Tyson continues building chicken farms in China

by Meat&Poultry Staff
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SPRINGDALE, Ark. – Tyson Foods, Inc. is building company-own chicken farms in China instead of buying birds from independent farmers, according to a report in The Wall Street Journal.

The newspaper reported that Tyson is shifting its sourcing practices to address food safety concerns of Chinese consumers. The Journal report notes that Tyson’s goal is to build 90 farms by 2015. The farms will be exclusive suppliers for its processing plants in China. Tyson currently has 20 farms in the country.

Dennis Leatherby, CFO of the company, told meatpoultry.com in August that Tyson plans to continue integrating its chicken business in China. Donnie Smith, president and CEO, said Tyson will be operating using 50 percent of company-owned birds by the end of fiscal 2013. “And then our goal is to be nearing 100 percent in company-owned birds at the end of FY ’14,” he added. Progress in China has been hindered by the avian influenza outbreak there.

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