The proposed acquisition of Kildare Chilling by Dawn Meats has been cleared by the Competition and Consumer Protection Commission (CCPC).

The proposed acquisition was originally notified to the competition watchdog in February 2023.

Following an extended preliminary investigation, it determined in June that a full investigation was required to establish if the proposed acquisition would lead to a substantial lessening of competition in the State.

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Competition

In the course of its investigation, the CCPC stated that it examined how the proposed acquisition would affect competition in several potential markets, including the purchase of live cattle for slaughter within a 100km radius of Kildare Chilling’s slaughterhouse and in the State, the purchase of live lamb and sheep for slaughter in the State, the sale of fresh lamb and beef meat to grocery retailers in the State and the sale of fresh lamb and beef meat to industrial processors in the State.

The commission said that it “engaged with a wide range of third parties and issued requests for further information to both Dawn Meats and Kildare Chilling during this review”.

“Following detailed examination of the evidence available, it is apparent to the CCPC that there will remain a sufficient number of competitors in each of the potential markets considered, and that Dawn Meats and Kildare Chilling are not particularly close competitors in any of these potential markets.

“As a result, the CCPC has determined that the proposed acquisition will not substantially lessen competition and can be put into effect,” the watchdog said on Friday.

The CCPC will publish its full determination on its website no later than 60 working days after the date of the determination and after allowing the parties the opportunity to request that confidential information be removed from the published version.

Kill data

As previously reported by the Irish Farmers Journal, Kildare Chilling is one of the last ‘independent’ meat processors in Ireland which is not controlled by either Dawn Meats, ABP or Kepak.

In 2021, Kildare Chilling slaughtered around 555,000 sheep, accounting for around 20% of the national kill, and around 70,000 head of cattle, 4% of the kill.

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Further consolidation in beef and sheep processing

Competition watchdog stalls Dawn Meats' purchase of Kildare Chilling