Brazilian firm buys major UK poultry processor

The £348 million sale to the Marfig Group was completed this week as parent company OSI – a major supplier of meat to McDonalds - sold Moy Park as well as two of its Brazilian processing companies to the firm.

The acquisition will see Marfig now processing more than 8.5 million birds a week, adding to its already strong portfolio in the South American red meat sector which has seen it become the world’s fourth largest beef processor.

Moy Park managing director, Nigel Dunlop said: “To stay ahead these days requires a continual investment stream into both plant and people. We believe Marfrig will fully support us in achieving our ambitions across our operations in Northern Ireland, England, France and the Netherlands.

“This can only have the most positive benefits for our customers and everyone involved with Moy Park, now and in the future.”

The sale comes just a week after Dutch food giant Vion bought Grampian Country Food Group last week, and now leaves around 20 per cent of the UK’s poultry processing capacity in the hands of foreign owners.

With Marfig’s traditional base in the red meat sector, the NFU warned this week that the sale should not be allowed to become a ‘Trojan horse’ for imports of South American produce to flood the UK market.

Commenting on the takeover, an NFU statement said: “We are encouraged this major Brazilian meat company is looking to invest in our farming industry. However it is important this move doesn't just facilitate the importation of meat and carcasses from outside the UK.

“We are looking forward to working closely with Moy Park and Marfrig in developing the British Chicken brand and reputation, and in forging close relationships between them and our farmer members.

“While we look forward to working with Marfrig we need to be sure we are not welcoming a Trojan horse into our midst, in the form of a large processor and potential importer of South American beef and other imported meat.”

The NFU is now seeking an urgent meeting with Marfrig and Moy Park to discuss the implications of the move for its farmer members.

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