Vion Food Group has recently divested its interests in two German sites, transferring ownership to the meat business Erzeugergemeinschaft Südbayern. This strategic move enables the Netherlands-based company to refocus its operations on the Benelux markets.
In January, Vion shut down one location in Germany and finalized agreements to sell three additional sites. Then, approximately five months later, the company declared its intent to withdraw entirely from the German market. On August 19, the firm confirmed the transaction with EG Südbayern for two Bavarian facilities located in Vilshofen and Landshut, although the financial details of the agreement remain undisclosed. Notably, EG Südbayern already held a 49% stake in these operations.
Vion stated that these sites, which export to Southern European markets, collectively possess a slaughtering capacity for 33,000 pigs and a deboning capacity of 650 tons per week. In a statement highlighting the relationship, Vion’s CEO, Ronald Lotgerink, remarked, “This decision is rooted in our long-standing and successful partnership with EG Südbayern. We are confident that under their full ownership, both locations will continue to be successful and add value to the regional food production and supply.”
Looking ahead, Vion indicated that its remaining operations in Germany are undergoing a strategic review but will maintain normal functions until new decisions are reached. Recent announcements revealed the closure of a beef plant in Bad Bramstedt, which impacted 250 jobs, followed by the decision to shut a convenience foods plant in Großostheim, affecting 220 employees.
Erwin Hochecker, chairman of EG Südbayern’s board, emphasized, “Our primary focus remains on our members—the farmers of southern Bavaria—whose hard work and dedication underpin our success. We will also stay a committed partner to the beef site in Waldkraiburg, where we will continue supplying cattle in the future.”
These developments underscore the ongoing shifts within the food and drink business, affecting various aspects of the food and beverage industry trends. As companies re-evaluate their strategies, they continue to respond to evolving food and drink consumer trends, seeking to enhance operational efficiency and optimize market focus.
