July 28, 2006

Chinese soy processor ramps up capacity to supply Russia

Chinese soy processor Celestial Sun Moon Star Protein has announced the opening of a new production plant that gives it the largest capacity in the country.

The firm opened a new factory in June in Heilongjiang province, which added a further 15,000 tonnes to its capacity. The company now has more than 37,000 tonnes of soy protein capacity at three plants.

The expansion would allow it to boost exports to Russia and Ukraine where there is strong demand for use in processed products.

Frank Zhu from the firm's export department said that the company currently exports about 20,000 tonnes a year. At least 40 container loads are go to Russia and Ukraine each month.

Russia's per capita meat consumption has grown from 40kg to 50-55 kg presently. The country hopes to achieve a 70 kg per capita consumption and is urging its producers towards the goal.

Current meat demand in Russia is outstripping supply as cattle and sheep numbers continue to decline.

By using soy protein in processed products like ham and burgers allows manufacturers to reduce the cost of importing meat and also benefit the texture and functionality.

Celestial is also applying for certification of non-GMO source of its soy products to improve its prospects to the EU market.