DMK Group, Germany’s largest dairy cooperative, said its second production facility in Russia will be open for business in the early part of next year following a “slight” delay caused by restrictions imposed by the government to contain the spread of coronavirus. 

The new cheese plant in the town of Bobrov, located in the Bobrovsky District of central Voronezh Oblast, will be ready for commercial production in April and will enable DMK to increase processing of milk to 600 tons a day from 20 tons, Michael Feller, the chief operating officer for the co-op’s international division, said in a statement provided to just-food.

Feller explained that DMK first acquired an existing cheese production facility in the same town of Bobrov a “few years ago” after Russia closed its doors to cheese imports from Western Europe. But the company decided to build a second plant after production reached capacity over the past three years.

He added that DMK has invested between EUR18m (US$21.5m) and EUR20m in the Bobrov facilities, which manufacture cheese varieties such as Gouda, Tilsit, Goya and Maasdam. 

Feller declined to provide any further information on customers it supplies to or the revenues generated from the Russian operation.

“Russia is highly profitable and we can expand,” he said.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

DMK generated a turnover last year of EUR5.8bn, and delivered EUR24.5m in profits. The company is present in the retail and foodservice channels for branded products, such as Osterland and Oldenburger, as well as private label.

Along with cheese and dairy, the co-op’s portfolio also consists of baby food and ice cream, the latter being an area of recent expansion.

Earlier this year, DMK agreed a licensing deal with German confectioner Katjes Fassin, and formed another with local yogurt maker Ehrmann.