The company has advised that it has made the decision to close its joint venture poultry operation in the United Kingdom. The company, Pershore Poultry Ltd., has been experiencing continuing losses over the last two years due to changed market conditions.
High volumes of imported products from other European countries and more recently from Thailand and Brazil have caused market prices to fall below production cost.
Jamaica Broilers Gp. Ltd. and its U.K. joint venture partners, Humphrey Holdings Ltd., do not expect any favourable improvement in the U.K. market conditions in the foreseeable future and have, therefore, made the decision to cause an orderly closure of the operations of Pershore Poultry Limited.
The company’s financial exposure includes an equity investment of J$27.6 million and loan support of approximately J$50 million. The company’s plans to launch the Reggae Jammin line of products in the UK. will still be pursued.
