The most prominent Russian dairy holding EkoNiva has published its operating results for 2021 relating to its core business segments: dairy farming, milk processing and plant growing.

Dairy farming

EkoNiva produced 1,117 million tonnes of raw milk in 2021, thus becoming the first company in Russia to pass the 1 million milestone. In comparison to the preceding period, the production volumes rose more than by 190,000 tonnes or 21%.

In 2021, the mean cattle herd exceeded 212,000 head (+12%), including the dairy herd which was over 110,000 cows (+9%). On average, the daily milk yield for the reporting period amounted to 3,060 tonnes.

Milk processing

Following 2021, EkoNiva sold over 131,200 tonnes of finished dairy products - up 76% from the previous year. The range of SKUs reached 71 items. Among the novelties released into the market last year are Shchuchye and Kolybelka semi-hard cheeses, Dürr hard cheese with a 6-month maturation period and EkoNiva ORGANIC UHT milk.

The share of branded dairy reached 75% from the total turnover of the processing segment, while the private label products made 25%. In 2020, the figures were 71% and 29% respectively.

EkoNiva’s products are present in the largest federal retail shops including Magnit, Lenta, Perekryostok, Pyatyorochka, Globus, Auchan and Okey. The turnover made through these shops saw a two-fold growth last year.

The Group also kept on expanding its online sales: during 2021, they surged more than thrice demonstrating a much faster pace than the company initially expected. Currently, EkoNiva’s products can be ordered on the SberMarket, SberMegaMarket, Ozon and Ozon Express online platforms, via the Samokat, Lavka, Delivery Сlub, igooods.ru delivery services and on the Utkonos and Perekryostok Vprok websites.

During 2021, EkoNiva increased the number of its HoReCa partners twice, with McDonalds which comprises over 840 outlets in Russia being the largest of them since spring. Other significant partners include Aeroflot – Russian Airways and food production facilities belonging to Vnukovo and Sheremetyevo airports.

EkoNiva also sells its dairy in its own retail outlets – by the end of 2021, the company managed 37 brand shops.

Plant growing

Due to the unfavourable weather conditions which reigned in spring and summer over Black Soil and Volga regions, the cereal crop was somewhat lower than in the preceding year. Meanwhile, 2021 was abundant for oilseed crops – their harvest stepped up twice making 103,000 tonnes. The gross yield of cereals and pulses at EkoNiva’s enterprises surpassed 481,000 tonnes, with the total planted area under all crops equalled 233,000 hectares.

Despite the climatic adversities, the company fully met its needs in roughages and succulent fodder, having reaped around 1.9 million tonnes, which corresponds to the levels of 2020.

The key prerequisites for positive results in the plant growing segment in the trying circumstances of 2021 were cutting-edge machinery and technologies from world-renowned manufacturers, continuous training of specialists and employment of smart and precision farming, in particular Eko.Crop – software designed in-house for agronomical purposes.