Meat processor BRF unveils business expansion plan

Brazilian meat processor BRF has announced its plans to invest more than R$55bn ($10.7bn) over the next ten years to expand its business.

The investment is a part of the company’s 2030 VISION strategy that focuses on generating an annual revenue of approximately R$100bn ($19.5bn) over the next decade.

BRF, which owns food brands such as Sadia, Perdigão, Qualy and Banvit, intends to establish itself as a global food company with strong brands and quality products.

Besides aiming to achieve local presence in some of the world’s largest added-value consumer centres, the firm intends to expand its share in ready meals, increase its presence in the high-added-value pork and PET markets.

BRF global CEO Lorival Luz said: “We intend to further establish ourselves as a global food company with high added value, with a portfolio of strong brands and increasingly practical, tasty, high-quality and reliable products whenever our clients and consumers want, wherever they want and however they want.

“Our intention is to operate sustainably, taking the main lead and being agents of transformation. The results we have presented so far demonstrate that we have discipline and maturity to start a new growth cycle over the next decade.”

Under its 2030 VISION, the company also intends to bolster its position in the meat substitutes market as well as in the new sources of protein segment.

BRF stated that the investment will be made mainly with funds from its own cash flow. It also plans to use new lines of credit and to support the current debt profile with an average tenure of nine years to finance these investments.

The company’s investment will also cover a macro sustainability plan with public environmental, social and corporate governance (ESG) commitments.

The first phase of 2030 VISION will begin from 2021 and will run until 2023, during which the company will primarily focus on boosting productivity and operational efficiency to expand margins and manage costs.