Business news

VITEBSK, 27 July (BelTA) – The Vitebsk Oblast administration has signed an agreement with the Chinese company DRex Food Group on implementing an investment project to build dairy farms via direct investments, BelTA has learned.

The document was signed at premises of the Vitebsk Oblast Executive Committee on 27 July. A dairy farm designed for a very large number of cattle is supposed to be built in a land plot occupying 45,000ha in Tolochin District and Senno District, said Vitebsk Oblast Vice Governor Oleg Matskevich. “The project is also important because we have found a direct investor from China. It is a well-known company. We’ve been very carefully negotiating all this time, showing the selected location. These territories were prepared specifically for building 4-5 such farms. The future complex is so large that we had to merge land plots located in two districts. The deadline for land allocation procedures has been set but we don’t hurry our Chinese partners,” said the official.

The final investment sum will become known after the business plan is agreed. The implementation timeframe has not been specified because the project can still be adjusted. For instance, instead of one dairy farm complex there may be built two at the specified location or new dairy farms may be built in other districts.

DRex Food Group has an office in China’s Henan Province. Xu Fang, Deputy Chairman of the Animal Husbandry Committee of the Henan Province government, noted that the company will work hard to implement the project. Vitebsk Oblast attracted the company because it offers acceptable conditions for animal husbandry. The attitude of the Belarusian government, which supports the development of this branch of the economy in the northern region, also helps.

DRex Food Group President Dai Shiwei said: “We believe that the Belt and Road concept is a right one and would like to support it with deeds. Our investment project will develop on the basis of Belarus-China friendship. To implement the project, we will use Chinese resources, technologies from Israel and Netherlands. Scientists and specialists from other countries may be involved. Everything is ready on our side. We are going to invest some $200 million initially. But it is only the beginning. There will be other projects and other facilities. I believe that we will be able to make supreme quality products here. The quality will be confirmed by certificates of the European Union and China. Export is the key purpose.”

DRex Food Group is a major dairy company that makes investments in various countries. The company grows cows, supplies milk and beef. Apart from that, DRex Food Group also makes tea, carries out R&D projects, and has its own printing division.