Beef industry market ‘clash’ looms
…as half a billion BVCF strategy mirrors Meatco’s business model
• By Hilary Mare
MEATCO and its emerging rival, the Beef Value Chain Forum (BVCF) – a splinter meat producing company formed by producers, some of which are former Meatco employees – are set for a market clash after a leaked BVCF business plan shows that the two entities will operate using almost similar models.
Sources who spoke to Confidente this week highlighted that as it currently stands, the two entities will vie for similar producers and clients and despite the availability of raw materials, there will definitely be a clash in that whoever is able to offer better prices will certainly grab the greater chunk of the producers.
“Over the years, Meatco has played a price stabilisation role where they basically controlled the prices. Now with this new player that is having multiple members joining, a clash definitely is on the horizon. We just hope that it will be a healthy clash,” the source who refused to be named further said.
Read the full story in this week’s edition.