Faced with poor market conditions in Chile, leading chicken processing companies are now concentrating on developing value-added products and exporting to new markets.
Agrosuper, the holding company which operates Super Pollo and Pollo King, last month invested US$1m in developing its range of chicken, turkey, pork and beef burgers. Agrosuper dominates the chicken produce market with a 56% share.
“The growth opportunities lie in the production of processed and boneless products,” said Agrosuper Sales Manager Guillermo Diaz del Rio. At present, of all chicken products produced by the industry, only 22% are chicken pieces, while 77% are whole chickens.
Agrosuper is also focusing on the international market, where it believes it can increase its export sales by 30% from US$7m this year to over US$9.5m in 2001. Poultry Product Association President (APA) Juan Miguel Ovalle predicts total export sales in 2001 for the chicken industry of US$20m. The APA also hopes to begin exporting to Canada by mid-2001.
Agrosuper has already earmarked US$30m for 2001 to improve its distribution network and increase its foothold in the value-added and export chicken market. As a result of these improvements, the holding company expects to increase its sales from US$180m in 2000 to US$192m in 2001.
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By Steve Anderson, just-food.com correspondent
