AgroGeneration to increase grain storage capacities by half
AgroGeneration is planning a roughly EUR 10 million (USD 12 million) project to expand its grain storage by 50% in Ukraine so it can ride out market volatility more easily after low prices dented profits last year, Reuters reports.
"We have plans for a radical extension of our storage capacity," Vice-Chairman Pierre Danon told Reuters in an interview. "We want to enjoy the best possible prices, something we cannot do currently for both financial and logistical reasons."
The Ukraine-based company is in talks with a European partner, which Danon declined to name.
The company’s storage capacity was at 240,000 tons in 2016. The new silos would be dispatched across the regions in northern Ukraine where the company has farmland, he said.
Reference: AgroGeneration reported EBITDA of EUR 9.1 million in 2017 against 19.4 million the previous year.