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Cargill to invest in Russian chicken plan

28-May-2010

Related topics: Financial & Industry

Cargill is planning to build a new chicken processing facility in Russia so it can supply locally rather than shipping from France.

Cargill’s contract to supply chicken nuggets to McDonalds in Russia is instrumental to the decision, as McDonalds has recent decided to source locally in the country. The plant, at Cargill’s complex in Efremov, 330km south of Moscow, will cost some US$30m.

It will have a capacity to produce 18,000 tonnes of processed chicken products a year for Russia. Construction will start in autumn this year and the plant is expected to be operational by the end of 2011.