February 7, 2020
Russia's Cherkizovo Group exported 38% more in 2019
Cherkizovo Group, Russia's largest meat producer, reported that its global exports in 2019 totalled 50,000 tones, a significant increase of 38% over the previous year. In monetary terms, the company's overseas sales surged 78% to RUB5.7 billion (US$90.26 million).
This growth was mostly driven by the poultry market, which recorded a 50% increase to 34,000 tonnes following China's decision to open up its market to Russian companies last year. This market accounted for over 40%, or 14,000 tonnes, of the company's poultry exports.
Export sales of chicken increased 131% to RUB3.8 billion ($60.1 million), while those of turkey increased 33% to RUB200 million ($3.2 million).
"The green light given to Russian poultry by China has been a major factor in the rise of Cherkizovo's exports. A number of lucrative contracts were signed with Chinese partners in 2019, allowing Russian companies to supply a wide range of poultry products, including the country's favorite chicken feet, along with chicken thighs, hips and breast fillets, all of which are set to appear in the largest local retail chains and restaurants", said Andrei Terekhin, head of exports at Trading Company Cherkizovo.
Cherkizovo Group's pork exports increased 35% to 11,000 tonnes valued at RUB1.3 billion ($20.52 million), up 25%, while turkey sales shrank 10% to 1,500 tonnes, valued at RUB200 million ($3.16 million), up 33%.. Sausage exports plateaued, remaining at their 2018 level of 4,000 tonnes. Sausage sales brought in RUB400 million ($6.32 million), up 12% from last year.
"In 2020, Cherkizovo plans to carry on significantly boosting its exports by expanding its offering and sales channels in the existing markets and, also, by penetrating new markets in Africa, the Middle East and Southeast Asia", Mr. Terekhin said.