GERMANY

Vion increases focus on Benelux chains

In line with its commitment to building sustainable integrated chains and increasing value for all partners, the Vion Food Group announces potential changes in its operational structure. Vion has decided to shift its future focus towards strengthening chains in the Benelux. Concurrently, the company is conducting a formal review of its assets in Germany due to the strategic interest they have attracted. Vion is committed to securing the right partners for its German employees and businesses allowing growth and a sound future for these assets and their respective customers and suppliers. No closures are anticipated.

Posted on Jun 06 ,00:10

Vion increases focus on Benelux chains

To accelerate its strategy of establishing sustainable integrated chains in times of changing markets and strong competition from Non-EU markets, Vion has taken the decision to focus on production and sourcing in the Benelux region. The Benelux region enables Vion to capitalise on its market leadership position in pork and beef, as well as in animal welfare and sustainability, its global sales network and its advanced data-driven valorization capabilities. Successful transformation programme, recent and potential divestment steps in Germany lay a robust foundation for the future growth and resilience of Vion.

Solid future for the Benelux business

"To achieve our ambitious goal of becoming the most sustainable meat company in Europe, we need to focus! We see a clear opportunity to improve our position by using our robust heritage with farmers and established networks. Our plan is to focus on production within the Benelux region to solidify sustainable domestic and EU market positions,” explains Vion’s CEO Ronald Lotgerink the strategic background of the focus shift. The recent multi-million investments in Groenlo, Tilburg and Boxtel sites in the Netherlands show Vion’s clear commitment to the future-proof organisation in the Benelux, focusing on animal welfare, sustainability and production efficiency. With potential German divestments, Vion prepares the road for further investments in value-added segments in the Benelux.

Positive outlook for German assets

Vion’s German assets and businesses have a strong future, benefitting from well-established regional facilities and leading brands. Starting the disposal of processing assets in Germany at the beginning of 2024 has attracted inbound interest in the remaining German assets. The company has therefore decided to conduct a review of their strategic options. Final decisions are still to be made and will be subject to the discussions with interested parties. 

During recent years, Vion has made significant investments in sustainable production including solar panels, cooling facilities, and further improvements of its CO2 footprint as well as pioneer projects in animal welfare and food safety. These investments will provide the framework for the sustainable future development of our German assets offering an attractive operational base. "We are strongly committed to securing the most capable partners for our German portfolio providing the best concept for prosperous future development of these businesses. This is our promise to our employees, our farmers, and our customers", emphasises Lotgerink. 

Vion remains dedicated to preserving all business relationships, meeting all commitments to all partners until eventual deal closures guaranteeing a smooth transition period. 

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