October 19, 2006

Gradus to build the largest poultry slaughterhouse in the Balkans

Meat Processor Gradus, one of Bulgaria's largest meat processors, has opened the largest poultry slaughterhouse in the Balkans as part of its plans to tap the EU market.

The EUR18 million plant is capable of processing between 8000 and 9000 chickens an hour and is expected to double the company's annual poultry output, which topped 26,000 tonnes in 2005.

Gradus' production is expected to reach 45,000 tonnes next year, allowing them to

gain access to the huge EU market as the country ascends to the EU. 

The news was a shot in the arm for the poultry industry in the country, which has yet to recover from the devastating effects of bird flu early this year.

Poultry sales had just began to overtake red meat sales in 2005 when bird flu hit the country and devastated sales, said Yavor Jekov, marketing manager of Gradus.

Moreover, problems with food safety in poultry and outbreaks of Newcastle disease resulted in an EU-wide ban of the country's poultry, which looks likely to continue past its accession on Jan 1 2007. Domestic demand was also affected as a result.

Despite the ban, Gradus is preparing themselves for the day the EU would lift its ban. 

Jekov explained that another rationale for building the plant is to prepare for the challenges of EU accession, which would require much stricter food production standards than current rules. 

The company is also hoping to expand its scope of operations by investing in infrastructure for "further" processing.