JBS expands operations in Minas Gerais with new distribution centre

BRAZIL – JBS, one of the biggest meat processing companies in the world,  has expanded its logistics and service capacity in Minas Gerais with the opening of a new distribution center (DC) in Contagem, within the metropolitan area of Belo Horizonte. 

The facility, which spans a land area of 127,000 square meters, includes a 26,000 square meter built-up section. 

This new center aims to boost JBS’s logistics network throughout much of the state.

The distribution center was developed with an investment of R$320,000 (US$58,980) and is expected to increase the number of trucks operating in the region. 

In addition to the enhanced fleet, the facility is projected to generate employment and bring income benefits to the local population. 

The DC will serve customers in Belo Horizonte, surrounding metropolitan areas, and various regions including Central, North, Midwest, Southeast, Vale do Aço, Vale do Rio Doce, and Zona da Mata, providing easier access to a broader range of products for consumers.

JBS has had a busy year, with its subsidiary Seara, a pork processor in Brazil, securing 1.5 billion reais (US$276 million) through the issuance of agribusiness receivables certificates (CRAs), according to sources familiar with the matter. 

These CRAs are backed by the receivables of the agribusiness sector and represent Seara’s first venture into this type of fundraising.

Although Seara is new to the CRA market, JBS itself has been utilizing CRAs since 2019, raising a total of 11.6 billion reais (US$2.1 billion) prior to this latest issuance. 

A source stated that CRAs provide tax advantages to investors, allowing companies like Seara to access capital under more favorable terms.

Investor interest in Seara’s offering was high, with demand reportedly reaching 2.5 billion reais (US$456 million).

In other developments, JBS subsidiary BioTech Foods recently opened a new cultivated meat production facility in San Sebastián, Spain. 

The plant, which represents an investment of approximately 200 million reais (US$36.1 million), has the capacity to produce over 1,000 metric tons of cultivated meat each year, with plans to scale up to 4,000 metric tons in the future.

The new production facility supports JBS’s broader strategy of expanding its presence in the alternative protein sector, as demand for sustainable and nutritious food products grows globally.

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