Vall Companys invests in Brazil to boost exports to Europe

An existing Master Agroindustrial plant. Photo: Master Agroindustrial
An existing Master Agroindustrial plant. Photo: Master Agroindustrial

The Spanish integrator Vall Companys and Brazilian pork producer Master Agroindustrial have announced an investment of €123 million to expand their joint vertically integrated pork operations.

The aim is to increase supply, primarily to European and Asian markets. Mario Faccin, CEO of Master Agroindustrial, said, “It’s a partnership that’s been going on for some time. We currently keep all industrial processes integrated, from breeding to slaughter, with support from partner producers in the intermediary stages.”

The initiative marks a new milestone in the strategic partnership between the 2 companies. The cooperation was formally established in March 2023, when the Spanish group acquired part of the Brazilian company. After 2 years of positive results, the partnership will be expanded with investment from both parties.

Mario Faccin, CEO of Master Agroindustrial.
Mario Faccin, CEO of Master Agroindustrial.

Full cycle

The investment will cover the entire production chain, including expansion of breeding units, increased feed‑mill capacity, and enlargement of industrial processing facilities. Integrated producers will contribute around €38.5 million, the remaining €84.5 will be paid for by both companies.

Most activities will be concentrated in Santa Catarina state in southern Brazil, in the Planalto Norte and Meio‑Oeste regions. A new plant will be built in the municipality of Videira. The state is a logical place for its unique sanitary status, being the only state in Brazil authorised to export pork to markets such as Japan, South Korea, Mexico, the US and Canada. Santa Catarina state actively supported the initiative.

It is expected that about 600 direct jobs and up to 2,400 indirect positions are expected to be created through the expansion.

Doubling incomes

With 31 years of history, Master Agroindustrial has 40,000 breeding sows and currently slaughters around 3,000 pigs daily, directing 70% of production to its slaughterhouse and selling the remaining 30% to traditional partners. Of the pigs slaughtered, about 30% are processed for the domestic market, while 70 % are exported, especially to demanding markets such as Japan, which accounts for roughly 66% of outbound sales.

With the new investment, production capacity is projected to increase to 60,000 breeding sows and daily slaughter up to 5,000 pigs by 2030. It is expected to double company income by enhancing the product portfolio and possibly importing premium items, such as jamón ibérico and serrano, to the Brazilian market.

Vall Companys: integration from Spain

Founded in 1956, Vall Companys is operating in an integrated manner from nutrition to pharmaceutical products. The Spanish company employs around 12,000 people and exports approximately 30% of its production to Asia, Europe and Latin America.

Tomaz Blasco, director of international expansion at Vall Companys, said, “Master caught our attention because of its work philosophy, which resembles our own. Santa Catarina impressed us with its structure, capacity and governmental support.”

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Azevedo
Daniel Azevedo Freelance journalist Brazil
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