South America’s largest duck meat exporter targets 30% growth in 2024

Villa Germania, the largest producer and exporter of duck meat in South America, expects to increase its revenue by over 30% in 2024, reaching R$ 200 million, with the strategy that gained strength this year: expanding the portfolio with other “premium” proteins. Duck meat remains the company’s flagship product, controlled by the XWR Investimentos holding, but other items, such as organic quail, chicken, and pork, have become increasingly important in the results.

The main customers for these new higher-value-added proteins, for now, are renowned chefs’ restaurants in the capitals, demanding quality and supply frequency. Still, Villa Germania plans to enter the foreign market, especially Europe, starting January 2026.

To achieve this, the company intends to invest R$ 15 million next year in constructing a storage and supply center on the company’s premises in Indaial. The goal is to reduce logistics costs for transportation to the port of Itajaí, where containers are loaded.

This year, Villa Germania’s exports, especially duck meat, grew by 20% to R$ 80 million, driven by increased demand from Japan and the opening of the Hong Kong market. According to Moser, total revenue, considering both the domestic and international markets, is expected to close at R$ 150 million.

“Saudi Arabia remains our largest market with shipments of four to five containers of 25 thousand tons each per month, but there was a return of the demanding Japanese market, which was our main buyer from 2004 to 2016, the opening of Hong Kong, and increased shipments to Latin American countries such as Mexico and Chile,” lists Moser.

The company slaughters 17 thousand birds per day and exports whole ducks mainly but also processed cuts to 25 countries. Many of them, even non-Muslim countries like Japan, request halal slaughter, certified for many years at the plant in Indaial.

Another ambitious move planned for 2024 is the exploration of the Chinese market. Moser is traveling to China, where duck is a staple of its cuisine, in May of next year. The company will also invest in kosher slaughter certification to sell duck meat to Israel.

Of the total production of 5 thousand tons of duck meat annually, 75% is destined for export. According to the executive, the company has revamped its sales department to increase reach in the domestic market.

The chart below shows Brazil’s duck meat exports (hs 02073000; 02073200; 02073500; 02073600; 02074000) from Jan 2019 to Oct 2023. The data is from DataLiner.

Duck Exports from Brazil | Jan 2019 – Oct 2023 | WTMT

Source: DataLiner (click here to request a demo)

Villa Germania entered the quail market in 2022 when XWR Investimentos bought Good Alimentos, the national leader in the segment with the brand Codornas do Chef, and the two companies were integrated.

In January of this year, the company obtained authorization to export to Saudi Arabia and is already sending a container per month to the country. Next year, the meatpacker should receive R$ 2 million in investments to construct more sheds. In addition, the company will also start working with integrated producers, as it already does with ducks.

In addition to these proteins, Germania also sells guinea fowls, free-range chicken, lamb, and kid, as well as imported meats such as Portuguese cod, Iberian rabbit, and Australian sirloin. Since 2022, the company has also been exporting duck carcasses, liver, and other mandatory items for pet food production in Germany, England, and the Netherlands and feathers for pillow manufacturing in Portugal.

Source: Globo Rural

Click here to access the original article: https://globorural.globo.com/negocios/noticia/2023/12/maior-exportadora-de-carne-de-pato-da-america-do-sul-espera-crescer-30percent-em-2024.ghtml

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