February 9, 2021

Philippines' San Miguel to exit swine production

San Miguel Corp SMC.PS said on February 8 its food unit was exiting swine production, as African swine fever (ASF) transport restrictions hurt the industry, Nasdaq reported.

San Miguel Food and Beverage Inc FB.PS will transfer its swine inventory and farm facilities to small raisers, which it said can operate the business at a lower cost and make it sustainable.

"We want to provide our local piggery businesses a chance to thrive in these trying times, and encourage more smallholder farmers to grow this industry locally and responsibly," San Miguel president Ramon Ang said in a statement.

The company's food segment recorded a 4.3% annual drop in revenue in the first nine months of 2020 to 96.7 billion pesos (US$2 billion), with sales impacted by the ASF situation.