Russia’s JSC International Rabbit Company and the China Nuclear Industry 23 Construction Co. are partnering to construct the largest rabbit meat complex in Russia in a $100 million deal, reports Global Meat News.
Ria Voronezh originally announced the plans for the complex, which will be located in Voronezh Region, in 2014, when Russia’s Agriculture Minister, Nikolai Fedorov confirmed the plans during a meeting with Ambassador Extraordinary and Plenipotentiary of the People’s Republic of China, Li Hui in August of that year.
The framework of the project calls for the construction of a total of 100 rabbit farms with a capacity of between 3.2 and 3.3 million head, and the construction of a processing plant to process the meat.
“Once implemented, the project promises to become not only the largest of its kind in Russia, where, as of today, there are no facilities producing more than 1,000 tons, but also one of the largest in Europe,” JSC International Rabbit Company CEO, Alexei Emelianov told Global Meat News.
China’s rabbit meat sector is significantly more developed than Russia’s, producing 660,000 tons per year compared to Russia’s 10,000 tons per year. This maturation places the Chinese partners within the venture in the position of being able to provide expertise drawn from experience in the industry.
When the project was originally announced, it was planned to be accomplished in three phase over three years, according to Ria Voronezh. The first phase would include the establishment of 40 farms and a slaughterhouse with an initial production capacity of 2,000 tons of meat. The second phase would include the addition of a fodder operation and the third phase would include a breeding center.
As Russia’s embargo against Western imports continues, it has opened a window for closer cooperation and trade relations between Russia and Asia. Weeks ago it was announced that the state-run Russia Direct Investment Fund (RFID) has partnered with Thailand’s largest agribusiness, Charoen Pokphand Group (CP), and China’s Banner Infant Dairy Products in a joint venture to build a $1 billion dairy complex in the Ryazan region of Russia. This project will include dairy farms with a staggering 80,000 milking cows, 40,000 to 60,000 hectares of grain, and a feed factory, according to the RFID. Once complete, the increased production will make CP Group one of the top five dairy producers in Russia.
Additionally, in early May, AgroInfo reported that Russia will begin to ship wheat to China in the near future, according to Russian Minister of Agriculture, Alexander Tkachev. Phytosanitary protocols have been established and agreed upon which would allow for Russia to ship wheat, soybeans, oilseed rape, corn, and rice to the Chinese market.
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Lyna Kiernan