SAO PAULO: Global food producer JBS has acquired an 80% stake in ‍a new food ‍holding company in Oman, it said on Sunday, expanding ​its footprint in a fast-growing market that has historically relied heavily on food imports.

 

KEY ⁠CONTEXT

* The world's largest meat firm is investing $150 million to produce poultry, lamb ⁠and beef ‌at two Oman facilities.

* JBS CEO Gilberto Tomazoni told reporters the company needs to develop a supply chain in ⁠the Middle East, adding it will raise chickens itself and plans to buy cattle and lamb from farmers in Oman and North Africa.

* JBS's Oman beef and lamb facility already exists but ⁠has been idle for about a year, ​Tomazoni said.

BY THE NUMBERS

* Production is expected to begin within six months for beef and lamb, ‍and in a year for poultry.

* JBS partner Oman Food Capital (OFC) will ​retain a 20% stake in the joint venture.

* The companies expect to reach an annual production capacity of about 300,000 metric tons at the two plants.

* JBS's Oman factories will process approximately 1,000 head of cattle, 5,000 lambs, and 600,000 chickens daily.

ADDITIONAL CONTEXT

* Major Brazilian food firms have been expanding in the Middle East, where food security became a central issue after the COVID-19 pandemic disrupted global supply chains.

* JBS already processes meat in Saudi ⁠Arabia and the United Arab Emirates, while rival MBRF ‌has strengthened partnerships in the region while planning a Riyadh stock listing.

* JBS's move also mitigates potential fallout from global trade tensions by expanding ‌production into ⁠new geographies while building integrated facilities in a region with high income and birth ⁠rates. (Reporting by Ana Mano; Editing by Gabriel Araujo)