12 February, 2005

Russia: Russian beer industry requires about 1.2 million tonnes of malt per year, according to the estimations of Russian malting plant, “Russky Solod”, a subsidiary of Avangard Bank. So far 60% of the needs were covered by imported malt. However in 2004 the share of imported malt decreased to 25%. Kiril Minovalov, the president of Avangard Bank, said on February 2, that malt import is to drop to zero by 2005-2006. Russky Solod is to control 25% of the Russian malt market. In April this year Russky Solod is launching its third malting plant. In about a year the company is to launch its fourth malting plant, after which it will control about 50% of Russian malt market.

According to analysts, in 2005 Ochakovo and Cargill are to launch their malting plants in Russia as well, with a production capacity of about 100 tonnes each. Nevsky Bereg is also constructing its malting plant with a production capacity of 100 tonnes per year in St. Petersburg.

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