PrimePork Foods — Operations Plan
The abattoir and processing plant, the cold-chain infrastructure, the supply structure and the operating model underpinning PrimePork.
Section 6 · Business Plan
Operations Plan
The abattoir and processing plant, the cold-chain infrastructure, the supply structure and the operating model underpinning PrimePork.
6.1 The processing facility
The primary facility in the Gauteng corridor houses receiving and
chilling, deboning and primal-cutting lines, a value-added processing
area (curing, smoking, packing), cold storage, blast freezing and
dispatch. Layout follows export-grade hygiene zoning (clean/dirty
separation, temperature-controlled environments, HACCP flow) and is
designed for phased capacity expansion from 3,500 to 11,000+ pigs per
week without disrupting live operations.
6.2 Capacity build-up
| Parameter | Y1 | Y2 | Y3 | Y4 | Y5 |
|---|---|---|---|---|---|
| Capacity (pigs/week) | 3,500 | 5,200 | 7,000 | 9,200 | 11,000 |
| Utilisation (%) | 62% | 70% | 78% | 84% | 88% |
| Pigs processed/week (avg) | 2,170 | 3,640 | 5,460 | 7,730 | 9,680 |
| Carcass throughput (t/yr) | 8,800 | 14,800 | 22,100 | 31,300 | 39,200 |
| Value-added share of output | 12% | 16% | 22% | 28% | 32% |
| Export share of revenue | 0% | 5% | 7% | 8% | 8% |
Capacity is installed ahead of utilisation, which builds from 62% to
88% as contracts are won and the ramp matures — the utilisation curve,
not just installed capacity, drives the revenue trajectory. The
value-added share climbs from 12% to 32%, the mechanism by which margin
expands from an 11.4% Year 1 EBITDA to 23.8% by Year 5.
6.3 Sourcing and procurement
- Biosecure, Pork 360-certified carcass supply from
compartmentalised, high-health-status producers under multi-year supply
agreements - Multi-supplier sourcing across geographies to mitigate ASF/FMD
localised-outbreak and slaughter-backlog risk - Sow-crate-friendly and welfare-compliant sourcing aligned to the
2025 SAPPO code and the 2032 group-housing transition - Carcass-price risk partially managed through supply contracts
and, over time, upstream integration into proprietary farming
6.4 Technology and food safety
An integrated ERP links procurement, production, yield tracking,
inventory and dispatch; RFID traceability follows product from carcass
intake to customer, the backbone of both food-safety compliance and
export documentation. Production analytics drive yield optimisation and
inventory automation. Food-safety systems (Pork 360, HACCP, FSSC 22000)
are designed in from commissioning rather than retrofitted, shortening
the path to export registration in Year 2.
6.5 Cold chain and distribution
Cold storage and blast freezing preserve quality and enable frozen
export; a temperature-controlled distribution fleet serves national
retail and food-service customers. Given load-shedding risk, the
facility incorporates redundant refrigeration and backup generation —
cold-chain integrity is both a quality imperative and, for export, a
compliance one.
6.6 Infrastructure programme
| Asset | Capex (R m) | Specification |
|---|---|---|
| Processing plant | 145.0 | Deboning & value-added lines, hygiene zoning, receiving/dispatch, export-grade fit-out |
| Cold storage | 55.0 | Chilling, freezing and cold storage; redundant refrigeration |
| Distribution fleet | 48.0 | Temperature-controlled vehicles; national cold-chain routes |
| Machinery & deboning equipment | 52.0 | Danish-European cutting lines, packing, processing equipment |
| Technology systems | 18.0 | ERP, RFID traceability, production analytics, inventory automation |
6.7 Staffing plan
| Division | Y1 | Y3 | Y5 | Notes |
|---|---|---|---|---|
| Processing | 240 | 430 | 560 | Deboning, cutting, value-added, packing |
| Logistics & cold chain | 90 | 150 | 205 | Drivers, cold-store, dispatch |
| Sales & marketing | 35 | 62 | 85 | Retail, food-service, export accounts |
| QA & food safety | 28 | 48 | 68 | HACCP, lab, traceability, certification |
| Administration & finance | 22 | 40 | 82 | Finance, HR, procurement, IT |
| Total direct employment | 415 | 730 | 1,000 | Skilled deboning labour central to margin |
Skilled deboning labour is the operational hinge: Danish-European
specification cutting requires trained operators, and yield — the
dominant margin driver — depends directly on their skill. A structured
training programme and retention strategy are core to the plan, and the
ramp in skilled headcount must keep pace with the capacity and
value-added ramp.
6.8 Operating KPIs and control
The business is run on a small set of hard operating metrics reviewed
weekly by the COO and monthly by the board — the discipline that
converts installed capacity into margin.
| KPI | Target | Why it matters |
|---|---|---|
| Deboning yield (saleable %) | ≥78% | Directly drives gross margin; the core profit lever |
| Capacity utilisation | 62% → 88% | Idle capacity carries fixed cost and depreciation |
| Value-added share of output | 12% → 32% | The margin-mix driver behind EBITDA expansion |
| Cold-chain integrity (temp breaches) | <0.5% | Quality, shelf life and export compliance |
| Carcass cost / revenue % | <57% | Largest cost; managed via sourcing & mix |
| Days sales outstanding (retail) | <45 days | Drives working capital and revolver draw |
| Product recall / QA incidents | Zero critical | Brand, certification and export eligibility |
| OEE (line efficiency) | ≥80% | Determines effective throughput vs installed capacity |
Each KPI maps to a financial driver: yield and mix to gross margin;
utilisation and OEE to effective throughput; carcass cost and DSO to
margin and working capital. Underperformance on yield or value-added mix
is the earliest signal that the margin ramp — and therefore the EBITDA
trajectory — is at risk, well ahead of the quarterly covenant tests.
Confidential — this business plan is provided to prospective investors and lenders for evaluation purposes only and may not be reproduced or distributed without the written consent of PrimePork Foods South Africa (Pty) Ltd.