Two Canadian pork groups, Olymel and Groupe Robitaille, announced a joint C$80 million (US$61 million) investment to expand Aliments Lucyporc – their jointly owned hog slaughtering, butchering, and processing facility located in Yamachiche, Quebec.
The project to improve the plant is being undertaken by the partners to ensure the continued production of value added products through optimizing their operations and pooling the expertise that each business brings to the partnership.
“…this partnership will give us access to a wide range of resources in order to compete in all markets, offer products of unequaled quality, and take advantage of the synergies generated by pooling our expertise and strengths so as to position ourselves for the long-term and be increasingly responsive to our customers.” Said Claude Robitaille, President, Groupe Robitaille in a recent statement.
Under the plan, 430 Groupe Robitaille slaughterhouse workers will be integrated into Olymel’s facility in Yamachiche, which currently has 360 employees, creating a new entity that will continue to operate as Aliments Lucyporc, according to Just-Food. A second shift will also be added to operations at the slaughterhouse and the de-boning factory resulting in a doubling of production within the next 36 months.
Specifically, the improvements will entail improvements to the hog receiving area, the expansion of the slaughterhouse, cold rooms, butchering room, storage areas, shipping and service areas, and the upgrading of the water treatment facilities.
“Once the work is completed, the plant will be outfitted with the latest equipment, enabling it to meet its customers’ rigorous demands,” said Olymel in a company press release.
“These changes will also enable us to meet growing market demand, at home as well as in Asia, and will have a positive impact by strengthening the pork industry in Quebec,” noted Olymel L.P. President and CEO Réjean Nadeau.
Demand for pork imports from China, Japan and South Korea are expected to climb by a combined 11% this year, according to the U.S. Department of Agriculture (USDA). Individually, demand in South Korea is expected to climb by 2%, demand in Japan will increase by 4%, and demand from China is expected to climb by a significant 26%.
In light of this demand, over the past year, Olymel has invested more than C$150 million into eastern Canada’s pork sector.
“These major investments could not have been made without being accompanied by a major reorganisation [sic] aimed at making our business more competitive vis-a-vis larger competitors on the international scene,” said Olymel L.P. President and CEO Réjean Nadeau.
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Lynda Kiernan