KSG Agro in November sent the first batch of 1,000 tonnes of wheat flour to China.
"We've started exporting flour to China from our major grain processing facility (PJSC Pererobnyk, which is part of KSG Agro). The plant plans to boost exports of both flour and animal feed. The most popular animal feed is granulated alfalfa, demand for high-quality products containing more than 18% of protein is very high," KSG Agro Commercial Director Ihor Nedybaliuk told reporters.
The company is building a new plant on the territory of PJSC Pererobnyk in Dnipropetrovsk region to produce 60,000 tonnes of granular biomass per year.
The equipment installed at the plant will put out granular green forage (alfalfa) and fuel pellets made of straw. The plant is to be commissioned in June 2015.
In 2015, the company will also renovate and modernize PJSC Pererobnyk's mills, which now are able to produce 5,000 tonnes of flour per month. KSG Agro expects to double flour production and continue exports.
"We would like to renovate the first mill and produce 10,000 tonnes of flour per month," Pererobnyk's chief engineer Oleksandr Lohvynov said.
What is more, KSG Agro is going to relaunch its cereal factory. A new production line worth about EUR 600,000 will be installed there.
" It will be a combined line, which will be able to process different types of crops. A tender to buy the equipment was held, its production and delivery will take up to four months. Industrial premises and communications infrastructure are ready. We plan to launch the modernized facility next September," Lohvynov said. The designed capacity of the new production line will be 2 tonnes of cereals per hour.
Nedybaliuk in turn said that the situation on the EU market is favorable for cereals exports, local demand for this produce also remains high.