Tönnies signs MoU for slaughter and butchering centre in China

German meat processing company Tönnies Group has signed a memorandum of understanding (MoU) with West Hope Group subsidiary Dekon Group to build a slaughter and butchering centre in the Sichuan province in China.

Initially, the new joint venture (JV) facility will have the capacity to slaughter two million pigs and would be expanded to six million pigs at a later stage.

Establishment of the new slaughter and butchering centre in China is said to be part of Tönnies internationalisation strategy.

Tönnies CEO Andres Ruff said: “We are proud to be starting a new chapter in our company history together with our partner, the Dekon Group.

“With our competence in the slaughter and butchering of pigs and our knowledge of the prerequisites, safety and hygiene in food production, we can further consolidate pork production for the Chinese market.”

As part of the agreement, Tönnies and Dekon will build an abattoir and related butchering business for pork in Sichuan.

Foundation stone for the production location will be laid next year. The total investment will be €500m, of which €150m will be used for the slaughter and cutting centre.

Dekon Group CEO Wang Degen said: “In Sichuan, the first plant is being constructed in compliance with the European standard for pork products. From breeding to slaughtering to processing, we will achieve complete integration in food production.”

By signing the new MoU, both companies intend to begin their partnership immediately.

In 2016, Tönnies announced its plans to move some of the production of its Danish unit Tican to Germany and the UK.

As part of this move, the company intended to shift deboning operations from the facility in Thisted and bacon processing from Ansager in Denmark by 1 October.