‘Brasil Foods’ Launched by Government

A merger approved Wednesday by the Brazilian government between two companies in Brazil will result in the creation of Latin America’s largest food company. Sadia and Perdigão, once operating merged Brasil Foods, will bring in an estimated USD 13 billion annually. The merger is expected to not only  increase employment in Brazil, but also to increase Brazil’s ability to take the lead in global poultry export business, as well as maintain other economic advantages. However, since the company is predicted to dominate the food sector, the government is preventing the company to use Perdigão’s brand initially in order to decrease the economic impact it will have on competing firms. Brazil’s rise to the top of the food sector in Latin America is just one of many examples of the recent economic achievements in Brazil as the country becomes a leading role on the world stage.

Source: Forbes