Derbyshire firm saves over 1,100 jobs after swooping for poultry business

A Derbyshire firm has stepped in to save over 1,100 jobs at a stricken poultry producer.

Chesterfield Poultry, based in Clay Cross, has bought Norfolk’s Banham Poultry and Banham Group out of administration.

Banham Poultry handled processing and Banham Group was responsible for the rearing of poultry.

Banham was a family run business, managing and operating a group of chicken rearing farms providing first class laying flocks to the UK and export market. It has been operating in Norfolk for over 50 years and was a leading independent producer in the market with a turnover of circa £150m, accounting for roughly 7% of the UK poultry market.

Banham produces its own chicks, hatches them and rears them all the way through to slaughter. It supplies chickens to major supermarkets and other stores and wholesalers throughout the UK. The company runs its own transport department covering live transport, chilled and frozen distribution, with its network reaching every corner of the UK. It also operates with third party companies in a strong export market.

Processing takes place at its Attleborough plant some 12 miles from Norwich. The business is the largest employer in Breckland, Norfolk employing over 1,100 workers directly or contract staff.

Allan Graham, joint administrator from Duff & Phelps, said: “The business has faced a perfect storm in recent months, with increasing margin pressures from supermarket chains as a result of price competition, combined with increases in feed prices. It had been undertaking a number of capital projects designed to improve productivity in the longer term but these have impacted short term profitability which in turn has hit margin.

On appointment Duff & Phelps secured the sale of the business and its assets to Derbyshire based Chesterfield Poultry. The business specialises in chicken production and its products are sold in grocery stores and small supermarkets around the UK, processing over 1.2 million birds a week.

“The Foulger Family are very pleased to have secured a deal with Chesterfield Poultry to ensure the long-term future of Banham and secure the continued employment of a very loyal workforce, which was always at the forefront of any negotiations,” said Michael Foulger.

“We are delighted to welcome Banham into the Chesterfield family and look forward to continuing the legacy of the brand and quality poultry production in Attleborough,” added Nadeem Iqbal, CEO of Chesterfield Poultry.

Graham added: “The sale of the business – covering all assets, employees on permanent contracts, a hatchery and farms and processing plants at Banham – is a success. The swift conclusion of this sale has enabled Duff & Phelps to secure the future of over 1,100 employees, ensuring no break in processing and animal husbandry, guaranteeing the continued supply of high quality poultry to the UK food industry.”