Cargill buys FPL’s beef processing site
Cargill said the purchase of the 100,000sq ft plant, which employs more than 200 staff, will complement its existing meat processing facilities in nearby states Georgia and Pennsylvania.
The company describes itself as one of the largest producers of ground beef products in the world, with a raft of processing facilities dotted across the US and Canada. The acquisition of the minced beef site in South Carolina was made to enhance the company’s ability to serve eastern retail and foodservice customers, according to Cargill.
Beef demand rising
“Cargill ground beef customers served by this plant will benefit from closer proximity to supplies and improved transit time for their orders,” said John Keating, president of Wichita-based Cargill Beef in a press statement on Friday 5 March.
“We are acquiring an excellent facility, with outstanding people and capabilities. This acquisition underscores our ongoing commitment to grow our protein business and will enable us to better serve retail and foodservice customers in a region where people love ground beef.”
Keating added that analyst forecasts showed beef demand would continue to increase significantly, with US demand particularly solid.
Business growth
The transaction for the takeover is not expected to close until the end of March, but the founder of FPL Food, Francois Paul Léger, described the deal as a “win-win scenario” for consumers and the employees of both companies.
“As the founder of FPL Food, I am delighted our ground beef plant will be in the hands of a company that truly values the products and people who produce them, as well as the customer relationships that nurture a continuous drive for excellence to generate profitable business growth.
“We’re looking forward to the opportunity to remain a key supplier of quality beef to the plant and know that the fine people working there will become part of Cargill’s terrific beef team. This sale allows FPL Food to focus on its core business of raising and harvesting cattle. It is a win-win scenario for ground beef customers, plant employees, the community, FPL Food and Cargill,” Léger added.
