Source:  Lisa M. Keefe, MEATINGPLACE, 6/2/11

Cargill Inc.’s Central American operations have purchased Corporacion Pipasa, a leading poultry and meat processor in Costa Rica and Nicaragua, according to a release from Cargill. Terms of the transaction were not disclosed, but all regulatory approvals have already been completed, the Minneapolis-based company said.

Pipasa produces beef, pork, chicken and turkey products in five processing plants, four animal feed facilities and 12 distribution centers. Pipasa also is a leader in the region in feed for cattle, aquaculture, poultry, pork, horses and household pets. Two of its key brands are Pipasa for poultry and Tiquicia for cold cuts.

The combination with Pipasa will be an important addition to Cargill's existing retail-branded business in Central America that processes and distributes chilled and frozen poultry and luncheon meats to large and small food retailers throughout Central America, according to the release.

Cargill also processes poultry in Honduras and Nicaragua, and has processed-meat operations in Costa Rica, Guatemala and Honduras.

The long-term outlook for poultry, poultry feed and processed meats is strong, said Bruce Burdett, the leader of Cargill's operations in Central America. As incomes rise in Central America, people are expected to add more chicken and processed meats to their diets.

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