DAT-Schaub is expanding its operations in China with new acquisition
Danish Crown has planned within its 4WD strategy to turn its subsidiary DAT-Schaub into a global market leader. As such, the company needs additional capacity in the selecting and processing of natural casings from pigs and lambs.
Shanghai Natural Casing Company has selected and processed natural casings for the US company DCW Casings, in which DAT-Schaub also has a controlling interest. DAT-Schaub said in a statement that this offered it the possibility to have in-depth knowledge of the company, and it sees great potential going forward.
“China is the centre for selecting and processing in a labour-intensive industry like ours. At the same time, the country is well positioned geographically because the raw materials come from Europe, the US and Australia. There is a strong infrastructure to and from the Shanghai area, and the employees are meticulous and quality conscious, which is essential in our business,” says Jan Roelsgaard, CEO, DAT-Schaub.
The Chinese company has built a new factory neat the centre of Shanghai in 2007.
“It’s a well-managed company, but it’s still possible to enlarge the capacity, which is essential for handling the rising volumes of raw materials we’ve gained access to over the past year,” Jan Roelsgaard says.
DAT-Schaub buys and cleans sets of casings from pigs and sheeps from most of the world. These are cleaned and salted at the abattoirs and shipped to China or Portugal, where DAT-Schaub has factories to manage the selecting and and processing of the casings.
Over the past year, DAT-Schaub has acquired majority stakes in five companies in South America and Spain. At the same time, a joint venture has been established in Spain, so the level of activity is sharply rising.
“DAT-Schaub has a strong brand and sells its products all over the world. Over the past financial year, the company generated a record-setting profit. In my view, this is a perfect set off to become the undisputed market leader globally, which is also our clear – and definitely realistic – ambition,” says Jais Valeur, Group CEO, Danish Crown.
DAT-Schaub owns a part of a similar company situated about three hours north of Shanghai. The company announced in a statement that the activities at this factory will not be affected by the acquisition of Shanghai Natural Casing Company.
Photo Source: Danish Crown
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