Vietnam Dairy Products JSC (Vinamilk), the country's largest dairy manufacturer, and Japan’s Sojitz Corporation have started construction on a US$500-million cattle farm and beef processing complex in Tam Dao Town, the northern province of Vinh Phuc.

A groundbreaking ceremony for the construction of the project is held on March 8. Photo: VNA

A groundbreaking ceremony for the construction of the project was held on March 8 by Vietnam Japan Livestock Ltd. Co. (Vinabeef) - a joint venture company between Sojitz Corporation and Vietnam Livestock Corporation JSC (VILICO) - Vinamilk’s subsidiary.

The new farm and processing complex, covering 75ha, is scheduled to begin operations in June 2024.

The farm will have a maximum breeding capacity of 10,000 cattle and will be adjacent to a slaughterhouse with a capacity of approximately 30,000 cattle per year and a processing plant with a design capacity of 10,000 tons annually.

According to Sojitz, an integrated production system will be realized for all processes from breeding cattle to shipping beef products.

In addition, similar processing equipment and hygiene and quality management methods used in Japan will be introduced to raise production efficiency and create a stable distribution system for high-quality chilled beef.

Sojitz noted that there is an increasing demand for cold chain systems to supply chilled meat, which requires safe, high-quality beef production and quality management from breeding to production, processing, and sale of meat.

Therefore, this project will focus on rigorous quality management that meets consumers' needs and creates Vietnamese-branded beef. In the future, the company plans to expand into pork, poultry, and other meats, aiming to build the largest integrated meat business in Vietnam, the Japanese group said.

Sojitz strives to promote talent exchange between Japan and Vietnam through this project and other projects in various industries to foster industrial human resource development and contribute to the sustainable development of Vietnam.

Earlier, in 2021, Vinamilk and its affiliate VILICO signed a Memorandum of Understanding (MoU) with Japan's Sojitz Corporation and Vinh Phuc Province People's Committee for the project. The signing ceremony took place at the Vietnam-Japan Investment Promotion Conference in the presence of Prime Minister Pham Minh Chinh during his official visit to Japan.