Cargill plant in Russia to make Chicken McNuggets

by Eric Schroeder
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MOSCOW — Cargill said plans to build a $30 million chicken processing facility at its complex in Efremov, Russia. The facility will have the capacity to produce 18,000 tonnes of further processed chicken products per year for the Russian market, and will focus primarily on supplying Chicken McNuggets for McDonald’s restaurants in Russia. Construction is expected to begin this fall, with completion by the end of 2011.

According to Cargill, the decision to invest in the new facility is in line with McDonald’s strategic choice of pursuing local supply in Russia. Until recently, Cargill had been supplying the bulk of McDonald’s chicken volume requirements in Russia from its facility in Orléans, France. Cargill said it also will use the Moscow facility to develop business opportunities with other customers in the retail, wholesale and food service sectors in Russia.

“This investment is a good fit with Cargill’s strategic objectives in Russia and enhances our ability to continue providing McDonald’s with specific solutions for its business,” said Jerry Rose, corporate vice-president for Cargill. “This poultry plant will support McDonald’s decision to secure a local source of poultry supply in one of their fastest growing markets. It is another demonstration of the ongoing collaboration between our two companies, building on our longstanding global partnership.”

Cargill said it will source the meat for the Chicken McNuggets from several selected Russian producers, with the goal of meeting McDonald’s quality, food safety and welfare requirements.

“Our meats business has been able to take advantage of experience gained during Cargill’s many years in Russia,” said Richard Maxfield, managing director of Cargill Meats Europe. “We are fortunate in being able to make use of synergies within our Efremov complex and also in being able to leverage valuable contacts and existing relationships built up by our businesses.”

In addition to Chicken McNuggets, Cargill supplies McDonald’s restaurants in Russia with oils from the Efremov site.

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