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Ukraine firm sees big rise in poultry exports

By Vladislav Vorotnikov , 06-Feb-2013

Ukraine firm sees big rise in poultry exports

Ukranian agricultural holding MHP has reported a strong increase in poultry exports in 2012.

The company, currently the largest poultry producer in Ukraine, exported 58,000 tonnes (t) of chicken meat in 2012, a 65% increase in the export volumes of 2011.

Chicken exports in the fourth quarter of last year increased almost by three times compared to the same period of 2011 and amounted to 25,400t, according to the press service of the company. The company also reported a slight rise in key performance indicators.

“MHP’s production of chicken meat has increased by 20,000t in 2012, or 5% year-on-year, largely due to the launch at the end of the year of the industrial Vinnytsia poultry farm, which produced 20,000t of meat, as well as efficient use of the main assets of the company, all of which have been working at full capacity,” said the company in a statement to the press.

The average price of MHP chicken in the last quarter of 2012 fell by 1%, but overall for the year increased by 14%. In coming years, MHP plans to further boost poultry export, as the company will start supplying poultry to EU this summer.

“From the summer of 2013 we will export around 100-120t of poultry per month [to the EU]. In the future, we are considering increasing the volume of exports to Europe. Currently, the main export destinations of MHP [poultry] are the countries of the Customs Union (CIS), Asia and Africa,” said MHP spokesperson Anastasia Sobotyuk.

Experts have claimed MHP may increase exports of poultry products to the EU to 20,000t per year over the next few years, thus providing more than 60% of all exports of poultry from Ukraine to the EU. According to Karen Fisher, an expert at the Ukrainian Agribusiness Club, only two Ukraine companies will actually supply chicken to Europe – MHP and Agromars. In total, these two countries will account for 30,000t of poultry per year.

“These companies have the necessary capacity, which they can increase at any moment. Few market players meet these criteria. alhough that could change in future,” she said.

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