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News 1650 views update:Mar 9, 2016

Agrofirma Hertzevskaja expands turkey project

Russian turkey producer Agrofirma Hertzevskaja will construct and launch the third and fourth production sites for rearing and fattening of turkey at its complex in Belgorod Oblast in Russia.

The new project will be completed by the beginning of 2016, rising the total production capacity from the current 2,600 tonnes to 4,800 tonnes.

Economical crisis

Today's economical crisis in Russia brought changes in investment plans of the company. Initially it was planned to complete the project by the end of 2015, and increase the total production capacity of the complex to 5,200 tonnes per year. The company took a break to asses the market conditions. Now it is expecting to receive state support in the form of a soft loan from Russian state-owned bank Gazprombank.

Reconstruction of outdated poultry production sites

"Now we are negotiating with Gazprombank. So far it is not clear whether the project will involve the building of entirely new production sites or rather the reconstruction of old, outdated poultry production sites. The investment is expected to amount to US$ 3.2 million," said a spokesperson of the company.

Earlier the governor of Belgorod Oblast, Yevgeny Savchenko, said that the Belgorod Corporation "Development" is ready to become a co-investor of the project for expansion of the turkey complex. It is still unknown if Agrofirma Hertzevskaja will take on this project individually or with co-investors.

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