KOMOS GROUP can increase the export of dairy products to 7.5 thousand tons by 2022

- We started our export activity in 2017 with deliveries to the territory of Kazakhstan, and in 2019 we were the first among Russian dairy processors to send an official batch of dairy products to China. Today, the export geography of the agricultural holding KOMOS GROUP includes seven foreign countries, and we hope that next year it will expand to a number of countries in Southeast Asia, the Middle East and the United States, the expert said.

According to him, the main types of exported goods are still ultra-pasteurized dairy products, ice cream and pork.

- In the future, we have high hopes for dry dairy products, as thanks to the Government of the Russian Federation and the Ministry of agriculture, this year Russian producers have the opportunity to export this type of product to the Chinese market. So, our production site Glazov-Moloko, specializing in the production of evaporated milk formula, has already received all the necessary permits from the Rosselkhoznadzor, and is currently undergoing final approval for inclusion in the Chinese CIFER system, which regulates imports to China. I hope that at the beginning of next year the first batch of Glazov-Moloko products will be sent to China, said Andrey Shutov.

The expert believes that there is not a single branch of agriculture in the Russian Federation that the pandemic would not have a negative impact to one degree or another. In addition, export activity, in his opinion, was one of the first to suffer. Back in March, KOMOS GROUP had to partially adjust all export plans and temporarily suspend shipments of certain types of dairy products and eggs.

Andrey Shutov said that, in particular, the company began to experience the first difficulties in working with China at the beginning of the year, when the Chinese side introduced strict restrictions on vehicle traffic related to increased control over the spread of COVID-19. Moreover, since the company's products were delivered to China mainly through the land border of Zabaykalsky Krai, Primorye and Buryatia, this significantly complicated the process of delivering goods to the destination.

The expert added that now the checkpoints of Zabaykalsky Krai and Buryatia are still closed, and Primorye is working intermittently. Therefore, the only way for KOMOS GROUP to carry out export logistics is to use sea refrigerated containers. At the same time, Andrey Shutov noted that, unfortunately, this delivery method is not available for many Russian manufacturers due to low service and high cost, which negatively affects the competitiveness of products.

Andrey Shutov said that today the company supplies products to the countries of the Customs Union - Belarus, Armenia, Kazakhstan and the countries of Central Asia - Uzbekistan, Tajikistan, Mongolia, as well as to China. According to him, the latter destination is the most promising for LLC KOMOS GROUP, since the Chinese market has unlimited potential.

- The demand for our dairy products remains stable in the countries of the Customs Union. Post-Soviet countries are also a priority. We have a similar mentality, culture and structure of dairy products consumption, so we get positive responses from consumers to products under our brands. For example, in early December, we made the first delivery of milk under the brand Selo Zelenoe to Uzbekistan, and now we are preparing for deliveries to Azerbaijan. We are also planning to make the first delivery of dairy products under our brand to the United States by the end of 2020, said the managing shareholder of LLC KOMOS GROUP.

As for meat products, according to Andrey Shutov, they are mainly exported to East Asian countries: China, Mongolia, and Vietnam. So far, the volume of deliveries is relatively small – this year it amounted to a little more than 1 thousand tons.

Andrey Shutov concluded that by the end of 2020, it is expected that the volume of exports of meat and dairy products of KOMOS GROUP in monetary terms will amount to 30% of the total volume of regional exports of agricultural products of the Udmurt Republic. As for the company's export plans, by 2022 the company hopes to increase the total volume of deliveries of dairy products to 7.5 thousand tons per year.

Earlier we wrote that, according to the Federal state budgetary institution AgroExport, for the year Russia increased the supply of meat and dairy products to other countries by 42%.

Thus, in value terms, exports amounted to 1022 million tons, while the cost of one ton of these products decreased by 1% and amounted to $ 1,657 per ton. In 2019, a ton of meat and dairy products cost $ 1,672.

China ($290 million), Kazakhstan ($177 million), Ukraine ($137 million), Belarus ($79 million), Saudi Arabia ($39 million), Uzbekistan ($13 million), and some EU States ($3 million) are traditionally the main countries for exporting Russian meat and dairy products. Deliveries to other countries totaled $317 million.

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