Advantages of the Eurasian Economic Union from an Austrian Company Perspective WKO Wien, WKO Forum Eurasian Economic Union_

Transcription

1 Advantages of the Eurasian Economic Union from an Austrian Company Perspective WKO Wien, WKO Forum Eurasian Economic Union_

2 AGENDA AGRANA at a glance AGRANA Fruit Moscow Region Business Opportunities in EAEU WKO Forum Eurasian Economic Union_

3 AGRANA AT A GLANCE THREE SEGMENTS AGRANA refines agricultural raw materials, turning them into a range of different industrial products to supply local producers as well as large multinational companies active in the food processing industry 26 FRUIT PREP PLANTS & 14 FRUIT JUICE PLANTS WKO Forum Eurasian Economic Union_

4 AGRANA FRUIT PREP WHAT IS IT ABOUT? Fruit preparations are components in dairy products, ice-cream, in baked goods or as fruit decoration Fruit preparations with Fruit pieces and whole berries Fruit fibers Homogeneous (puree and juice based) Non-fruit preparations: vanilla, chocolate, coffee, etc. (fat-containing and fat-free) Preparations with inclusion: nuts, cereals, seeds WKO Forum Eurasian Economic Union_

5 AGRANA FRUIT PREP- MARKETS AND CLIENTS AGRANA Fruit is the World Market Leader in Fruit Preparations with a global market share of > 30% We supply the Big Names in Dairy-, Ice Cream- and Bakery Industry around the globe The total Fruit Prep Production in Europe is approx. 2 mio tons p.a. WKO Forum Eurasian Economic Union_

6 AGRANA FRUIT MOSCOW REGION HISTORY Beginning of commercial activity in Russia - Import from Austria Opening of the representative office in Moscow Opening of the plant, work on 2 production lines Installation of line Installation of line Installation of line Plant expansion: new warehouse of finished goods and new dry warehouse New area for fruit prep, deep freezer, raw materials acceptance zone, storages 2014 Installation of homogenizer and new packing line for Food Service 2017 Upgrade line 3 and installation of the second BiB packaging line Continuous GROWTH CURRENT STATUS t production capacity p.a. 260 employees m² square WKO Forum Eurasian Economic Union_

7 THE EAEU IN RELATION TO AF MOSCOW PROS Customs duties and economic restrictions are not applied Unified legislation in terms of food regulations (food and beverage products; food ingredients) Free labor migration (no patent needed for citizens of member states) Possibility to pay in LOC (RUR) Import/Export operations cost optimization inside the Union Simplified business operations, transparent legislation and rules Personnel cost optimization for employer CONS Currency: costs and prices are still mostly linked to EURO or USD WKO Forum Eurasian Economic Union_

8 BUSINESS GROWTH OPPORTUNITIES EXPORT AF Moscow delivers fruit prep to main dairy producers of Russia RFCampina, Ehrmann having production sites in Russia and export dairy products to EAEU AF Moscow supplies multinational dairy producers Lactalis, Danone having production sites in EAEU AF Moscow delivers fruit prep to local EAEU Dairies : AF Moscow doubled the amount of customers outside Russia (+ 23% volume growth) NEW BUSINESS DEVELOPMENT European Dairy consumer habits expected to be transferred partly to Asia expected development of new product categories New tastes and product categories - traditional for Asia - introduced in Europe (salty fermented dairy drinks, herbs in dairy products) Country Yoghurt consumption kg/capita in 2017 Kyrgyzstan < 1 Armenia 2 Kazachstan 2 Belarus 3,5 Russia 5 Western Europe 16 Growth potential for dairy products in EAEU up to 15 kg/capita WKO Forum Eurasian Economic Union_

9 BUSINESS GROWTH OPPORTUNITIES RAW MATERIAL SUPPLY Import ban on IQF fruit of selected origins to Russia since 2014 Fruit sourcing in the EAEU southern areas development of local growers and suppliers on international quality standard for locally grown and processed fruit (IQF and purees) Strawberry, Apricot, Peach at very competitive prices with further development and export opportunities to Europe Sugar supply options choice between Russia, Belarus and KAZ - to optimize the costs and logistics Future candidate Tunisia might be a good source for raw material supply FREE MIGRATION Personnel: free migration of the population provides possibilities of personnel cost optimization and experience transfer However, labor force has a limited mobility WKO Forum Eurasian Economic Union_

10 BUSINESS OPPORTUNITIES DAIRY PRODUCTS AND RAW MATERIALS FROM BELARUS Raw milk shortage is a critical factor for several regions of EAEU Free trade between Belarus, Russia and KAZ helps to cover the production needs on sustainable basis thanks to raw milk / powder milk and milk derivatives supply from Belarus Belarus exported 58% of its total dairy production in 2016 Exports from Belarus Ktons in 2017 (Jan-July) % Cream and Milk ,5% Dry dairy products ,6% Buttermilk, Yoghurt, Kefir ,5% Whey 67-20,8% Butter % Dairy spreads 4-1,5% Cheese and Cottage cheese ,5% Total WKO Forum Eurasian Economic Union_

11 BUSINESS OPPORTUNITIES PRODUCT LAUNCHES New Dairy Products launched in EAEU Belarus: high protein dairy product range EXPONENTA analogue to sports nutrition products - launched 2014 and enlarged by kids category in 2016 KAZ: kids products enriched by Omega3 produced since 2013 Russia: dairy alternatives spoon and drink products based on fermented oat - produced since 2012 Further growth potential from 3,5kg up to 15 kg per capita yoghurt consumption in EAEU WKO Forum Eurasian Economic Union_

12 Thank you for your attention! WKO Forum Eurasian Economic Union_