Large Russian meat importer declares bankruptcy

13-10-2009 | |

One of the largest Russian meat importers OOO Prodimport (part of St. Petersburg Rubezh Group) has officially declared bankruptcy.

By Evegen Vorotnikov
According to the National Meat Association estimates’, last year Prodimport received the largest quota on the importation of foreign pork to Russia (43,500 tonnes). Currently many of the Russian meat importers are on the brink of collapse due to the devaluation of the local currency (ruble), however there is no chance for them to transfer or sell their meat quotas to other companies.

According to analysts Rubezh Group is a leader in terms of beef, pork and poultry imports to Russia, with its subsidiary “Prodimport” controlling more than 4% of the Russian meat imports market.

Other meat importers also bankrupt
Rubezh Group for the first time faced financial problems last year after the construction of the Europe’s largest refrigeration distribution centers with the cost of $75 million. The devaluation of the Russian currency, the unavailability of loans and the reduction of consumer demand has already led to the bankruptcy of other large Russian meat importers, including Euroservice and Meatland Group.
Rubezh Group was founded in 1994, consisting of more than 40 sales, manufacturing and logistics companies in St. Petersburg, Moscow, Novgorod and Pskov regions. The main spheres of activity are the import and sale of meat and meat products, sausages and meat delicacies manufacture, poultry farming, transportation and warehousing services.

More about