December 13, 2006

Brazil's Perdigao to invest in Asia and Europe

One of Brazil's largest poultry exporters, Perdigao is looking to invest in chicken processing facilities in Asia and Europe, the company said while announcing plans for a new plant this week.

However there are no plans to build plants in Russia, one of Brazil's top chicken markets, perhaps due to the fact that its competitor, Sadia, the top exporter in Brazil is there.

The company hopes to invest in processed chicken meat and have research and development units in these new markets next year so it can tailor products matching local tastes, said Wang Wei Chang, the company's Finance Director.

Brazilian meatpacker Perdigao SA announced it would likely build a beef packing facility in Goias state in the first semester of 2007.

Although the project has not been confirmed, investment capital would likely come from the 460 million Brazilian reals (US$214 million) earmarked for the 2007 investment budget.

Trade Director Antonio Augusto De Toni said that the company was looking into possibilities of selling processed chicken meat to the US, possibly through commercial partnerships.

Perdigao is one of Brazil's largest chicken exporters and the second largest meat packing company in Brazil. Sadia is the top exporter. 

Perdigao's export of fresh whole chicken meat in 2006 was down 3.5 percent from 2005. It expects to export 332,000 tonnes this year.