16:25 04.04.2016

Avangard cuts egg production by 46% in 2015

1 min read
Avangard cuts egg production by 46% in 2015

Avangard, the largest Ukrainian producer of eggs and egg goods, reduced egg production by 46% in 2015 compared to 2014, to 3.434 billion units.

According to a holding report on the website of the London Stock Exchange, total poultry numbers decreased by 42%, to 13.6 million birds, and the number of laying hens by 42%, to 10.7 million birds.

The reduction of poultry numbers is due to a suspension of farms in the east of Ukraine located in close proximity to the conflict zone. In addition, the domestic demand for eggs fell due to a lower purchasing power of consumers and the loss of markets in Crimea and eastern Ukraine.

According to Avangard, its egg sales to third parties decreased by 35% over last year, to 2.798 billion eggs. Egg exports for the year amounted to 421 million units, 26% down compared to the previous year.

Export sales declined for several reasons, including the aggravation of the military conflict in some Middle Eastern countries, one of the company's key export markets, as well as increased competition in some export markets. As a result, the company was forced to suspend deliveries to Liberia.

AD
AD
AD
AD
AD