Ukrainian oligarchs have decided to change cows pigs

All because of - tough competition
Oink oink-first …

In the past five years among the Ukrainian oligarchs became fashionable to invest in livestock. But if most quickly pays for busy poultry Yuri Kosyuk and Eugene Segal, the second fastest refund meat industry - pig - a long time remained “unemployed.” If there was, and large industrial companies, as a rule, these were the enterprises built in Soviet times. Gradually, they moved under the control of the oligarchs, but talk about a qualitative breakthrough for the industry was not possible.

It is true that around the mid-2000s investment in the Ukrainian oligarchs pig sharply intensified. By investing in agriculture, they tried to diversify the risks of their businesses in other industries such as metallurgy, chemical industry, food industry, etc. One of the first pig engaged Boris Kolesnikov, now vitsepremer Minister. In 2006, the Donetsk region began construction of a large pig farm, “AIC-Invest”, which was a few years to take the lead in the pork market is not lost and the time and foreign investors. In 2004, Ivano-Frankivsk region started the project of “Danosha”, and in 2006 in Lviv - the company “Galicia-Zahid.” These companies were founded by investors from Denmark - a country with a strong pig industry.

However, a few years, thanks to active investment in Ukraine, there was overproduction of pork and, consequently, a drop in production. According to State Statistics Service of Ukraine, September 1, the number of pigs was 8.1 million, which is 3,2% less than on the same day of the previous year. It is noteworthy that the decline of livestock in large farms, there was significantly more than in the backyards of the population. Accordingly, the “cool down” and the desire of investors, both Ukrainian and foreign, to invest in Ukrainian pig.

… and then moo-moo

Fierce competition in the pork market has forced the oligarchs to diversify their risks in animal production at the expense of other sectors. True, the choice of not particularly great. In addition to poultry and swine, is perhaps that is another industry: cattle ranching. Not for meat and milk, because of the low culture of consumption of beef production in Ukraine still continues to be unprofitable.

One of the first in the mid-2000s a major investment in dairy farming began to pour the owners of “Astarte-Knev.” But the basic “flow” of oligarchs in the industry occurred in 2010-2011. First, Rinat Akhmetov and Vadim Novinsky gained control selhozaktivami boiler. Illich. A little later, and so increased the high position Oleg Bakhmatyuk. This occurred through the purchase of “Rise”, which controls one of the leading manufacturers of raw milk - the company “Rice-Maxim.”

31 October 2011

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