The Competition and Consumer Protection Commission (CCPC) is seeking submissions from the public on the proposed sale of Kildare Chilling to Dawn Meats.
The commission has confirmed that it has been notified today (Tuesday, February 7) of “the proposed acquisition by Dawn Meats Ireland Unlimited Company of sole control of Kildare Chilling Unlimited Company”.
The CCPC is tasked with determining whether a merger will or will not substantially lessen competition in markets for goods or services in Ireland.
The merger review process involves a review period, known as ‘Phase 1’, following which a determination must be made to either clear the merger or proceed to a full investigation, which is called ‘Phase 2’
The CCPC is inviting submissions from third parties to be made as part of its preliminary investigation by Monday, February 20, 2023.
CCPC
According to the merger notification, the Dawn Meats group is owned by QDB Holdings IOM Unlimited (“QDB”).
The group’s Irish activities consist of “slaughtering, primary processing (deboning), further processing of meat products and rendering of waste products”.
Dawn Meats operates seven sites across the country with a particular focus on beef processing. It also has production and sales operations in the UK and in Europe.
The company has a variety of brands including: Black Angus; Red Hereford; Charolais Gold; Nature’s Meadow; West Cork Beef; Dawn Chef; and The Premium Butcher.
The CCPC notes that Kildare Chilling “is active in slaughtering, processing (deboning) cattle and sheep and selling the resulting fresh meat cuts and by-products”.
The company operates from a single site in Kildare town and sells its products under the Kildara and Heritage Town brands.
Kildare Chilling is one of the main sheep processors in the country, accounting for around 20% of the national sheep throughput.
The slaughter halls at Kildare Chilling Co. have the capacity to kill 120,000 cattle and 500,000 lambs per annum.
IFA
The Irish Farmers’ Association (IFA) previously called on the CCPC to thoroughly examine the impact of the proposed sale of Kildare Chilling on the cattle and sheep processing sector.
IFA president Tim Cullinan said that the CCPC has a critical role to play in determining how further consolidation of the cattle and sheep processing sector will impact on competition within the industry for farmers.
Cullinan said that this purchase would remove another significant standalone meat plant in the country.
The association has previously highlighted the impact of the contraction of processing competition on farmers.