Jollibee poultry plant gives chicken farmers new income opportunity
In this article (4)
Cargill Joy Poultry Meat Production Inc. opened on Tuesday, giving chicken farmers in Batangas and nearby provinces new income opportunities, Jollibee Foods said Wednesday.
A joint venture between Jollibee Foods and Minneapolis, USA-based Cargill , the largest poultry processing plant in the country has a yearly capacity of 45 million chickens.
“The plant increases income opportunities for local poultry farmers in Batangas and nearby provinces as they will supply the chickens to be processed at the JFC facility,” according to Jollibee Foods.
The poultry plant in Santo Tomas, Batangas will supply the demand of JFC bands with dressed and marinated chicken.
“C-Joy is partnering with local poultry farmers in Batangas and nearby provinces to supply the new facility with chicken,” according to Cargill.
“We are looking forward to producing the chickens that will be supplied to the C-Joy plant to meet the poultry meat requirements of Jollibee,” said Vic Lao, president of Highcrest Corp., a partner-grower of the C-Joy.
Cargill and Jollibee Foods revealed the partnership in May last year, saying the processing plant will create an estimated 1,000 new full-time jobs in Batangas.
They said the plant will be 70-percent owned by Cargill Philippines which will oversee the setting up, management, and operations, with Jollibee Foods owning 30 percent.
JFC invested P244.9 million in the processing plant, and P15.2 million in Cargill Joy Poultry Realty Inc. from which C-Joy leased the land to build the facility.
The poultry processing plant is industry positive, according to the United Broilers Raisers Association.
“This is positive for the industry as this will promote competition among big market players like San Miguel and Bounty fresh,” UBRA president Bong Inciong told GMA News Online.
“Maganda rin ‘yan kasi kaunti lang ‘yung big players. So, healthy for the industry na may competition sila. Also, ‘yung mga small farmers will be given opportunity to grow kasi meron silang bagong malaking client,” he added.
Summit Securities Inc. president Harry Liu said the development will have an impact on the financial condition of Jollibee Foods.
“I think it will help the bottom line. I am sure they are doing this investment for future requirement and steady supply for the business now and in the future,” he said in a separate text message.
JFC closed the third quarter with a net profit of P1.62 billion, up 21.1 percent from a year earlier.
Questions & Answers
Q.What is the ownership structure of the new poultry processing plant?
What is the ownership structure of the new poultry processing plant?
Cargill Philippines owns 70 percent of the plant, and Jollibee Foods owns the remaining 30 percent. Cargill Philippines is responsible for its setup, management, and operations.
Q.How much did Jollibee Foods invest in this new venture?
How much did Jollibee Foods invest in this new venture?
Jollibee Foods invested P244.9 million in the processing plant itself. Also, it invested P15.2 million in Cargill Joy Poultry Realty Inc. For the land lease.
Q.What benefit does the United Broilers Raisers Association see from this new plant?
What benefit does the United Broilers Raisers Association see from this new plant?
The association sees this as positive for the industry, promoting competition among major market players. It also provides small farmers with new growth opportunities through a large client.
Reader pulse
JFC's new poultry plant:
17,056 votes so far