Rica Foods, Inc. Announces New Hatching Facility in Nicaragua
The Company plans to invest U.S. $1.1 million in the new facility. The new facility will be operated by the Company's wholly owned operating subsidiary, Corporacion Pipasa S.A. and is projected to have 10 hatching machines.
01/11/07 Rica Foods, Inc., an international producer of broiler chickens, processed chicken, beef and pork by-products, commercial eggs and premixed feed and concentrate for livestock and domestic animals, today announced that it plans to open a new chicken hatching facility outside of Managua, Nicaragua.
In its current operations, the Company ships one-day chicks from Costa Rica to Nicaragua. Transportation of one-day chicks to Nicaragua results in a loss of chicks, a current expense to the Company. The Company anticipates that the opening of the new hatching facility in Nicaragua will allow the Company to provide products to the Nicaraguan market from Nicaragua, thereby eliminating the need to ship one-day chicks from Costa Rica. If the Company succeeds in its plans, the Company will reduce costs because the mortality rate of one-day chicks will decrease, among other factors.
The Company plans to invest U.S. $1.1 million in the new facility. The new facility will be operated by the Company's wholly owned operating subsidiary, Corporacion Pipasa S.A. and is projected to have 10 hatching machines. The Company anticipates that the new facility will be fully operational in January 2008.
