Germans in sausage casing deal

Meat processor Affco NZ is to export sheep guts in a joint venture with one of the world's two biggest dealers in sausage casings.

The 50-50 venture between Affco and Raspe and Paschen, of Hamburg, Germany will trade as Rapa United Casings (NZ).

Affco chief executive Ross Townshend said it would go head-to-head with the other big global competitor, a Dutch operation.

New Zealand once had the world's largest natural sausage casing company, the New Zealand Casing Co, with a $200 million turnover, but much of that operation was broken up or sold when it was taken over by Anzco Foods three years ago.

Mr Townshend said Affco hoped to move strongly into export markets with the Rapa operation based on a plant at Wiri selling "green runners" (unprocessed lamb intestines used as sausage casings). Affco has until now processed its green runners through its Imlay meatworks at Wanganui.

Mr Townshend said the focus would be on adding value to the raw materials, bringing out products closer to the specifications of customers, and on getting access to customers Raspe and Paschen already had around the world.

- NZPA