Tyson Foods has struck an agreement to purchase a 40% stake within the foods division of Group Vibra (Vibra Foods), a Brazilian producer and exporter of poultry products including frozen chicken cuts, frozen center joints or frozen halal chicken.
“This investment will allow us to locate poultry provisions in Brazil to satisfy the growing needs of Brazilian prospects and priority demand markets in Asia, Europe, and the Center East,” mentioned Donnie King, group president, international & chief administration officer for Tyson Foods. “It’s part of our technique to develop a more flexible supply chain and alleviate the levity of our previous model, which relied totally on U.S. exports,” King noted.
Since last year, Tyson Foods has expanded its international presence through the acquisition of Keystone Foods, which includes operations in China, South Korea, Malaysia, Thailand and Australia, and BRF’s poultry companies in Thailand and Europe. Grupo Vibra currently serves customers in Brazil as well as greater than 50 countries around the globe.
Over the upcoming five years, it’s estimated that almost 98% of protein consumption growth will occur exterior the U.S, according to the Tyson press release.
“That’s why we’re rising our business outdoors the U.S. As the world population continues to develop, Tyson will develop with it,” King defined.
Tyson Foods, at the moment, generates USD7 billion in international sales yearly. This consists of USD5 billion in U.S. export sales and about USD2bn in in-country revenues.