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Cargill opens multi-million dollar poultry plant in China

June 21, 2019
Consumer Packaged Goods

Cargill recently opened a new $48.8 million poultry production plant in Chuzhou, Anhui, China.

The integrated facility incorporates chicken breeding, raising, feed production, hatching, primary and further processing. Additionally, the complex features two production lines for fully cooked poultry that will be able to produce 32,000 tons chicken and other protein products every year, according to Cargill. The company expects to increase poultry production by 30%, which will enable Cargill to better meet demand for domestic customers while exporting cooked poultry to global customers.

“Chinese customers and consumers are critical to our protein business, as China has the largest protein market in the world,” said Jackson Chan, managing director of Cargill Animal Protein in China. “With this expansion, Cargill will be able to offer more unique and differentiated culinary options, menu solutions and innovative new products to our customers and consumers.”

Cargill said protein consumption in China has evolved as living standards and incomes improve. Citing data from China’s Statistics Bureau, the company said annual per capita consumption of poultry in China’s cities increased from 1.0 kg in 1978 to 9.7 kg in 2017. Currently, chicken is the second most consumed meat in China representing 15% of total meat production. Cargill believes there is tremendous potential for growth.

“Cargill is a friend of China and we are committed to developing the Chinese economy and the economies of local communities,” said Marcel Smits, chairman of Cargill Asia Pacific and head of corporate strategy. “This new investment will help Chuzhou and local farmers prosper as they work with us to deliver protein to tables of the world. Our commitment to China is demonstrated not only through our 40-year presence, but also by Cargill’s business announcements this year, including the opening of a Cargill Beauty APAC Lab in Shanghai, a Yichun animal nutrition plant, the corn production facility in Songyuan, and now, Chuzhou.”

Following an opening ceremony held June 18, Xiang’an Zhang, the Secretary of the Chuzhou Municipal Party Committee said, “Chuzhou possesses abundant natural resources, unique location for convenient transport and great potential for economic growth. Cargill contributes much in terms of employment and financial investment in the local community. The contribution is significant to agricultural structure, economic development and community prosperity. We welcome enterprises like Cargill to continue their investment and business development to grow together with Chuzhou. And we wish a better development for Cargill in Chuzhou.”

By Erica Shaffer

Source: Food Business News

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