OREANDA-NEWS. ABH Miratorg, leading operator of Russian meat sector, informs of growth of key performance indicators within the period of January - June 2014.

Distribution

Miratorg sales volume has amounted up to 229 thousand tons in the first half-year period of 2014, that exceeds the indicator of 2013 by 9%. The company gradually increases proportion of own products in the total sales volume within the framework of import substitution strategy and increasing products yield, aimed for retail market.

Pork production

The company increased pork production by 4% up to 187,6 thousand tons on liveweight basis against 179,2 thousand tons one year earlier. This growth is conditioned with new sites in Kursk region attaining of production capacity. Miratorg still remains absolute leader in this section of the market with focus on efficiency increasing, cost reduction, production cost control, as well as improving of operational indicators of neighboring business units within the framework of vertically-integrated structure of the Holding.

Pork processing

The Holding goes on increasing volumes of pork processing. Largest in Russia meat-processing complex Korotcha has produced 141 thousand tons of finished products in the first half-year period of 2014, that exceeds the indicator for the similar period of 2013 by 12%. Production of ready-packed products grow in priority rates: 14,9 thousand tons within the period of January - June of 2014, that is 55% more than indicator of the first half-year period of 2013.

Semi-products production

Miratorg Zapad, Miratorg's subsidiary production unit, that produces frozen meat semi-products at high technology facility located in Kaliningrad region, has produced around 13,5 thousand tons of products within the first half-year period of 2014, which exceeds the indicator of the period of January - June of 2013 by 30%.

The company carries on developing and starting new types of products as under its own trademarks Miratorg and Gurmama, so for the clients in HORECA segment, number of which constantly grows. “Miratorg-Zapad” started supplying chicken semi-products to Russian IKEA chain restaurants in the second quarter of the year, and it is intentional to consolidate long-term partnership with the largest customers, chain restaurants McDonalds, Burger King, Сarl's Jr., Shake Shack and other market players. The facility successfully underwent recertification audit of compliance with the requirements of international standard IFS Food.V.6 in terms of quality and safety of food products.

Beef production project execution

ABH Miratorg carries on executing the biggest in Europe project to create vertically-integrated high-quality beef production according to the business plan.

Following the results of the first half-year period of 2014 total amount of cattle heads of specialized beef breed Aberdeen Angus at 33 company farms in Bryansk region increased by 29,6 thousand heads to 184,9 thousand heads.

The company has started feedlot, which is unique for Russia, capable to manage 45 thousand heads at a time in January. The feedlot is 54% full at the moment: there are over 24 thousand heads, and those gain weight with special fattening grain diet for further slaughter and processing at company's meat processing plant, which is scheduled to start-up in September 2014.

Miratorg also carries on executing cattle breeding project in Kaliningrad region. According to the business model, aimed to increase the amount of heads, quantity of new-born calves summed up to over 3400 heads in the second quarter of 2014. Five farms on the area of Ozerskiy and Nemanskiy districts have been commissioned and populated with cattle in Kaliningrad region in total.

Poultry project execution

The company carries on executing project of vertically-integrated production of broilers meat and semi-products with the capacity of 100 thousand tons of products per a year in Bryansk region within the framework of business diversification strategy.

The project operator Bryanskiy Broiler has commissioned hatchery with 75 million eggs capacity, high technology slaughterhouse and meat processing facility with 12 thousand heads per hour capacity in the first half-year period of 2014. The company started three broiler sites of seven projected ones, thus having built complete production cycle of poultry production - from poultry breeding sites for parent stock and replacement stock to commercial chicks growing and feeding. Total amount of heads at all company's sites exceeds 2,7 million heads and it will continue growing with startup of new 2 poultry breeding sites and 4 broiler sites, planned to start operating till the end of the year.

Poultry slaughter and processing facility, commissioned in the first quarter of 2014, produced over 5,3 thousand tons of finished products - chilled chicks carcasses and semi-products, sent to retail sale.

Feed production

Total volume of feed production by the Holding plants has increased up to 563 thousand tons in the first half-year period of 2014, that exceeds similar indicator of 2013 by 10%. The increase of this indicator is conditioned with production increase at high technology feed mill in Bryansk region that is aimed to supply feed for poultry project Miratorg. Calculated capacity of company's feed assets has increased up to 1,46 million tons of products per a year.