Milkiland, a dairy group with assets in Ukraine and Russia, plans in February 2013 to commission Ostrowia, the reconstructed cheese factory in Ostrow Mazowiecka of Masovian Voivodeship, Poland, reads a quarterly report of the group.
The report says that in spring, after respective permissions are in
place, Milkiland could start exporting new products to group’s natural
markets in Russia and Ukraine from Poland, thus decreasing the risks of
Russian imports bans.
Milkiland said that the reconstruction of the plant was started in November.According to the business plan, by the end of 2012 Milkiland will
have to invest EUR 3.5 million in order to launch the Ostrowia facility
and adjust it to requirements of CIS markets.
Also, the acquisition of the factory allowed Milkiland to establish its footprint in EU, the largest dairy market globally.
The report says that also, in 2012 the Group has set into motion its
backward integration plans and started construction of 2 dairy farms,
the first one of 6,800 milking cows stalls to be launched in the
beginning of 2013. The investments in the construction in 9 months of
2012 amounted to EUR 17.6 million.
When operated at full capacity, such farm will provide 40,000-45,000
tonnes of milk annually, improving Milkiland’s margins and adding to
volume growth.
Milkiland Group is a top five CIS diversified dairy producer
operating in Russia, Ukraine and Poland. In Ukraine, the group operates
10 plants and offers a wide range of fresh dairy, cheese and butter
under the Dobryana and Kolyada brands.
In July 2012, Milkiland bought Mazowiecka Spoldzielnia Mleczarska Ostrowia.
Milkiland EU sp. z o. o., a newly established Polish subsidiary of
Milkiland N.V., on July 31, 2012, acquired 100% shares in Polish-based
Emir 10 sp. z o. o., a company that owns the business of former
Mazowiecka Spoldzielnia Mleczarska Ostrowia. The acquisition price
comprised EUR 12.1 million.
