The demand for malt of Russian beer makers comes to 1 million ton per year, according to the Russian Beer Union. 70% of malt is imported – mainly from Europe. Last year imported volumes of malt are estimated at US$ 300 million, Veacheslav Mamontov, the secretary of the Russian Beer Union said.

Russian brewery Baltika announced recently about its plans to build its own malting plant. Mr. Bolloev, the Baltika’s CEO said the plant will be based in Tula. The company intends to invest about US$32 million. The planned production capacity is 100 thousand tons per year. New plant is expected to start producing malt by 2004 year and will cover the whole company’s request for malt, according to Bolloev. Till now Baltika was provided with 70% of malt by Souflet Malting Plant St. Petersburg, which has a production capacity of 105 thousand tons per annum.

The third Russian brewer Ochakovo is launching the first malting plant of 100 thousand tons per year in Terbuni, Lipetsk region. In a year Ochakovo will launch another malting plant in Belgorod region.

The most aggressive malt project was announced by Avangard Bank, which promised to invest about US$ 100 million in building three malting plants, each with 100 thousand tons production capacity.

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