23 Jan 2024 16:07

Russia's EkoNiva dairy holding opens rep office in China

MOSCOW. Jan 23 (Interfax) - EkoNiva Group of Companies, Russia's largest producer of raw milk, has opened a representative office in Xi'an, China, Trade House EkoNiva (Xi'an) Dairy Co.

The company's press release said that the rep office's main functions are commercial activities aimed at increasing the export of dairy products to China, increasing awareness of the EkoNiva brand and expanding the range of supplied products. "With its own representative office, the company will be able to more actively negotiate and conclude contracts for the supply of dairy products, bypassing intermediaries. Thanks to the new trade house, EkoNiva intends to expand its participation in various industry exhibitions and events in China," the press release said.

The office in Xi'an is open and operating. The choice of city was determined by its geographical location and convenient logistics. It is the administrative center of Shaanxi Province and plays an important role in the international economic and cultural interaction of the central and northern regions of China. In addition, it is a major land transport hub. Rail routes connect Xi'an with Russia, European countries, and other regions of China.

EkoNiva began supplying dairy products to China in the summer of 2020, the press release said. The group exports classic UHT milk, as well as Professional Line UHT milk. Total exports to China during this period reached nearly 1,400 tonnes, over 400 tonnes of which were shipped last year. Shipments arrive by sea and by road, and the opening of a representative office will make it possible to use railway transport. The first shipment by rail is scheduled at the end of January, and will be comprised of UHT milk and cream.

Currently, EkoNiva is undergoing certification to supply products with a short shelf life to China, namely yogurts and desserts.

EkoNiva Group was founded in 1994 by entrepreneur Stefan Duerr. It manages assets in 13 Russian regions: Voronezh, Kaluga, Kursk, Leningrad, Moscow, Novosibirsk, Orenburg, Ryazan, Samara and Tyumen regions, as well as in the Altai Territory, Bashkiria and Tatarstan. The main dairy division of the group is comprised of 40 modern livestock complexes. In 2023, EkoNiva produced 1.26 million tonnes of raw milk. Since 2013, EkoNiva has been processing milk and it operates four processing plants.

In addition, the group's enterprises are engaged in pedigree and beef cattle breeding, seed production, crop production and organic agriculture. The holding is one of the five largest owners of agricultural land in Russia with 630,000 hectares.