November 1, 2007

Brazil's Sadia to build US$57 million meat plant in the UAE

Brazilian food company, Sadia SA (SDA), will spend around 100 million Brazilian reals (US$57.4 million) on a new meat processing facility in the United Arab Emirates next year, a company press agent said Wednesday (October 31, 2007)

Earlier this week, the company said it was investing around BRL200 million in two overseas projects over the next two years.

Sadia did not say where the facility would be built in the UAE and did not reveal where the cash was coming from to build the greenfield project.

Sadia is Brazil's largest meatpacking company in terms of revenue and the Middle East is the company's second largest market outside the EU.

Sadia's operations in UAE is geared to provide processed chicken and beef products to those Middle Eastern markets.

A second facility will be built overseas in 2009, but Sadia did not say where at this time.

The move further extends Sadia's international footprint and overseas branding. The company will open its Kaliningrad, Russia, facility on Dec. 1, its first international endeavor.

Sadia this week also announced the building of a US$142 million meat plant in north-eastern Brazil to tap the fast-growing markets there.