By Majella O'Sullivan
Tuesday October 07 2008

The new owners of Cappoquin Chickens are expected to focus production on the halal market.

The owners of Derby Poultry, Perwiaz Latif and Zahid Hussain, who bought the Co Waterford company last week, are already involved in producing meats for the UK Muslim market.

The sector is said to have a lucrative market and is more immune to price pressures from cheaper imported chicken.

The company is said to want to set up a hatchery at the plant.

IFA's poultry committee chairman, Ned Morrissey, said producers would be seeking an early meeting with the pair to discuss new contract terms.

Mr Morrissey said chicken growers would need concrete reassurances from the new management about the price that will be paid to producers.

He said growers have suffered losses in the past and will only enter into an arrangement if it has a viable margin for them.

Meanwhile, workers at the plant staged a work stoppage on Monday as negotiations continued over pay and conditions.