Moscow, Russia – May 5, 2017 - Cherkizovo Group (LSE: CHE; MOEX: GCHE), the largest vertically integrated meat and feed producer in Russia, ranks first among Russia’s leading feed producers for the second consecutive year.
The ranking was prepared by Agroinvestor magazine after conducting market research of Russia’s top 20 feed producers in 2016. Their collective production volume reached 12.6 million tons, or 49% of total feed produced in the country, during last year.
Cherkizovo Group took the top position for the second year in a row after producing 1.6 million tons of feed for its own use in 2016. The majority of the Group’s feed - 67% - was allocated to the Poultry segment, with the remaining 33% used in Pork. The Group’s feed production grew by 75 thousand tons in 2016 as a result of the Voronezh and Bryansk feed mills reaching full operational capacity. The growth comes on the back of Cherkizovo’s solid operational performance in 2016 as production volumes in the Pork and Poultry segments increased by 9% and 6%, respectively.
Today, the Company operates 8 feed mills located in the Moscow, Lipetsk, Voronezh, Penza and Bryansk regions with total production capacity of over 2 million tons. The Group is fully self-sufficient in feed, covering the needs of its Poultry and Pork segments. In 2017, Cherkizovo expects to produce 1.7 million tons of feed to keep pace with the growth in production volume in the Pork segment.