BRF invests €149m to begin processing in Asia

BRF is paving the way for a strategic expansion in Asia having invested a combined sum of €149 million in Saudi Arabia and China since October, revealing the strategic ambition to consolidate local production in those expanding markets.

Recently, the Brazilian company announced an investment of approximately €71.5 million in China to acquire Henan Best Foods Co. Ltd,, located in Henan province. Of the total, €38.9 million went to the purchase of the Chinese facility. The remainder will modernise installations and expand production lines, including the creation of 2 new burger lines.

Built in 2013, the factory can currently process 28,000 tonnes per year and has the potential to reach 60,000 tonnes annually after the expansion. The operation is expected to generate around 850 new jobs and strengthen BRF’s presence in China, where it already markets several products.

In addition to serving the domestic market, the factory will be able to export to other Asian countries, taking advantage of its strategic location. Henan province is the third most populous in the country and an important logistics hub.

Strategic move

BRF stated that the acquisition is a “significant step” to strengthen its global presence. The factory will be the company’s first industrial operation in Chinese territory, which is the world’s largest protein consumer market.

The plant might begin operations under BRF management in the first quarter of 2025, following approval from regulatory authorities and corporate restructuring.

Currently, the factory processes only chicken, but BRF plans to include beef and pork in its portfolio, using raw materials from its operations in Brazil, Argentina, and Uruguay, as well as local suppliers in China.

Global expansion

This is BRF’s second strategic move in less than 2 months. In October, the company acquired 26% of Addoha Poultry Company, a poultry producer in Saudi Arabia, for €77.56 million. The initiative reinforces BRF’s presence in the Middle East and marks its entry into local chicken meat production in the region.