Ekosem-Agrar launches new “EkoNiva” brand for dairy products in the Russian market

Walldorf, 26 November 2018 – On 24 November 2018, Ekosem-Agrar AG, the largest Russian milk producer, launched its new “EkoNiva” umbrella brand for dairy products in the Russian retail market. The new EkoNiva product range was launched exclusively in several Moscow stores of the German retail chain Globus, which is one of the most successful food retailers in Russia with currently 13 hypermarkets. In addition to own points of sale and the Globus supermarkets, the company plans to introduce the EkoNiva range in several other big supermarket chains in the country in the coming months.

Milk processing is Ekosem-Agrar’s most important production area for the future. The Group is one of the few large suppliers on the market with an integrated business model ranging from the production of fodder for its own herd to the production of raw milk to dairy products on the supermarket shelves. This vertical integration has numerous advantages.

Stefan Dürr, CEO and main shareholder of Ekosem-Agrar AG, comments: “Setting up our own milk processing facilities is the logical next step in our growth strategy. This enables us to guarantee the quality of our products across the entire supply chain, respond more flexibly to price fluctuations in the milk market and tap additional revenue and earnings sources. Our new brand will write a new chapter in the history of EkoNiva and will hopefully convince Russian customers of the high quality of our products ‘Made in Russia with German quality assurance’.

“EkoNiva – milk of which we are proud”

The future product portfolio under the new “EkoNiva” umbrella brand comprises the most popular dairy products on the Russian market. These include fresh milk, kefir, sour cream, curd, butter, yoghurt as well as semi-hard cheese. The production facilities for the approx. 600 tons of daily processing capacity are currently being optimized to successively expand the range and make it even more attractive.

Under the slogan “EkoNiva – milk of which we are proud”, the company addresses the growing number of quality-conscious Russian consumers. As in Germany, consumers are increasingly demanding healthy, high-quality products made from best regional ingredients. Company founder Stefan Dürr promises them this quality clearly visible on every product packaging. Another important component of the brand campaign is the “Hello, Stefan Dürr” customer feedback system, which enables every consumer to ask questions about the EkoNiva products quickly and easily via WhatsApp.

“We want to win customers by being authentic and honest. Everyone wishing to know how and where our milk is produced is welcome to visit one of our more than 20 modern dairy cow facilities in Russia at any time. We want to allow people in this country to experience milk production and agriculture as an industry of the future. Our Academy of Dairy Sciences has already attracted more than 40,000 visitors, among them many school classes. This is an essential part of our young talent development programme for EkoNiva’s team comprising currently more than 9,000 employees,” explains Stefan Dürr.

The medium-term objective is to establish the EkoNiva Group as Russia’s first nationwide producer of dairy products.

Images: https://www.ekosem-agrar.de/en/news/press-photos/

Website: www.ekoniva-moloko.com (in Russian)

About Ekosem-Agrar

Ekosem-Agrar AG, Walldorf, Germany, is the German holding company of Ekoniva Group, one of the largest Russian agricultural companies. With around 130,000 head of cattle (thereof approx. 57,000 dairy cows) and an average milk production of around 1,400 tonnes per day, the company is the largest milk producer in the country. The group has approx. 467,000 hectares of farmland and rates among the leading seed producers in Russia. Stefan Duerr, founder and CEO of the company, has been active in Russian agriculture since the 80s and has played a decisive role in its modernisation over the past two decades. In 2009, he was awarded the German Federal Cross of Merit for his contribution within the German-Russian Agricultural and Political Dialogue Project. The corporate group has more than 9,000 employees in seven regions in Russia and achieved a total output of EUR 246 million and an adjusted EBITDA of EUR 69.5 million in fiscal year 2017. For further information visit: http://www.ekosem-agrar.de/en

Contact

Adrian Schairer // T: +49 (0) 6227 3585 936 // E: ir@ekosem-agrar.de

Irina Makey // Ekosem-Agrar AG // Johann-Jakob-Astor-Str. 49 // 69190 Walldorf // T: +49 (0) 6227 3585 919 // E: irina.makey@ekosem-agrar.de // www.ekosem-agrar.de

Media / Investor Relations

Fabian Kirchmann, Anna-Lena Mayer // IR.on AG // T: +49 (0) 221 9140 970 // E: presse@ekosem-agrar.de