The government supports the capacity enlargement project worth HUF 15 billion of the Kisvárda poultry processing plant of MasterGood Kft. with a grant of HUF 3.4 billion, Minister of Foreign Affairs and Trade Péter Szijjártó announced.

The Minister welcomed the fact that the business with a history of almost a hundred years has decided on yet another investment after an earlier project worth HUF 24 billion as, he said, the success of the national economy depends on family businesses. He highlighted at the same time that the Kisvárda project is the first beneficiary of the new grant category promoting technology-intensive investments introduced by the Hungarian Investment Promotion Agency (HIPA). This new category was created in light of the fact that, with the approach of full employment, only the improvement of the productivity of work places can bring about further development, and therefore technological developments can be the pledge of the preservation of competitiveness.

The Minister referred to the food industry as one of the most innovative sectors due to the ever higher expectations and ever more stringent regulations prevalent in the industry. He added that with an 8% increase in the first six months of the year, the food industry in Hungary generated a production value of HUF 1,500 billion, and is responsible for almost 140,000 jobs. Last year MasterGood had a sales revenue of HUF 69 billion, and sold almost three quarters of its products abroad, in 40 countries around the world, Mr Szijjártó said.

László Bárány, Managing Director of MasterGood Kft. said that with this technology- and knowledge-intensive investment, the Kisvárda plant will be among the six largest European poultry processing plants. In the second year following the development the company group’s sales revenues may increase by 50 per cent, while in the long run the project may enhance their capacity to attract capital and potential for growth. He added that in the coming years the wages of workers may increase by double-digit percentage figures, and the 450 suppliers, too, will be able to rely on a secure living. Within eight to ten years the incomes of the company’s employees – similar to the wages of all workers in Hungary – may double, the managing director said. Mr Bárány stressed that poultry processing remained one of the driving sectors of the Hungarian food industry also after the fall of communism, and is able to increase its output by 5 to 7 per cent annually, he added.

Tibor Leleszi, Mayor of Kisvárda said the settlement has launched a training programme for food industry engineers in accordance with the company’s labour needs as, he pointed out, the development will require not only manual workers, but also highly qualified experts. The new project is particularly important for Kisvárda because it may encourage local youths to stay in the settlement by creating new job opportunities, he added.