Arcor, the largest food group in Argentina, asserts its status as a multinational to cushion the impact of the negative context that affects its operations in the country.
Its billing for the production and sale of food outside Argentina has been improving, preserved -unlike what happens in the local segment- from price controls, inflation and devaluation.
For this reason, the company founded by the Pagani family from Córdoba, redoubles its commitment to strengthening its operations abroad.
In this framework, the group’s board of directors approved an investment of US$27.6 million (equivalent to 26 million euros) to expand its production capacity in Brazil, where it has five plants (three for Arcor products and two for Bagley). , distributed between Minas Gerais, São Paulo and Pernambuco.
The company informed the National Securities Commission yesterday of its investment decision. In that communication he clarified: “The total investment in the project amounts to approximately 26 million euros and will be carried out for the most part with bank financing taken by Arcor of Brazil.”
In the first semester – latest official data available – Arcor recorded consolidated sales of $481,386.9 million, which in comparable currency represented 1.9% compared to the first half of 2022. Within this framework, billing to customers in Argentina represented 69 .8% of the business, while the remaining 30.2% corresponded to exports.
“As for the general performance of the business, it is relevant to mention that the context in Argentina, the main scenario for the development of the Group’s businesses, was affected by different factors, such as the impossibility of transferring the increase in expenses to prices. and costs, the devaluation of the currency and the effect that inflation produced on consumption and the purchasing power of the population,” the company highlighted on the occasion of the presentation of the half-year report.
Source: Ambito
