The future is in place for Danish Crown's slaughterhouse in Essen
It has been no secret that the group management of Danish Crown has spent many hours solving the challenges at the loss-making slaughterhouse in Essen, Germany. Everything from a divestment, to closure, to a turnaround plan has been in play, and after Group CEO Niels Duedahl visited the slaughterhouse, he and the rest of the management have assessed that the slaughterhouse can be turned into an asset for Danish Crown.
’’We have been losing money in Essen for several years. We have managed this to some extent in recent months. At the same time, I am convinced that Per Fischer Larsen and his team, in close cooperation with the factory management in Essen, can rethink where and how we sell the raw materials from Essen that we do not process ourselves and sell to customers all over the world. In short, we know where to invest so that the slaughterhouse will contribute to Danish Crown's earnings,’’ says Niels Duedahl.
In the most recent financial year, the slaughterhouse made a loss of approximately DKK 200 million, but operations have improved significantly since the beginning of the new financial year on October 1. This must now be built on with concrete initiatives that can boost earnings.
’’I am convinced that the slaughterhouse in Essen will play an important role in Danish Crown in the future. It is our assessment that access to raw materials can become a key competitive parameter in the coming years. Therefore, it makes a lot of sense for us to have our own slaughterhouse in Germany, where we also have a number of processing plants that need a continuous supply of raw materials,’’ says Niels Duedahl
The slaughterhouse in Essen employs 1,400 people and has the capacity to slaughter 72,000 pigs per week on its 45,000 square meters. In addition, Danish Crown operates three processing plants within a radius of 100 km from Essen.
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