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Annual Report 2017

Oil and Fats Business

Oil and Fats business unit of the Rusagro Group includes two separate areas: production of sauces and fats (fat plant) and production of vegetable oil (oil extraction plant). In both directions, the Rusagro Group holds leading positions in the market, and the products produced by the Oil and Fats unit are in demand both by Russian and foreign consumers.

          

Following the results of 2017, RUSAGRO GROUP takes the 8th place in the sunflower processing market with a share of 4%. RUSAGRO GROUP is the largest Russian producer of consumer’s margarine and the fifth largest producer of mayonnaise according to the data of the Russian Union of Oils and Fats. In 2017, the Company continued to strengthen its position in the margarine market, increasing its share from 43 to 44%. In the mayonnaise market, the share of the Group was slightly decreased — from 12 to 10%.

According to the AC Nielsen Retail Measurement Service in Russia as a whole, Rusagro is the 6th largest market share in the mayonnaise category (8.1%) * and the 3rd largest market share in the margarine category (16.8%) **; is the leader in the market share in the Urals: market share in the mayonnaise category — 54.2%*, in the margarine category — 74.6%**.

Oil and Fats business RUSAGRO GROUP is represented by three enterprises:

-OJSC Zhirovoy kombinat, Ekaterinburg city;

-Oil Extraction Plant of CJSC Samaraagroprompererabotka, Samara Oblast, Bezenchuk urban settlement;

-LLC Primorskaya Soya, Ussuriysk city (RUSAGRO GROUP owns 75% share of the LLC Primorskaya Soya).

Also, there are seven elevators for storage of sunflower seeds with a total capacity of 223 thousand tons within the subsidiaries. Sauce and fat production of the Group is represented by OJSC Zhirovoy kombinat (Ekaterinburg Fat-processing Integrated Works) (EZhK). This integrated work makes the top five of the Russian largest industry-specific enterprises and dominates in the CIS market. Sunflower oil and meal of the Group is represented by the Oil Extraction Plant of CJSC Samaraagroprompererabotka (SAPP) located in the urban settlement of Bezenchuk, Samara Oblast. The plant makes the top ten of the largest producers and exporters of sunflower oil in Russia.

LLC Primorskaya Soya manufactures soya oil, mayonnaise, soya oil meal — valuable protein supplement for farm animal and poultry feeds, generated as a result of soybean seed oil extraction, and is also the only toilet and laundry soap manufacturer in the Far East.

In 2017 the Company processed 403 thousand tons of sunflower seeds and 110 thousand tons of soya. In 2017 the production of oil has grown by 19% — up to 192 thousand tons. In 2017 the production volume of oil and fats is amounted to 111 thousand tons, including 56 thousand tons of mayonnaise, 40 thousand tons of margarine, spreads and industrial fats, and 7 thousand tons of packaged sunflower oil.

In 2017, a batch of industrial fats with a volume of 3.4 thousand tons was produced and own bottled oil production was launched for the first time.

RUSAGRO GROUP actively promotes its products for export. By the end of 2017, 37% of B2B products were sold for export. At the same time, 37% of the exported crude oil is sold in the countries of Central Asia and 13% in Egypt, and 91% of the exported sunflower meal is supplied to the countries of the European Union.

In the consumer segment, the Company exports 40% of the volume, 75% of which is sold in the countries of Central Asia, 16% — in China.

*data as of January-December, 2017

**data as of January-November, 2017

 

Contacts:

General Director of Oil and Fats Business:

Roman Danilin

Tel.: +7 343 210 0023 ext. 5706

e-mail: reception@rusagromaslo.com

 

Purchase Director:

Alexander Polyakov

tel.: +7 343 295 7771

e-mail: poliakovas@rusagromaslo.com

 

Commercial Director for B2B Non-consumer's Goods:

Alexey Kuznetsov

Tel.: +7 846 207 3725 ext. 6322

e-mail: kuznetsovaa@rusagromaslo.com

 

Director of Industrial Fats and New Product Development:

Evgeniy Yakovlev

Tel.: +7 343 210 0023 ext. 5692

e-mail: kornilenkodb@rusagromaslo.com

 

Director of Consumer Goods:

Ekaterina Volf

Tel.: +7 343 295 3410

e-mail: volf@rusagromaslo.com

 

Head of gravy category Department of product lines:

Mariya Bashurova

Tel.: +7 800 700-7900, 8 343 210-0023 ext. 5759

e-mail: bashurova@rusagromaslo.com

 

Head of oil and oil refining products category Department of Product Lines:

Olga Lazutkina

Tel.: +7 800 700-7900, 8 343 210-0023 ext. 5760

e-mail: lazutkina@rusagromaslo.com

 

Head of the soap category Department of Product Line :

Nataliya Beloglazova

Tel.: +7 800 700-7900, 8 343 210-0023 ext. 5742

e-mail: beloglazovane@rusagromaslo.com

 

Head of Consumer Solid Fats category Product Line Department:

Uliya Kovaleva

Tel.: +7 800 700-7900, 8 343 210-0023 ext. 5764

e-mail: kovaleva@rusagromaslo.com

 

HR Director:

Tatiana Medvedeva

Tel.: +7 343 295 6666

e-mail: medvedeva-t@rusagromaslo.com