Russian pig giant to build 40 new locations

The Russian meat group Cherkizovo plans to start 40 new companies (each with about 20.000 pig places). With this, the company wants to respond to demand from China.

The construction project is being realized in the Russian region Penza† In this region, Cherkizovo already produces approximately 30.000 tons of pork annually. The intention is to scale up production to 5 tons in the next 7 to 300.000 years.

To achieve this objective, 40 new locations with approximately 20.000 pig places are now being built. Such a location is good for an annual meat production of 5.100 tons, live weight. The investment cost is estimated at $9 million per location.

Merunas UAB
Sales are mainly focused on China, which is reportedly opening the border for Russian pork soon. According to Igor Babaev, the chairman of Cherkizovo, the Chinese pig market offers a lot of potential. This is because China has 600 million pigs and Russia 'only' 40 million.

Wouter Job

Wouter Baan is Head of Meat & Dairy at BoerenbusinessAt DCA Market Intelligence, he focuses on dairy, pork, and meat markets. He also monitors (business) developments within agribusiness and interviews CEOs and policymakers.

w.baan@boerenbusiness. Nl

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