Pork producer Pilgrim’s UK has indicated that its enterprise restoration and development plan is progressing nicely after recording a fall in working losses to £2.6 million for the yr to twenty fifth December 2022 – down from £16 million within the earlier yr.
The processor has continued to implement its enterprise construction underneath the management of President Ivan Siqueira and launched a variety of measures to optimise its operational footprint, in line with its annual buying and selling report.
As shoppers proceed to face difficult inflationary headwinds, the enterprise has labored in partnership with key prospects to mitigate prices and ongoing inflation.
Its efficiency has additionally come up towards the continuing challenges going through the UK pork sector, with the UK breeding herd having contracted by 20% and loss-making farmers leaving the trade as a consequence of a sustained interval of excessive manufacturing prices and decrease pig costs.
On the similar time, an growing and on-going reliance within the UK on cheaper, decrease welfare imports from the EU and post-pandemic restoration challenges inside sure markets has negatively impacted UK manufacturing.
Regardless of these difficult market situations, the enterprise noticed whole income enhance by 11% in 2022 to £1.2 billion.
All through 2022, Pilgrim’s UK has continued to give attention to creating sustainable development throughout its enterprise by a strategic funding programme. The enterprise has invested within the newest applied sciences whereas additionally delivering additional product innovation and deepening buyer relationships.
Investing in web zero
The final 12 months has seen a £1.8 million funding within the firm’s Bodmin website and £5 million funding in its Kings Lynn website to maximise operational capability and additional strengthen the sustainability of the factories. In whole, the corporate is investing greater than £10 million to assist progress in the direction of reaching web zero carbon emissions in its personal operations by 2030 and throughout its provide chain by 2035.
In the course of the interval, Pilgrim’s UK additionally started an operational footprint evaluate, which resulted within the closure of its Coalville and Bury St Edmunds websites in early 2023, and extra not too long ago the closure of its Ashton facility, with operations transferring to its amenities in Spalding and Westerleigh.
Pilgrim’s UK president Ivan Siqueira mentioned: “Market situations within the UK stay extraordinarily difficult, however we’ve taken appreciable steps to make sure that our enterprise is well-placed to not solely meet these challenges however proceed to be the perfect and most sustainable meals enterprise within the UK.
“Whereas our efficiency exhibits that we’re making good progress in right-sizing our enterprise, optimising our operational footprint and supporting our farmers, we all know that there’s extra work to do.
“Equally importantly, these efforts is not going to impression our skill to fulfill demand development with key prospects and additional diversify our portfolio.
“We’ll due to this fact proceed to establish methods to turn into ever more practical and environment friendly, whereas delivering the very best high quality and most revolutionary meals to our prospects.”