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SAO PAULO (Reuters) – Cargill said on Friday that it will build a factory in Primavera do Leste (MT) for the company’s “solutions” for cattle feed, with an investment of around 100 million reais.
The unit will produce mineral supplements for pasture-raised cattle. In addition, Cargill said it can explore local feedstock alternatives, such as Distillery Dry Grain (DDG), a byproduct of making ethanol from corn.
Mato Grosso is the leader in Brazil in the production of biofuel from cereals, in addition to having the largest national herd of cattle.
Construction of the factory, which will initially have a capacity of 120,000 tonnes/year, will start at the end of this month. The work is expected to be completed in December 2024.
According to Cargill, “the unit was designed to allow future expansion, with the possibility of doubling its capacity in the future.”
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Cargill also said that it intends to acquire an industrial unit of Anhambi Produção Animal, located in Pato Branco (PR), and that it has just submitted the operation for analysis by the Administrative Council for Economic Defense (Cade).
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The purchase of the pork feed plant “will reinforce Cargill’s commitment to expand markets and results, focusing on attractive sectors such as animal nutrition.”
The unit has a production capacity of 60,000 tons of pelleted feed per year.
Anhambi has been operating in the southern region of the country for more than 35 years.
(Reporting by Roberto Samora)
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