A Brazilian processor with U.S. ties is expanding its processing capabilities. MPE group and the city government of Quissama will open a pork special-cuts and processed-meats plant in Quissama, Brazil (Rio de Janeiro state).

The project is worth R$7million, reports Futures and Commodity Markets News. It will be part of Carrol´s do Brasil assets, the pork processing sector of MPE group, in partnership with Smithfield Foods in the United States. The plant will process 300 pigs and 120 cattle a day.

As the largest pork producer in Mato Grosso state, MPE raises 12,800of the state's 30,000 hogs.

MPE will invest R$2.5 million to market the pork and beef products to the main retail chains in Brazil, as well as overseas. The group estimates a turnover of R$66 million in 2005 and R$105 million in 2006.

In a related matter, MPE recently completed the acquisition of the Fricampos (Campos city), a plant that will concentrated on beef processing and will handle 600 animals a day.

On July 14, MPE opened a second feed mill in Diamantino (Mato Grosso). It will supply feed to the group's farms, and other third-party farms.