The delivery of a new batch of cattle will bring the total to 5,144 animals on Damate’s farm in Tyumen region, Siberia, ensuring an affordable supply of milk for Danone, according to the Damate website.

The import of livestock to the complex was started in December last year.

In January, the first stage was complete, meaning over 4,000 heads were delivered to the farm from the Netherlands, Germany and Denmark.

Agreement

Though unusual for the company to invest in the agricultural sector, Danone has made an exception and invested in the 60ha farm with local producer Damate.

The first cows started to provide milk for Danone in May and a final shipment of cattle is due to arrive in September.

According to the Damate website, the total cost of the project is 5.6bn rubles.

After reaching the designed capacity, the plant will produce about 45,000t of milk per year, with a milk production rate exceeding 9t per year per cow.

Under the terms of the agreement, milk produced at the complex will be sold to Danone enterprises.

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