November 10, 2005

Danish Crown to close Odense slaughterhouse

Danish Crown would close its slaughterhouse at Odense, Denmark, during mid- February 2006, in a bid to reduce its fixed costs.

The Odense slaughterhouse currently slaughters about 38,000 pigs a week. After its closure, the operations would be shifted to and divided between Horsens in east Jutland and Ringsted, where capacity would be expanded.

Danish Crown said combining production at fewer plants would allow more efficient production, and would also mean its retail packing plant in Holbaek would close. Holbaek production would mainly be transferred to Herning where investments in automation and efficiency were expected.

Deboning operations at the Holbaek plant would then be transferred to Ringsted.

The company said strong global competition for pork spurred this latest move to reduce their fixed costs "rapidly and efficiently."