Production of feed and food additives.

Project description

Prombit, OOO is implementing a project on construction of plant for deep processing of grain crops for the production of amino acids and protein-vitamin-mineral additives for animal feed and food ingredients. The company is located in the city of Efremov, Tula region.

Our competitive advantagescost (price of Lysine in the Chinese port of Russia 73-81 RUB./kg., our cost 58 rubles/kg), due to savings on capital and operating costs on other projects in Russia and China, in particular: — 100% waste-free technology, no ochistnye structures; — work on ANY type of grain (wheat, corn, rye, triticale); — energy efficiency; — its technology (patented) and strains; — the project team: experience in the construction of more than 12 similar plants across the world, a laboratory in Moscow and a staff of engineers.

Implementation of manufactured finished goods to bodypainters in the Central part of Russia, as a major feed manufacturers and producers of meat and fish products, as well as on the territory of the Customs Union and the EU and the middle East. There are tentative agreements covering 200% of issue volume.

To date, the project has: — a plot of land of 16 Ha; obtained the planning permission and; — conducted geophysical and geological studies; — preliminary Commercial Proposals for construction and supply of equipment; — the project has regional support the Governor and the Federal Fund of Development of Monotowns and Corporations SMEs; — are residents of TOSER in the city of Efremov (tax incentives); — have a long-term agreement with the multinational holding, for the supply of raw materials and energy; — have a confirmed project financing for 10 years at a rate below 9% from the Bank for 70% of the project cost; — formed the project team.

The initial stage of the project includes the 2nd stage:

Phase I: Investments 1, 05 billion rubles; Revenues in year 1, 2 billion rubles; EBITDA of 19%. Investor's yield of 25% per annum.

Stage II: Investment + 1, 15 billion RUB.; Revenues in year 2, 9 billion rubles; EBITDA of 29%. Investor's yield of 31% per annum.

Company website

Market analytics

1) the Lysine Market in Russia today is estimated at 100-120 thousand tons and continues to grow at 5-10% per year.•Today this product is 80% imported, main suppliers:In Russia: "Plant of Premixes №1". Abroad: China (several suppliers) and also a significant number of lysine on the Russian market supplying South Korea, USA, partially Europe. •The markets of Europe about 500 thousand tons.•The global market volume to date is about 1 000-1 200 thousand tons of pure L-lysine per year.•Price on USA market 1, 3-1, 5 $ per kg price in China (the main supplier in Russia) 1-1, $ 2 per kg from a warehouse in China.

2) market size bvmc is estimated at 2 500-4 000 tons per year (similar: fish, gluten, soybean meal).

Market growth in Russia will continue for many years, because the proportion bwmc in our feed today is much less than the European manufacturers (feed grain) in order to improve the performance in Russia the share of grain in feed will decline and grow the market bwmc.

In the coming years is expected to increase fish production (cultivation on an industrial scale), which has already led to shortages, which will only increase in mind the specific requirements to the feed for Aqua culture.

3) Russian watches , the surplus grain is 4-5 grade, which no one knows how to recycle. Our plant will allow to process such raw materials, it is of great interest to us from the local grain producers, including neighbouring region.

The uniqueness of the project

Technology has no analogues in the world. Through the use of cheap raw materials and a simple manufacturing equipment allows us to have a competitive cost of Production. — Own Strain and their Patents — saving purchase and maintenance of technology. — The only technology with the ability to work on different initial raw materials, with agreement to raise for the project triticale, the cost drops significantly.

100% waste-free, making the project environmentally attractive and safe.

— At the expense of non-waste technology, we have got savings in wastewater treatment plants (CAPEX and OPEX). — The plant can be quickly converted to production of more expensive products of the food industry or more expensive additives for animal feed.

The location of the plant (Tula region), close to raw materials and marketing base. In the selected region have the required level of qualification, labour resources.

Technology support will be provided by employees of the partner Company (founder), they have extensive experience in construction of similar plants around the world (Spain, Estonia, Czech Republic, Netherlands, Kazakhstan, and several projects in Russia) -saving on the technological support of the project.

Competitive cost provides a big potential to enter the European and Asian markets.

Monetization sources

Long-term supply contracts with large producers of animal feed and producers of meat and fish in the Russian Federation (customs Union) and Europe. The volume of confirmed demand is more than 200% of our production capacity.

Sales strategy and marketing

1) Lysine. Our offer at a price to compete with Chinese manufacturers. Today the market price in Russia is about 80 rubles. per kg. excluding VAT. The project has the potential to reduce costs by 10-20%.

For customers, we have a programme of testing of our product on the farm for 6 months before the launch of the plant.

2) Strategy bvmc — the creation of a product for use in animal feed fish, where today there is a long-term shortage of protein feed and the export orientation. As an alternative delivery market in Russia is a growing market of businesses for growing fish and other meat producers.

The main drivers of sales:

— the price is competitive, but with more comfortable conditions of supply; — stable quality; — fast and cheap logistics.

Project detailed information is available to investors after authorization.

Project detailed information is available to investors after authorization.

Translated by "Yandex.Translator"
Project No. 35843
Created on: 25.07.2018

Russia, Tula Oblast, Efremov


Project price: 1 050 000 000

Investments volume: 180 000 000


Stage: Business for sale


Website: http://prombiotech.ru/


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Contact details of entrepreneur

Lushnikov Aleksandr Olegovich

Russia, Tula Oblast, Efremov
Biotechnologies, Know how, Agriculture, Food industry