In this file:
· Why Tyson Foods Loves British Politics
· Tyson Foodservice Expands No Antibiotics Ever Line of Chicken Products
Why Tyson Foods Loves British Politics
How the American company stands to benefit from the changing British political landscape.
Caroline Banton, The Motley Fool
Aug 7, 2019
A large portion of the British public may have to wave goodbye to their treasured pint and pub lunch of hormone-free beef and non-GMO vegetables. Boris Johnson's recent ascension to 10 Downing Street has made the prospect of a post-Brexit trade deal between the U.S. and the U.K. likely, which portends the removal of EU-imposed food standards and a hungry market for US exporters.
The Trump administration's determination to corner the British market could triumph considering the mutual admiration between the two nation's leaders. US policymakers plan to "eliminate practices that unfairly decrease U.S. market access opportunities or distort agricultural markets to the detriment of the United States."
The U.K. has so far resisted cheaper food imports from the U.S. because of E.U. standards that preclude products such as chlorinated chicken and hormone-fed beef. However, with right-leaning Boris Johnson now managing Brexit negotiations, US food manufacturers are poised to offer cheap food products to the U.K. who may otherwise face prices inflated by high WTO tariffs and possible food shortages post-Brexit.
Tyson Foods is one leading U.S. food producer preparing for a euro invasion and ready to ride the waves to the White Cliffs of Dover. Here's why.
Tyson's strong position
Tyson claimed to be well positioned for future growth in June citing its diversified portfolio, new products, and expansion into global markets. Tyson's claim is substantiated by historical steady growth with total shareholder return of 695% over the past 10 fiscal years compared to a 328% return of the S&P 500 during the same timeframe.
Growth has recently been aided by a global shortage of pork after the African Swine Fever outbreak, which is predicted to halve China's pig herd by the end of 2019, according to Reuters and Dutch bank Rabobank forecasts. This catastrophe stands to only boost Tyson's sales further.
The company expects 98% of protein consumption growth to occur outside the U.S., and Tyson is positioning itself to take advantage. Beef in general has shown an increase in demand as the economy has boosted global middle-class incomes, aiding Tyson's bottom line. Also, Tyson is extending its product lines with, for example, Tyson Air Fried chicken and the newly acquired Smart Chicken.
In response to the global demand for alternative proteins, Tyson has announced its first plant-based and blended products under its New Raised & Rooted® brand. President and CEO of Tyson Foods Noel White said in a recent press release, "[We] expect to be a market leader in alternative protein, which is experiencing double-digit growth and could someday be a billion-dollar business for our company."
But perhaps most tellingly, Tyson has this year acquired Thai and European businesses from BRF S.A. The purchase includes production facilities in Thailand, the Netherlands, and the U.K. All this investment, however, begs the question: Is Tyson's growth sustainable?
The financials ...
Where do we go from here? ...
Tyson Foodservice Expands No Antibiotics Ever Line of Chicken Products
Food & Beverage Magazine
Aug 7, 2019
In an effort to help operators serve products customers can feel good about consuming, Tyson Foodservice has expanded its No Antibiotics Ever1 (NAE) portfolio with ingredient and individually frozen (IF) chicken. Consumers continue to demand products with simpler ingredients and fewer additives; these products are part of the Tyson Foodservice No Antibiotics Ever portfolio and have no added hormones or steroids2.
Ingredient chicken can be incorporated into offerings across menus and comes in diced, pulled and skinless formats. IF chicken is individually frozen to capture peak freshness while locking in natural juices. The boneless, skinless chicken formats include: thigh filet; thigh meat, jumbo; diced thigh meat.
Contact your Tyson Foodservice Representative, Broker, Distributor Sales Representative or visit tysonfoodservice.com for more information.
About Tyson Foods, Inc.
Tyson Foods, Inc. (NYSE: TSN) is one of the world’s largest food companies and a recognized leader in protein. Founded in 1935 by John W. Tyson and grown under three generations of family leadership, the company has a broad portfolio of products and brands like Tyson®, Jimmy Dean®, Hillshire Farm®, Ball Park®, Wright®, Aidells®, ibp® and State Fair®. Tyson Foods innovates continually to make protein more sustainable, tailor food for everywhere it’s available and raise the world’s expectations for how much good food can do. Headquartered in Springdale, Arkansas, the company has 122,000 team members. Through its Core Values, Tyson Foods strives to operate with integrity, create value for its shareholders, customers, communities and team members and serve as a steward of the animals, land and environment entrusted to it. Visit www.tysonfoods.com.