July 24, 2013
Ovostar's egg production rises by 30% on-year in H1 2013
Ukraine's Ovostar Union N.V. announces its operational results for the first six months of 2013 with its total flock increased by 26% to 4.4 million birds from 3.5 million on-year while laying hens flock increased by 37% to 3.4 million birds from 2.5 million birds on-year.
In the first half of 2013 egg production increased by 30% on-year to 422 million eggs from 324 million eggs on-year. The volume of eggs sold increased by 14% to 257 million from 226 million in the first half of 2012 while volumes of eggs exported increased by 18% to 24 million eggs. In the first half of 2013 egg selling price decreased by 8% to UAH0.60/piece (US$0.07) compared to UAH0.66/piece (US$0.08) in the first six months of 2012. Such a decline in price was attributed to the lack of traditional increase in egg price during Easter holidays, as in 2013 orthodox Easter has coincided in time with May holidays.
In January-June of 2013 the company processed 38% more eggs than in the first half 2012 reaching 136 million eggs compared to 99 million eggs during January-June 2012. In the first six months of 2013 the sales volume of dry egg products increased by 83% to 713 tonnes and sales volume of liquid egg products increased by 49% to 3,188 tonnes against the same period of 2012 at 389 and 2,133 tonnes, respectively. Average selling price of egg products changed insignificantly, reaching UAH45.30/kilogramme (US$5.57) for dry egg products and UAH14.95/kilogramme (US$1.84) for liquid egg products.
Ovostar's 2012-13 investment programme is being implemented in accordance with schedule. Additional grain storage capacities of 10,500 tonnes have been launched ahead of schedule on the Vasylkiv egg production site.
Ovostar's CEO Borys Bielikov noted, "Record high egg prices this summer season along with a decrease in grain price due to high volumes harvested make a good basis to achieve annual financial targets. Current market situation gives grounds to project lower fodder cost and higher product prices in the second half of 2013 compared to the first half of the year."
