Lithuanian dairies in line for EU export subsidies
receive up to €20 million in EU export subsidies for products
exported to third countries, the country's Institute of Agrarian
Economics is forecasting.
According to a report from the Baltic News Services the bulk of the dairy exports are expected to be destined for both the US, CIS countries and Russia. The most part of the EU subsidies are expected to be divided amongst the countries biggest dairy producers, which includes Suris, Pieno Zvaigzdes and Rokiskio.
After accession to the European Union in May of this year, Lithuanian dairy companies were granted licenses to export 2,690 cheese and 25 tons of sour cream. At the same time dairy producers are expecting to increase milk exports to third countries, which will also provide significant opportunity for the larger dairy companies to receive further subsidies.
Kolinska upgrades bottling
Slovenian food company Kolinska has opened an upgraded soft drinks line at a cost of SIT 1.1 billion (€4.6m) at its plant in Rogaska Slatina.
According to reports in national papers, the line will increase production by 50 per cent, most of which will be sold on both the domestic and Croatian markets. The company other activities involve the processing of mineral water, confectionery, spices and flavours, meat conservation and the processing of fruit and vegetables.
Kolinska CEO Loize Dezelak said at a recent company press gathering that the US dollar is currently causing concern for the company's exports to the Russian market. However he also said that the company's six monthly results were looking strong on the back of strong mineral water sales in the throughout the rest of Europe.
On the back of increasingly strong export markets all over Europe the company is hoping to increase exports by 36 per cent this year. Kolinska also says that the continuation of strong financial results should allow it to make a number of acquisitions during the course of 2005.
Kraft Ukraine posts loss
Kraft Foods Ukraine has reported a loss of UAH 19.4 million, after reporting a net profit of UAH 21.3 million in 2002. The result comes despite posting an increase in its income of 20.4 per cent to UAH 642.98 million. However, last year the company made a number of small acquisitions as well as launching a series of new food products, including Cherezos Snacks, 3-bit chocolate bars the relaunching of the Siesta brand.
Kraft Foods has been a major presence in the country since purchasing the Trostyanets chocolate factory in 1995. The company also has a significant production facility in Kiev where potato snacks are produced and coffee is processed. Currently it is one of the biggest producers of snacks in the country where it has a 50 per cent share of the market for chocolate bars.
