August 9, 2011

China's largest meat processor Shineway Group plans to build hog breeding farms with annual capacity of 500,000 head, in a drive to expand its hog breeding businesses.

The company will also set up accompanying feed processing plants with the capacity of 200,000 tonnes.

In addition, each farm and plant will be positioned next to a slaughterhouse, with a two-million-head annual capacity.

The company confirmed that the expansion is to ensure meat quality, following the clenbuterol scandal in March that cost the company more than RMB1.85 billion (US$287 million) in losses.