Tyson Foods plans investment in Kazakhstan
Tyson Foods plans to invest in the beef sector in Kazakhstan, according to sources from inside quoted by Reuters, as the ex-Soviet country represents a perfect hub for entering the Chinese market. An initial investment of $200 million will be directed to build a processing plant in Kazakhstan but this is just a part of a total investment plan of multibillion dollars.
People with knowledge of the discussions mentioned that Tyson wants to reach a total production of beef of 5 million tonnes per year to capitalize on the Asian markets hit by the ASF outbreaks such as China, Vietnam, Cambodia.
Experts are convinced that the pork prices in the Chinese market will skyrocket starting this summer and sales of beef have accelerated, according to Meat and Livestock Australia and Beef +Lamb New Zealand, both reporting an increased volume of beef and lamb exports for the first quarter of the year.
ASF situation in China is expected to reduce the national pig inventory with 30% until the end of the year.
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