Agro-Soyuz comes out of recession and enters new markets

 
08.08.2017

Agro-Soyuz Holding has survived through the period of acute crisis and returns to active operation in the market. This was emphasized by the Holding’s management.

Vladimir Khorishko, a co-owner of Agro-Soyuz Corporation

“ In 2013-2016 we found ourselves in a difficult situation. The stagnation of the country’s economy impacted internal problems in the Corporation. We had several long-term investment projects, which we had to cancel due to a difficult situation in Ukrainian bank sector. Many domestic agricultural companies experienced the same situation. High debt burden, deterioration of sales of our machinery in Russia and other factors affected the activity of the Holding’s services. Whenever you have long-term projects (machine-building, livestock farming, etc), the payback period is very big and it is very difficult to work on conditions imposed by banks. Nevertheless, we continue running key businesses and return to normal operation with our customers” – says Vladimir Khorishko, a co-owner of Agro-Soyuz Corporation.

The Holding continues to develop agricultural business, agricultural consulting, manufacturing and distribution of machinery, spare parts and provides customer support. The emphasis of business has changed: in dairy farming the focus has shifted from milk production to raising of pedigree heifers; in ostrich production – from ostrich meat distribution to ostrich chicks selling, etc.

As for machine building, the enterprise was actively developing and improving its production facilities for the last 2-3 years. The factory of Soyuz-SpecTechnics, which is part of the Holding, managed to achieve a 100% substitution of foreign parts and assemblies by Ukrainian units or those of own production. A full cycle of disc drills production was arranged. We launched an absolutely new field: metal processing services (nesting, bending, welding and painting), engineering and production of parts based on customers’ designs. These services are demanded by both large production and construction enterprises, and small and medium private companies and entrepreneurs.

Manufacturing and selling of advanced resource-saving machinery as well as quickly built hangars remains an important field of operation. In fact, the development runs in two directions: expansion of assortment and entering new markets.

Machinery and hangars of Soyuz-SpecTechnics are sold in Ukraine, Kazakhstan and Moldova.

This year a new distribution market – Bulgaria – emerged. Bulgarian farmers got interested in No-Till technology and started working with Agro-Soyuz on machinery supply and technological support.

Production of new types of machinery is now developing. For example, this year we started supplying resource-saving wide-cut seeders ‘PonTerra’ to Kazakhstan market. These are specially adapted for local farming conditions. The machines delivered good results during the seeding campaign in Kazakhstan.

“ Our products are competitive in the market. Besides, we offer not only machinery, but also comprehensive customer and technological support, regardless of the customer’s location. And this is what our partners value”, – Vladimir Khorishko emphasized.