Estonian meat processor invests in renewable energy

The latest investment in upgrading the firm’s cold storage facility relates to plans by Saaremaa Lihatööstus to expand its exports beyond neighbouring countries and to generate a higher share of its revenues from higher profit margin products, as announced by senior company representatives.
 
New foreign markets​
 
“Our cold storage facility was outdated, fitted with equipment that dated back to the 1980s,​” Kristjan Leedo, the firm’s chief executive, told local daily Eesti Päevaleht.
 
The latest investment will enable Saaremaa Lihatööstus to significantly increase the energy efficiency of its cold storage facility, and add new foreign markets to its portfolio.
 
“Quality is important if you want to expand your export sales further than to Finland, Latvia and other neighbouring countries,​” said Leedo.
 
Renewable energy investments​
 
To carry out its renewable energy project, estimated to be worth about €3.5m, the Estonian meat processor managed to secure a €750,000 investment grant from the state-run Enterprise Estonia (EE) agency, according to the company’s chief executive. The agency’s contribution represents more than 21% of the total project value, as indicated by figures obtained by local broadcaster ERR.
 
Leedo said that the new PV (photovoltaic) facility will allow the meat processor to cover an estimated 14% of its current energy consumption.
 
As part of the project, Saaremaa Lihatööstus has set up more than 1,000 photovoltaic panels which will provide its meat processing facility with renewable energy. This will allow the Estonian company to decrease its CO2 emissions, as well as decrease its dependency on the outside electricity grid. The PV facility is one of the largest of its kind in the Baltic state.
 
The Estonian company’s product range currently comprises a wide range of processed pig and beef meat products. These include sausages, hams, meat rolls, ribs, fillets, frankfurters, pates, smoked, semi-smoked and other products, according to the firm. Saaremaa Lihatööstus says it processes close to 400 bovines and some 3,000 pigs per month.
 
The Estonian firm’s predecessor was set up in 1886, and Saaremaa Lihatööstus launched its first meat processing facility in 1983. In 1987, the company added sausages to its product portfolio. Following Estonia’s independence in 1994, some of the meat processor’s facilities were modernised, and a new slaughterhouse was opened. In 2007, Saaremaa Lihatööstus was established as a limited company, and local firm Holostovi Kinnisvarahaldus AS became its owner.
 
Kuressaare is located on the island of Saaremaa, just over 200 km from the country’s capital, Tallinn. Saaremaa Lihatööstus’ facilities are ISO 22000 certified, according to data released by the meat processor.