BRF will acquire a food production plant in China

November 21, 2024

1 minute read

Brazilian pork and chicken processor BRF said on Wednesday it had signed a binding agreement to acquire a food processing plant in China’s Henan province for $43 million, Reuters reported.

In a securities filing, BRF said it will invest approximately $36 million to expand the plant and added that it expects the plant to begin operating under BRF’s management in the first quarter of 2025.

The investment is expected to double the plant’s capacity to 60,000 metric tons per year from 30,000 metric tons currently, according to BRF. Built in 2013, the plant has two food production lines.

“The investment represents a significant opportunity to expand the company’s customer base and sales,” BRF said in a statement, adding that it provides “direct access to the Chinese market, one of the world’s largest protein consumption markets.”

The BRF made the announcement during a state visit by Chinese President Xi Jinping with his Brazilian counterpart Luiz Inacio Lula da Silva, as the leaders raised the profile of their countries’ global strategic partnership.