Parmalat concentrates production in the Southeast Region
Valor Econômico
Parmalat Brasil, which leased its largest plant in Carazinho (RS) to Nestlé for 35 years, with a purchase option, made an announcement on Friday informing that its current strategy is to concentrate the production in the Southeastern region of the country, where nearly 80% of its consumer market is concentrated. The concentration of the production "allows the company to establish a most rational logistic, with a substantial reduction in the cost of freight in the transport of milk and its byproducts", said the company.
Valor discovered that, in the strategy of concentrating the production in the Southeast Region, Parmalat will put into operation the Guaratinguetá (SP) plant it bought from Danone together with businesses associated to the brand Poços de Caldas and the license of the brand Paulista in April/2008. In September, already in financial difficulties, Parmalat sold the two last assets to GP Investmentos, but it kept the plant. According to the administration of the municipality, the unit, with processing capacity for 350 thousand liters a day should be reopen on August 11 and generate 170 jobs. The company made no comments on the matter.
The lease for the period of 35 years, with a purchase option, is practically a sale and it was the means found by Nestlé since Parmalat Brasil is in process of judicial recovery. The business is estimated at R$ 100 million (US$ 51.8 million). Parmalat has been disposing of its assets since last year. Besides Poços de Caldas, it sold the Garanhuns (PE) plant to Laticínios Bom Gosto in February. It continues operating the units of Santa Helena de Goiás (GO), Ouro Preto d'Oeste (RO), Itaperuna (RJ), Governador Valadares (MG) and Jundiaí (SP) and Votuporanga (SP). In the plants it currently has, the total production capacity is of 2.5 million liters/day.