Brazil’s beef firm Minerva to setup JV in China

Brazilian beef exporter Minerva Foods is set to expand its presence in the Chinese market by establishing a joint venture (JV) with two Chinese representatives, Xuefang Chen and Wenbo Ge.

Chen and Ge are Chinese meat distributors and customers of the meatpacker, a source told Reuters.

Minerva said that the company signed a memorandum of understanding (MoU) to explore trade opportunities in the Chinese market.

The company primarily aims to focus on exploring commercial opportunities in the imports and distribution of beef in China.

Minerva said in a statement: “With the establishment of this JV, in partnership with Chinese representatives, the company aims to maximise its distribution channels in China, enabling new business opportunities, and to meet the growing demand for beef protein in China, which today accounts for approximately 15% of all global beef consumption.”

In the JV, Minerva, Athena Foods or any other subsidiaries to be defined, will be partners.

The company did not reveal any financial details concerning the agreement.

In June, Minerva Foods announced plans to temporarily close operations at its Barretos plant in São Paulo.

According to a company statement, the Brazilian firm intends to pause operations at the site to carry out maintenance works. As a result, it is furloughing 635 workers at its plant.

Minerva said that the temporary closure would coincide with the suspension of beef exports to China.