Lamb Weston has formed a joint venture with Sociedad Comercial del Plata in Argentina to serve the nearly 2 billion pounds South American market. Each partner will own 50% of the new joint venture called Lamb Weston Alimentos Modernos S.A. The terms of the agreement were not disclosed.
Lamb Weston Alimentos Modernos S.A. will sell frozen potato products under the Rapipap and Morixe brands and will operate a manufacturing facility in Munro, Buenos Aires, Argentina, with an annual capacity of approximately 130 million pounds (approx. 59 million kg) of finished goods.
“Our joint venture partner has more than 30 years of experience in the South American market, and we’re confident their depth of knowledge of the region combined with our operational expertise will allow us to expand and better serve our customers. South America is a strategic and growing market, and this joint venture will allow us to produce quality fries in Argentina and serve the broader South American region with an established partner,” said Tom Werner, CEO, Lamb Weston.
Taking into account this announcement, Lamb Weston operates 27 manufacturing facilities worldwide, independently and through joint ventures.