Cherkizovo Group buys pork complex in Lipetsk Region
New facility, purchased for US$4.5 million, allows group to expand pork production
Cherkizovo Group, Russia’s largest vertically integrated meat manufacturer and processor, recently purchased a pork complex in the Lipetsk Region with breeding facilities for 2,500 head of pigs. The transaction cost RUB250 million US$4.5 million.
The new asset will enable Cherkizovo Group to expand its pork production capacity to 52,000 head or 6,000 tons of pork in live weight per year. The pork complex is located in Izmalkovsky District, Lipetsk Region, and includes three breeding facility buildings, a one-building rearing facility and seven buildings used for fattening facilities.
The complex is equipped with modern waste treatment facilities and complies with international environmental standards. All buildings are outfitted with cutting-edge Big Dutchman equipment for industrial pork production.
Cherkizovo Group has six full cycle pork complexes in the Lipetsk Region with capacity of 5,700 sows each. The purchase of the new module will help promote future growth of the company’s business in the Lipetsk Region and is expected to ensure synergy with its other assets in the region.
Cherkizovo’s Pork Division has shown a steady growth since the early 2000s, reaching the benchmark of a million pigs per year by 2011. In 2014, the company’s facilities had bred more than 1.5 million pigs, while Cherkizovo Group maintained its position as one of the three leaders in the rating of the National Pig Farmers Union.