Danish Crown to invest $321m to automate pork production

Denmark-based meat processing company Danish Crown will invest nearly kr2bn ($321.5m) for automating operations and improving its production capabilities at its factory over the coming years.

With this announcement, the company has increased its investment budget by 25%, which was kr1.6bn last year.

Danish Crown CEO Jais Valeur said: “It is crucial for us to keep investing decisively in our production facilities through continued automation.

“This is the way to enhance both the working environment and our competitiveness – which in turn is the way to secure jobs. So even though we invest a huge amount, it makes sense in every possible way.”

The meat processing firm said that next year, it will be upgrading its palletising area at its abattoir in Horsens with a new robot setup.

In addition to automation, the investment will also be used to improve the working conditions of its staff members and futureproof production.

The company is also planning to invest in its factory in Dinklage, Germany, to enhance the production capacity of ham for pizzas.

With this investment, the company aims to increase capacity, as well as its pizza toppings range.

Danish Crown Foods CEO Kasper Lenbroch said: “Toppings is one of the markets in growth in Danish Crown Foods, where Danish Crown Toppings in Thorning produces large volumes of pepperoni for the pizza industry every year.

“Now we are expanding our repertoire with new lines in Dinklage, where we can make ready-cooked ham products in several formats, and in turn, align us more closely with our customers.

“With the new production facilities, we will increase our market share in the ham segment of the toppings market through Danish Crown Toppings’ sales channels with an almost fully automated and very modern setup.”

Danish Crown also intends to invest in its abattoirs in Blans and Ringsted during the coming year.

As part of this initiative, new equipment in the cutting department will be installed at Blans abattoir. The company will also be changing, and office facilities will be expanded and modernised.

For Ringsted abattoir, Danish Crown will be investing in establishing a new facility to produce a special minced product for the Japanese market.