underpay cattle producers. Cargill was ordered to pay US$3 million in damages.