Business news

10 Feb 2021

Belarus’ Turov dairy company ramps up cheese production, earns $110m in 2020

An archive photo

GOMEL, 10 February (BelTA) – Turov Dairy Industrial Complex took stock of its performance in 2020: revenues exceeded $100 million for the first time, profit from sales in Belarusian rubles more than doubled, the output rose by a third over 2019 and geographic reach expanded, BelTA learned from the company.

In 2020, Turov Dairy Industrial Complex produced 28,600 tonnes of cheese, up by 30% over 2019. “Cheese production in 2020 doubled over 2018,” the company stressed.

Revenues from sales went up by more than a third, from Br200 million to Br271.7 million. In U.S. dollar terms, they surpassed the symbolic 100-million mark, coming at almost $111 million.

In 2020, Turov Dairy Industrial Complex earned 2.4 times more than in 2019. “Sales profitability increased to 17%, which is one of the highest rates in the dairy industry. Production efficiency was also great last year: we earned Br1,280 per tonne of raw materials (Br1,160 in 2019), and product yield was at 14.1% (13.8% in 2019), which is close to European levels,” Turov Dairy Industrial Complex said.

Despite the difficulties, the company set records for almost all targets and areas in 2020. “The enterprise is operating almost to its full capacity, processing about 650 tonnes of milk a day. Our products are supplied to the Belarusian and foreign markets. As a result, we made substantial net profit, even after making payments on loans. We continue investing in facilities to increase production capacities and improve our capabilities,” Turov Dairy Industrial Complex added.

In 2020, the company ramped up cream cheese production thanks to new production lines. Plans are in place to upgrade the stretched curd cheese production line in 2020.

Boosting export also contributed to the company’s performance. About 80% of its output is bound for foreign markets. In 2020, the company earned almost $87 million by exporting its products, up by 20% year-on-year. Turov-made dairy products are sold in 16 countries. In 2020, the dairy company got access to the markets of Mongolia, Turkmenistan, and Iraq. The main export markets are Russia and Kazakhstan, and the most promising ones include Turkey, the UAE, and Israel.

In 2021, Turov Dairy Industrial Complex expects revenues in Belarusian rubles to surge by 30% and cheese output – by 17%. Export is projected to go up by 27% and near $110 million.

The dairy company employs around 500 people. The average salary reached Br1,500 in January 2021.

Turov Dairy Industrial Complex was established in 2010. Three years later, it launched the production of cheese. The investments in the enterprise total €115 million with the payback period of 10 years (till 2023). By the end of 2021, cheese output is expected to reach 33,600 tonnes. Turov Dairy Industrial Complex owns nine farms in Gomel Oblast, Minsk Oblast, and Vitebsk Oblast. This is one of the largest dairy companies and exporters of dairy products in Belarus.