UK meat packing business Hilton Food Group is to build a plant in New Zealand in its latest project with Woolworths, Australia’s largest grocer.
Hilton will construct a new meat processing facility in Auckland to supply New Zealand retailer Progressive Enterprises, trading as Countdown Supermarkets, which is owned by Woolworths.
The development will take place as an extension of an existing Progressive Enterprises site. It is proposed Hilton’s newly-formed subsidiary, HILTON FOODS New Zealand, will finance the new food packing facility, with start of production targeted for 2020.
The new facility will be capable of supplying Progressive stores in New Zealand with a range of beef, lamb, pork, chicken and ”added-value’ products. It is expected that Hilton’s investment in plant and equipment will be approximately NZ$54m (US$38.7m).
In an interview with just-food in September, Hilton indicated that it would be keen to team up with major retailers in new markets on the back of the success of existing partnerships.
CEO Robert Watson said growth in markets such as Portugal and Australia makes such deals an attractive option.
“We hope to go and develop these relationships where the model can work. We are very keen to deal with the leading retailers in the marketplace,” he said.