Brazil’s position in the global frozen potato market is strengthening, as a major expansion of the industrial facility in Araxá, Minas Gerais, has been announced with an investment of approximately €320 million (R$ 1.8 billion). The project, led by McCain Foods, will add new French fry and pre-formed potato product lines, significantly increasing national production capacity and reducing import reliance.

The expansion marks a new phase in Brazil’s rise as one of the world’s most dynamic potato processing markets. Since 2022, the Araxá site has been at the centre of McCain’s South American strategy, following successive investments including the opening of the plant itself and the acquisition of Forno de Minas in 2023.

The new lines are scheduled to begin operations in the second half of 2027, supporting the retail, cash-and-carry, and foodservice segments, including the fast-food sector. “Brazil is on track to become the third-largest market for frozen French fries globally, positioning itself as a strategic priority for McCain,” said Aluizio Periquito Neto, Managing Director of the McCain Brazil group. “This investment reaffirms the importance of the Brazilian market to our business and our ambition to grow in a consistent and responsible way.”

The project also includes new raw-potato storage facilities to ensure year-round supply and expanded cold-storage capacity for finished frozen goods. More than 350 new jobs are expected to be created in Araxá, with over 1,000 agricultural professionals involved through regional partnerships and supply contracts.

Sustainability standards form a key pillar of the initiative. The Araxá site already operates entirely on renewable energy and has achieved BSI carbon-neutral certification for Scope 1 and 2 emissions. “Driving sustainable practices in everything we do and caring for the planet have always been global priorities for McCain — and the expansion of the Araxá plant will be no exception,” Periquito Neto added.