Singapore Airport Terminal Services Limited (SATS) says wholly-owned subsidiary, Singapore Food Industries (SFI), has signed a joint venture agreement today with Jilin China-Singapore Food Zone Development Construction Investment Co. (JCS) and DaChan Food (Asia) Co. to set up a modern, integrated pig farm in Yongji County, Jilin province.

The new JV company — Jilin Zhong Xin Cheng Food Co. — is expected to be incorporated in the next few months, with a registered capital of RMB160 million ($32 million). State-owned enterprise JCS will hold a 40% stake in the JV company, while SFI and DaChan will each take a 30% equity stake.

First mooted by the Jilin City Government, the farm will constitute an integrated end-to-end supply chain, from feed mill and breeding to slaughtering and meat processing. The facility will be developed over six years in three phases.

The first phase will involve the start-up of pig breeder and model finisher farms for 100,000 pigs annually as well as a slaughterhouse. In the second phase, pig production is expected to increase to 300,000 pigs annually and a feed production facility will be set up. In the final phase, the pig production is expected to rise to 1 million pigs annually.