March 22, 2006
Russian group to invest EUR120 million in pig farm
The Russian Siberian Agrarian Group is investing EUR120 million in the construction of a farm which will hold 205,000 pigs, according to the administration of the Tyumen region Tuesday (Mar 21).
Some 20 percent of the project's cost is being covered by the group's own funds, with the rest being borrowed on the financial markets. According to the regional government, the project will recoup itself within eight years.
The holding has been allocated a land site with an area of 15,000 hectares by the regional government. The site is situated within 40 kilometres of Tyumen in one of Russia's main oil-producing areas.
The farm will supply pork to the whole of West Siberia.
The first phase of the farm, containing about 15,000 pigs, will be commissioned in the spring of 2008 with an annual output of 34,500 tonnes.
Later, the farm will be expanded and a slaughter house and a pork processing plant will be constructed at the site.
The Danish company AIB Consult Ltd is consulting the Siberian holding on the project and will organise the management system on the farm. The Danish company will also supply sows for the farm.