Denmark-Meat companies all slowdown.

DENMARK-SLOWDOWN IN PORK INDUSTRY.

Europe’s largest pork processing company, Danish Crown, announces mass layoffs due to drop in slaughter pig production

Meat producer Danish Crown announced that it will close a number of slaughterhouses with the loss of almost 900 jobs.

Up to 463 workers will be let go when the company’s slaughterhouse in Holstebro, northern Jutland, closes in mid-June, while a further 308 will lose their jobs when the Rødding cutting plant closes at the end of the year.

An additional 90 workers from Esbjerg, western Jutland, will be laid off when the de-boning division closes during the first week in May.

Danish Crown said it was reducing its capacity in light of the financial crisis, lack of environmental approvals and uncertainty over the Tax Commission’s recommendations to the government, which are likely to affect many industries.

The chief executive of Danish Crown, Kjeld Johannesen, said that the company hoped market conditions would improve and that there would be an increase in the domestic pig supply.

’We are monitoring the framework conditions which will define future pig production with great seriousness at the moment,’ said Johannesen.

Johannesen said that the company had seen improved sales conditions in international markets such as China, Australia and the US, but that measures were needed now to improve the competitive position of the Danish company.

Danish Crown said that it hoped through restructuring it would be able to save a quarter of the affected jobs.