News Pigs
Danish Crown exits German fresh meat market
Danish Crown is to stop selling fresh meat in Germany, the company announced in a press release. The decision means that the production site in Oldenburg will close its doors.
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The location has not been profitable for several years. According to sales director Fischer Larsen, the German market is very competitive. In order to earn money on that market, being able to deliver large volumes is a prerequisite. Because the margins are very thin, the costs must also be low in order to make a profit. Danish Crown is not sufficiently capable of this, Larsen explains.
The company is not completely leaving the German market. Recently, there was a rumor that Danish Crown wanted to sell the pig slaughterhouse in Essen to Westfleisch. Earlier this week, the company denied that rumor. The location recorded a loss of €15 million last year. The slaughterhouse has a capacity of 74.000 pigs, but only slaughtered 64.000 last year.