February 18, 2014

 

Russia's Miratorg increased pig production by 31.5% in 2013

 

 

Russia's leading meat producer, ABH Miratorg, continues to lead the pork sector in Russia in 2013 with a 31.5% increase in pig production to 356,000 tonnes in live weight, while sales volume amounted to 434,000 tonnes in 2013, an increase of 18.6% from last year.

 

The holding continued to consistently increase sales of its own products under the strategy of import substitution.

 

Four pig farms started by the company in the Kursk region in 2012 have reached full capacity of 50,000 tonnes in live weight per year and four more pig farms were operational in the fourth quarter of 2013, increasing production capacities in the region to 80,000 tonnes per year.

 

Miratorg will continue to implement the strategy aimed at improving efficiency and cost reduction in its pig farming division, as well as improving performance indicators of related business subdivisions within the framework of the Holding's vertically-integrated structure.

 

Further down the meat chain, the production volume of CJSC (SK Korocha), Miratorg's meat processing plant in the Belgorod region, amounted to 274,600 tonnes in 2013, marking a 41% increase as compared to 194,600 tonnes in 2012.

 

In the fourth quarter of 2013, the Company launched Russia's first high-tech "case-ready" plant with a capacity of 72,000 tonnes of product in consumer package per year. The new production lines will ensure over four-fold growth in the output of high value-added and retail market-oriented products.

 

Also in 2013, a new high-tech chilling chamber with a capacity of 8,310 half carcasses was put in operation, increasing the overall storage capacity by 40% to 20,300 half carcasses, which allowed an increase in the slaughtering capacity to 8,200 heads per day.

 

LLC Miratorg Zapad, a subsidiary of ABH Miratorg producing semi-finished frozen meat products at a state-of-the-art plant in the Kaliningrad region in Russia increased production volume and product sales to 23,000 tonnes in 2013. The Company increased production volume by 30% in the second half of 2013, as compared to the first half of the year. One of the breaded product processing lines was transferred to a 24-hour operating schedule.

 

The Company increased production of its own brands (Miratorg, Gurmama), as well as the products for long-term partners: McDonald's, Burger King, Carl's Jr., and for new clients: SHAKE SHACK chain restaurant, IKEA, KFC and Pizza Hut restaurants.

 

In 2013 Miratorg Zapad was awarded IFS (International Food standard) and SQMS (supplier quality management system) certification, as well as passed product quality traceability audit at all production stages – from raw material intake to finished products shipment to client.