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Russia's ABH Miratorg's Operational Activity for 2011

by 5m Editor
29 February 2012, at 9:11a.m.

RUSSIA - In the year 2011 Miratorg Agribusiness Holding consolidated its status of the leader in pork production as well as became the biggest fodder manufacturer in Russia. The total volume of Holding’s implemented investments amounted RUR 55 Bln. The number of work places provided by MIRATORG was increased to 9000.

President of Miratorg Agribusiness Holding Viktor Linnik pointed out: "All the plans for the year 2011 were implemented in full, which enables us to speak about our successful, dynamic development and the right strategy. In the year 2012 Holding faces a number of important tasks, including launching of a hi-tech Semi-finished Foods Processing Plant in Kaliningrad Oblast, commissioning of new Feed Mill and Soya Extrusion Plant in Belgorod Oblast, as well as completion of the construction of the great number of facilities within the framework of beef production project implementation, pig breeding and poultry operations in Belgorod, Bryansk, Kaliningrad and Kursk Oblasts. I am sure the company will successfully cope with all the tasks."

Crop production

In the year 2011 the aggregate volume of grain crops obtained by Miratorg Agribusiness Holding in the course of harvesting campaign amounted 228 thousand tons, which is by 30 per cent more than in the year 2010 (176 thousand tons). In addition to it 123 thousand tons of non-grain crops (hay, silage, haylage) was harvested in the year 2011.

In the year 2011 the Holding’s cultivated area was increased by 84 thousand hectares and amounted 215 thousand hectares, which is by 51 per cent more than in the year 2010 (131 thousand hectares).

Fodder production

Following the results of the year 2011 the aggregate volume of Miratorg Agribusiness Holding’s fodder production amounted 425, 5 thousand tons which is 53 per cent more than in the year 2010 (278 thousand tons). In the year 2012 the commissioning of the third Feed Mill Plant with an Elevator is scheduled in Belgorod Oblast’ as well as the forth Feed Mill Plant in Bryansk region. Production capacity of each plant is 360 thousand tons of feed per year. Rated production capacity of 4 feed mill plants will amount 1, 46 million tons per year, and the aggregate one-time storage capacity is 330 thousand tons per year. Scheduled volume of feed production in 2012 will amount 762, 7 thousand tons, which will make it possible to provide 2, 1 million of pigs in the Holding pig complexes with feed in full within the year 2012. Miratorg Agribusiness Holding processing plant is currently the biggest feed manufacturer in Russia.

Pork production

In the year 2011 semi-finished foods processing plant reached the figure of 1 million of heads for one-time keeping in pig complexes of Miratorg Agribusiness Holding. In the year 2011 the volume of pork production amounted 170, 2 thousand tons in live weight, which is by 24 per cent more than for the same period of the year 2010 (137, 6 thousand tons). Production growth is based on launching new lines of pig complexes in Belgorod Oblast’. Based on the results of the year 2011, breeding sows stock (main herd) amounted 90 thousand heads, which is by 62 per cent more than in the year 2010 (55 thousand tons).

Production plan for the year 2012 stipulates 280, 9 thousand tons in live weight, which is by 110, 7 thousand tons more than in the year 2011 and by 143, 3 thousand tons more than in the year 2010. Production increase is conditioned by the increase of the main herd to 110 thousand heads. In the year 2012 stocking and commissioning of 4 lines of new complexes for 20000 breeding sows of the main herd is scheduled in Kursk Oblast.

Meat processing

The volume of production of the Meat Processing Plant CJCS "Pig Complex Korocha" of the Miratorg Agribusiness Holding (Belgorod Oblast’) amounted to 128 thousand tons in 2011. Despite the decline in purchases of third-party live pigs, we managed to keep the volume of primary processing at the level of the year 2010, to increase the production of foods in the industrial packaging by 2 per cent, in retail packaging – by 210 per cent, increase the production of natural sausage casings by 34 per cent, of dietary fat by 13 per cent, of blood-products by 8 per cent.

Distribution

In 2011 Miratorg Agribusiness Holding continued implementation of the strategy of import substitution. The sales exposure of our own products via the distribution business unit of the Holding amounted to 121.5 thousand tons. Total sales volume of the distribution business unit of the Holding Company is 289.3 thousand tons for 12 months of 2011.

The implementation of the beef production project

In 2011 as a part of the beef production project Miratorg Agribusiness Holding constructed 14 farms in Trubtchevsk, Potchep, Surazh, Mglin and Unecha regions, placed cattle on six farms in Trubchevsk and Pochep regions. Each farm is designed for raising three thousand heads of cattle. The total amount of the cattle of the Holding in Bryansk Oblast’ is more than 20 thousand. By the end of 2012 the Holding plans to complete construction and place the cattle on 16 farms, the planned amount of breeding stock in Bryansk and Kaliningrad Oblasts is 80 thousand heads by the end of the year.

The implementation of the poultry project

At present Miratorg Agribusiness Holding is constructing three Broiler Chicken Enterprises, as well as a modern Meat-processing Complex, Feed Mill Plant and Elevator in Vygonichi Region of Bryansk Oblast.

The construction of six of the twelve planned Poultry enterprises has been started in Trubtchevsk Region of Bryansk Oblast’.

The construction of parent stock and rearing flock enterprises, 4 broiler chicken farms, as well as a hatchery and a structure are scheduled for the year 2012.

The construction of the semi-finished foods processing plant

In Kaliningrad the construction of the plant for producing semi-finished food "Concordia" has entered its final stage.

Currently the following construction works have been completed:

  • Installation of all the external sewer networks into the existing networks;
  • Restoration of all the industrial building adjacent to the buildings;
  • Construction of the equipment for comprehensive analysis and testing of products in a specialized laboratory;
  • Restoration of the building for production of semi-finished foods, the total area of it being more than 23,000 m2, including concrete floors, walls, partitions and roofing.

The construction of the production lines equipment in the industrial premises is coming to an end, the finishing work is being carried out, including landscaping of the adjacent territory.

The construction of technological piping on technical floors is being carried out for connecting the equipment.

The completion of the construction and the equipment testing are scheduled for March 2012.