Roshen to receive permits to build second factory in Russia by late 2009, postpones construction of factory in Vinnytsia
Kyiv, March 3 (Interfax-Ukraine) – Roshen Confectionary Corporation, a large confectionary in Ukraine, plans by late 2009 to receive permits to build a second factory in Lipetsk (Russia).
"Everything will depend on how quickly we receive a land plot. Frankly speaking, this year we'd like to complete [a stage] of the project and receive a permit to build by the end of the year," company President Vyacheslav Moskalevsky said at a press conference at Interfax-Ukraine on Tuesday.
He did not disclose the value of the project, adding that the estimated figures will be known only after the completion of the drawing up of blueprints. The president said that funds could be borrowed, or the company could use its own funds.
He said that a land plot of 30 hectares for the construction of the factory is at the allocation stage.
The area of the future factory, with a production capacity of 10,000 tonnes of products per month, would be 40,000-50,000 square meters.
Moskalevsky said that the Roshen Corporation is postponing the construction of a second factory in Vinnytsia for an indefinite period. The project for the construction of the factory is to be approved in April.
"At present, it's unreasonable to build it today. We'll see in a year-and-a-half. In October, we'll see. We'll decide on this as soon as things become clearer," he said.
Roshen has confectionary plants in Kyiv, Vinnytsia, Mariupol, Kremenchuk, the Bershadmoloko dairy plant, and confectionary plants in Lipetsk (Russia) and Klaipeda (Lithuania). Roshen exports products to Russia, Kazakhstan, Uzbekistan, Moldova, Estonia, Latvia, Lithuania, the United States, Canada, Germany, Israel and other countries.
Its production increased by 3% to 360,000 tonnes in 2008, and its sales rose by 31%, to over $850 million.