The Brazilian meatpacking conglomerate — JBS — that recently purchased Swift & Co., is going to enter the beef production business. The company plans to build a $15.2-million beef production farm near San Paulo, Brazil.
JBS's $1.4 billion acquisition of Swift made it the world's largest meatpacker.
In the San Paulo system, the company intends to raise about 150,000 cattle to supply some of JBS' packing plants. This is a new and significant step for the company, which has previously only run slaughter and processing plants.
Meanwhile, Smithfield Foods officials say the company has put its beef packing expansion plans on hold, waiting to see what else JBS does. Smithfield officials have said, "we want to get bigger in beef."