December 12, 2019
Tyson Foods to construct beef plant in Kazakhstan
The new beef plant by the largest United States meat company will give it expanded access to China, Russia, the Middle East and other Asian markets, reported Financial Times.
The agreement was signed between the company and the Kazakhstan government to boost Kazakhstan's livestock industry and increase Tyson Foods' global business, which makes up 3% of its US$42.4 billion revenue per year.
The new 2,000 head-per-day Tyson Foods slaughterhouse in Kazakhstan will add to the company's more than 20,000 head-per-day business in the US.
Noel White, Tyson chief executive said Asia accounts for most of the 98% demand growth for protein outside of the US. The new beef plant aims to meet that demand that will grow over the next ten or more years.
White said Kazakhstan was selected for its geographical location, its transportation and distribution network into central Europe and ample water and land supply to breed livestock.
Capital into the project will be invested by Tyson Foods, the Kazakhstan government and Kutso Group, a Singapore-based company with beef production in Kazakhstan.
Kazakhstan Prime Minister Askar Mamin said Tyson Foods' expertise will help ignite the country's agro-protein industry, build an ecosystem to grow Kazakhstan's cattle herd and create new high quality jobs.
- Financial Times