The company confirmed it plans to gradually invest RUB6 billion into its livestock project in the Smolensk Oblast region between now and 2030. This will mean the total investment going into the project will be around RUB8bn, after Bryansk Meat Company previously confirmed a RUB2bn investment push.
The plans will include the building of cattle farms in Bryansk, Oryol, Kaluga, Smolensk and Tula regions of Russia. It forms part of a wider ambition from the company to increase its beef population herd dramatically – by the end of 2018 it hopes to have around 600,000 head of cattle. It will see the company develop what it hopes will be the largest herd of Aberdeen Angus cattle in Europe.
Russia’s food security problem
Phase one of the investment is expected to take place this year. The company plans to use around 20,000 hectares of land (200sq km) to build four farms and a logistics centre.
“As part of the additional agreement, we plan to eventually build in the region of eight new farms, to expand our land bank to 40,000 hectares, helping to create over 400 new jobs,” said Sergei Kulikovskii, general director of Bryansk Meat Company. “Our priority: the effective development of the project to the ensure production of domestic high-quality beef, with the approach of also solving the problem of food security in Russia.”