Hilton Food Group will invest nearly NZ$54m ($38.7m) to build a new meat processing facility in South Auckland, New Zealand.
The UK-based meat processing company will exclusively supply the meat products from the new facility to New Zealand retailer Progressive Enterprises, which trades under the name Countdown Supermarkets.
It will supply a range of beef, pork, chicken, lamb, and added-value products to Countdown Supermarkets.
According to Hilton Food, the Otahuhu meat plant will further consolidate its existing relationship with Australian supermarket chain Woolworths, which is the owner of Progressive Enterprises.
Countdown expects the new plant to boost its capacity, especially to cater to seasonal demands like Christmas. The plant also gives it more packaging flexibility and options relating to portion sizes to satisfy the varying needs of a diverse range of customers.
Countdown managing director Dave Chambers said: “This partnership with Hilton Food Group will enable us to best respond to increasing customer demand for more innovation and new product development, and continue our commitment to provide high quality, locally sourced meat at affordable prices for New Zealand families.
“We have a history of innovation with initiatives like our recycled meat trays, and this partnership puts Countdown at the forefront of the meat industry by harnessing the latest technology in meat processing.
The development of the meat packing plant will be done as an extension of an existing site. Production at the Auckland meat plant is aimed for 2020 and will be subject to government approvals along with negotiation and finalisation of construction and tenure agreements.
The new plant will replace the existing meat processing facility of Countdown Supermarkets. It is expected to create 300 new jobs while also taking in employees of Countdown’s existing meat plant team.
Financing of the new food packing facility has been proposed to be done by Hilton Foods New Zealand, a newly formed subsidiary of Hilton.
