Storage Facilities of the TOP Seeds and Agrochemicals Suppliers
The business of companies supplying products for the agro-industrial complex can hardly be effective without proper storage of plant protection products (PPPs), seeds, fertilizers. Indeed, the distribution segment in the Ukrainian agricultural sector has been actively transformed in recent years, while logistics in the country does have a room for improvement. Nevertheless, major market players are actively developing their networks of offices and warehouses (both own and leased), aiming to be present in all regions of Ukraine, to be as close and accessible to their customers as possible. Major suppliers automate their warehouses, introduce digital technologies to minimize the chance of errors and improve the speed of work.
Latifundist.com surveyed 10 leading distribution market players and the companies that have entered direct sales about their warehouse capacities.
Such companies as Trading House Nasinnya, Spectr-Agro, Soufflet Agro Ukraine, AgroRos, Agrosem, Agrozahist Donbas, Corteva Agriscience provided no information about their facilities. It appeared that not all companies are ready to speak about their garners: some did not answer, others referred to the confidentiality of the information requested. Nevertheless, we managed to collect information about the capacity of the TOP 4 suppliers and one company that launched direct sales. In fact, it turned out quite revealing. See for yourself.
Eridon
The Group partners with 50 suppliers and sells products to 11.000 customers. An extensive network of 30 regional offices ensures a close relationship with clients.
Eridon established the most developed logistics infrastructure, which consists of 54 own and leased warehouse complexes with a total area of 85.2 thou. m². The company regularly increases its warehouse capacity and in 2018-19 opened new administrative and warehouse complexes in Korotych village of Kharkiv region, Kolodenka village in Rivne region and Yamnytsia village in Ivano-Frankivsk region.
The company warehouses are located in all 24 regions of Ukraine. Eridon has 5 central distribution warehouses: in Vinnytsya, Kyiv, Kropyvnytsky, Poltava and in the village of Balovne of Mykolaiv region. Three of these warehouses are equipped with a microclimate system. The distributor uses such premises for inter-seasonal warehousing of seeds in compliance with requirements for oilseeds storage. Temperature regime in 15 of 54 storages ranges from 0 °C to +30 °C.
Apart from a developed network of storage facilities, the company has its own fleet of trucks to transport its products. There are 48 trucks, including 7 tank trucks for delivery of liquid mineral fertilizers, 24 grain trucks and 17 tent semi-trailers. In 2020, Eridon plans to expand its fleet to 55 vehicles.
Bizon-Tech
Bizon-Tech provides services to 5 thou. clients.
The company runs 27 regional warehouses in practically all regions of Ukraine, as well as 5 central distribution facilities. Moreover, the company has two regional stores per region in Vinnytsya, Cherkasy, Kharkiv, Kherson, Mykolaiv, Khmelnytsky, Ivano-Frankivsk, and 4 in Dnipropetrovsk and Zaporizhzhya. All warehouses are utilized for the storage of PPPs, seeds and fertilizers. The facilities have sanitary passports for pesticides and agrochemicals storage. Temperature regime in 20 of 27 storages varies from 0 ºС to +30 ºС.
LNZ Group
The company has 20 regional representative offices, 3 thou. clients all over Ukraine and 5 logistics centres.
Besides, LNZ Group owns 3 central distribution and 7 regional warehouses in Dnipro, Poltava, Ternopil, Pervomaisk (Mykolaiv region), Nova Kakhovka (Kherson region), Romny and Mykolaivka (Sumy region).
Agrii (Agroscope International)
In Ukraine, the company cooperates with 2.5 thou. agricultural producers who cultivate 4.1 mln ha of farmland. Agrii has 2 research agronomic centres: Western (Nastasiv, Ternopil region) and Eastern (Zhovti Vody, Dnipropetrovsk region), as well as several laboratories (agrochemical, seed and phytopathology). There are also 13 regional representative offices and 7 certified warehouses in Vinnytsya, Mykolaiv, Ternopil, Kharkiv, Khmelnytsky, Cherkasy and Dnipropetrovsk regions. The total capacity of warehouses makes up 10 thou. t, annual volume of products handled therein totals 50 thou. t.
UKRAVIT
The company has 4 central and 15 regional distribution warehouses in Sumy, Ternopil, Chernivtsi, Lviv, Kropyvnytsky, Kherson, Poltava, Kharkiv, Cherkasy, as well as in Dnipropetrovsk, Odesa, Kyiv, Cherkasy, Vinnytsya, Zhytomyr, Zakarpattya and Volyn regions. The area of UKRAVIT storage facilities is 15 thou. m², the total capacity is 9.5 thou. t. In 2019, more than 20 thou. t of products were stored in the company warehouses.