“Consolidation likely in French poultry sector”
Duc, France's fifth-largest poultry supplier has said consolidation is likely in the country's poultry sector after rival Groupe Doux's recent move into receivership.
"All players in the poultry sector are doing the same thing," a spokesperson for the company said. "We are trying to find some synergies in order to fight against a market that is currently very difficult for the poultry sector, we are not the only one to do that. It is important to reassure our professional partners and financial partners because of what has happened with Doux, that we are not in the same financial situation and we are ready to be a challenger for the big groups in the poultry sector in France."
Duc said it had implemented a "policy of disengagement" of certain categories in the poultry industry since 2008, given the "difficulties" faced by the sector. The company has reduced its activities in turkey and refocused on "fresh and value-added" products.
The group, which saw sales increase 12% in 2011, was cautious about the outlook for the sector but moves in 2008 and 2009 to cut costs had made the company stronger.
Troubled French poultry giant Groupe Doux decided to move into receivership earlier this month in a bid to try to turn its ailing business around.
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