The Minister for International Trade and Investment, Hon. Richard Maru, announced the acquisition of majority shares in the Sepik Fresh Poultry Farm by the Australian company Taylor Pacific.
The investment, worth K30 million, marks an important expansion in Papua New Guinea’s poultry industry and strengthens the country’s goal of achieving self-sufficiency in chicken production, he said.
Minister Maru made the announcement on February 28, with John Taylor Director, owner of Taylor Pacific, and the Sepik Farm Manager, Mr Chris Prestwood.
Taylor Pacific’s acquisition includes the buyout of shares previously held by Israeli company Innovative Agro Industries Limited.
The investment will enable the completion of Stage 2 of the farm’s expansion, which includes constructing five additional broiler sheds and increasing the weekly supply of day-old chicks from 10,000 to 20,000.
The farm will also significantly boost egg production to meet the growing demand in the Greater Sepik Region, the company said in a statement.
Minister Maru stressed Sepik Farm’s importance in reducing PNG’s reliance on imported chicken products.
"This investment will ensure we meet the high poultry demand of the Sepik people while keeping prices affordable for them," he said.
Prestwood, also President of the Poultry Association of PNG, highlighted the positive outlook for PNG’s poultry industry.
"We are in a very good position. Biosecurity measures have improved, and this has given confidence to investors. The expansion of Sepik Fresh will not only increase production but also ensure affordability and availability of poultry across the region," he said.
Prestwood noted that boosting local production has already had a direct economic impact.
"For the first time, all poultry consumed in PNG is produced locally. Previously, a carton of day-old chicks in East Sepik cost K550 due to high transportation costs. Today, with local production, that price has dropped to K270, significantly benefiting SMEs and small-scale poultry farmers," he said.
Following the success of Sepik Fresh, Taylor Pacific is also planning to develop a major chicken farm in Vanapa, Central Province, to supply poultry to NCD, Central, and Gulf provinces.
Minister Maru indicated that this project could expand further into cattle farming and the production of stock feed.
"The Vanapa farm will help us replace expensive imported chicken and beef. The government is also keen on investing in the feed industry by producing wheat, maize, and sorghum locally. This will reduce chicken feed costs and ultimately lower the price of poultry for consumers," he stated.
Taylor Pacific, which recently acquired Hugo Canning -- the manufacturer of Ox & Palm corned beef -- for K100 million, sees PNG as a long-term investment destination.
Taylor, the company’s director, reaffirmed their commitment, saying: "We have invested K100 million in the last year and are looking at similar numbers for our upcoming projects. Our goal is to domesticate protein production, ensuring affordability while keeping factories open and employment strong in PNG."
Minister Maru assured investors that the government is providing the necessary infrastructure and policy support to encourage private sector growth. The government has already invested in a 10-kilometer sealed road and power infrastructure to support the Sepik farm, he added.
Plans are also underway to designate both the Sepik and Vanapa farms as Special Economic Zones, which would provide tax incentives and other benefits to investors.
"Our biggest risk is disease, and we are committed to working closely with the Agriculture Minister to maintain strict biosecurity measures. We have also banned the import of uncooked chicken from Australia and New Zealand to protect our local industry from disease outbreaks," Minister Maru stated.
"Once we meet our domestic demand, we want to export chicken and feed to other countries. This investment by Taylor Pacific is a step in that direction," he said, noting the government’s vision for PNG to become a major exporter of poultry and poultry feed.
