World meat industry news

Leading beef producers in the Russian Federation - Bryansk Meat Company, Zarechnoye and Orenbiv - ended last year with net losses, according to their financial statements. Moreover, Bryansk Meat Company lost money after net profit in 2021, while Zarechnoye and Orenbiv reduced the negative figure.

Thus, the net loss of the Bryansk Meat Company, owned by ABH Miratorg, in 2022 amounted to 795.3 million rubles against a net profit of 669.1 million rubles in 2021. Gross profit decreased to 2.1 billion rubles from 3.5 billion rubles, respectively.

The company's revenue last year decreased by 5.5% to 46.4 billion rubles from 49.2 billion rubles a year earlier.

Miratorg is implementing a long-term strategy to increase the production of domestic meat within the framework of a full cycle "from field to counter". More than 100 farms in the Bryansk, Kaluga, Oryol, Smolensk, Tula and Kaliningrad regions keep 820,000 heads of livestock, and there are three sites for grain feeding. The immediate prospects are associated with an increase in the number of beef cattle to 1 million heads.

The Zarechnoye company (Voronezh region), created by businessman Sergey Nitsenko in 2008, reduced its net loss to 1.5 billion rubles in 2022 from 2 billion rubles in 2021. Gross profit increased to 1.2 billion rubles from 577 million rubles a year earlier.

The company's revenue increased by 13.4% to RUB 6.956 billion from RUB 6.136 billion in 2021.

The company unites 9 farms for rearing young animals, a feedlot (feeding area) for 70 thousand animals at a time. The total livestock is 105 thousand heads. The company also owns a meat-packing plant, the capacity of which is designed to produce 40 thousand tons of products per year and an elevator for the simultaneous storage of 30 thousand tons of grain. The land bank exceeds 100 thousand hectares.

Another major beef producer in the Russian Federation, Orenbiv (Orenburg region, owned by the Italian Inalca through TPF Cascade), also remained in the unprofitable zone, but reduced its net loss to 158 million rubles from 211.9 million rubles in 2021.

The company's revenue fell to 4.1 billion rubles from 4.3 billion rubles a year earlier.

The company's plant is designed to slaughter up to 100,000 head of cattle per year.

According to Rosstat, in 2022, the production of cattle in agricultural organizations of the Russian Federation amounted to 1.04 million tons, which is 3.5% less than in 2021.