Thursday, March 07, 2013

BRF prepares to turn a multinational food

Company created from the merger of Sadia and Perdigão, BRF prepares the House to take a turn in the global market and become a food multinational.
The industry wants to stop being an exporter of commodities and replace increasingly meat sales "in natura" by processed foods, with brand, convenience and added value.
We are supporting players, says Jessica Diniz in Council on BRF
High costs and according to Cade tips profit of BRF in 2012
Indication of Abilio for BRF is well received by the market
"We want to replicate the business model of the internal market to the external", Antonio Augusto De Toni said yesterday, the company's Vice President of external market.
"We are creating a framework for globalization," said the President of the BRF, José Antonio do Prado Fay.
The framework includes a new organization for the Corporation. The global operation should be separated from the Brazilian, with the appointment of a President for global BRF.
The name Fay is most likely for the post. By completing 61 years, in November 2014, will be required by the regulations of the BRF to leave the Executive Presidency.
According to him, the new structure began to be discussed in September last year, but the decision is up to the new Board of Directors, which will be elected in April.
The internationalization of BRF should be the focus of his new Board, which can have the businessman Abilio Diniz as President and the former President of Predicted Sergio Rosa--one of those responsible for the globalization of mining company Vale--as vice.
Although products with Sound marks and Perdix already can be found in 140 countries for which the company exports, BRF wants to expand presence in gondolas.
The first step was to invest in marketing. After 18 months of work, was created a new visual identity for the Sadia brand, unique to the world, and that will be crafted as "premium".
In the operational area, the plan is to render the meat produced in Brazil in units abroad. By the end of this year, the company opened a factory processed in Abu Dhabi, United Arab Emirates, and sets the construction of another drive in China.
Another point of the strategy is to expand its own distribution abroad. Last year, 22% of products sold by BRF outside the country had its own distribution. The company wants to expand this percentage to 30% in 2013.
By eliminating an intermediary, the company can increase its profit margin, which was impacted last year by rising costs.
The largest food processor in the country had 41% drop in profit from 2012, to $ 813 million.
Despite significant improvement in the fourth quarter, the result was hampered by compliance with Cade (Administrative Council of economic defense) that forced the company to sell assets that are equivalent to one third of revenue in the country.
Folha de São Paulo
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