April 19, 2013

Ukraine's MHP poultry production rises 15% in Q1 2013

Due to the gradual launch of the Vinnytsia poultry complex since the end of 2012, Ukrainian meat producer MHP increased overall poultry production by 15% to 103,420 tonnes in the first quarter of 2013.

During the first quarter of 2013, the volume of chicken meat exports increased and reached 23,200 tonnes which almost triples export volumes of the first-quarter of 2012. During the period the company significantly increased its export sales to Middle East, Asian and African countries.

Sales of chicken meat to third parties in the first-quarter of 2013 increased 8% reaching 91,720 tonnes of chicken meat compared to 85,040 tonnes in the first-quarter of 2012.

According to the company, all production sites of the Vinnytsia complex are operational and are gradually increasing their capacity outcome. Currently six chicken rearing zones are operational and three more rearing zones will be constructed and launched into operations by the end of the year. As a result, it will increase MHP annual chicken meat production volumes by 60,000-80,000 tonnes in 2013.

The average chicken meat price through the first quarter of 2013 decreased by 3% to UAH16.33 (US$2) per kilogramme of adjusted weight excluding Value Added Tax (VAT) when compared to the first-quarter 2012, due to the increased share of export in total poultry sales (as a result of lower price for frozen chicken (export) compared to the fresh).