Business MHP increases poultry volume
In 2019, MHP continued to launch additional production sites as part of Phase 2 of the Vinnytsia Poultry Complex bringing the total number of rearing sites to six. The company’s other poultry production facilities continued to operate at full capacity during the period. Poultry production volumes in Q4 increased by 18% to 188,784 t (Q4 2018: 159,431 t) and for fiscal year 2019 increased by 18% to 728,917 t (2018: 617,943 t). These increases were driven by the launch of new rearing sites at Vinnytsia as well as increases inproduction of heavier chicken and a decrease in thinning.
Full year of sales of chicken meat in creased by 13% to 669,964 t consistent with the company’s strategy of growing exports of poultry.
Despite the challenges presented by the temporary ban on exports to the Kingdom of Saudi Arabia market, chicken meat exports in Q42019 increased by 20% to 87,651 t and in fiscal year increased by 25% year-on-year to 357,433 t,allowing the company to almost meet the planned annual volumes. This was achieved through active management of both geographic diversification and product mix optimization to the countries of the EU, MENA, CIS and Africa.Of total poultry sales volumes in 2019, exports constituted around 53% versus 48% in 2018.