August 9, 2011

BRF Brasil Foods will look to acquire processing plants in foreign markets as long as the Brazilian currency remains strong, according to the company's president.

Although only 40% of Brasil Foods' revenues come from external markets, the company is facing favourable acquisition opportunities abroad while Brazil's currency continues to gain ground on the dollar, President Jose Antonio Fay said.

The Brazilian real currency has hit historic highs in value against the US dollar multiple times this year. The strengthening currency has caused major problems for Brazilian exporters of all types and has become a top priority of Brazil's president and federal bank in recent weeks, which are trying to restrict the inflow of foreign investment.

Fay said Brasil Foods is "comfortable with its cash situation," and after gaining approval from Brazil's anti-trust body, CADE, has the freedom to pursue new investments and expansion, even as it is working towards meeting the mandate of selling off many of its domestic brands and properties.