Damate to invest 2.68 billion rubles in a lamp production project

Turkey production

Damate Group launched lamb processing at the basis of "Kavkaz-Meat" meat processing plant in Cherkessk (North Caucasus Federal District). The start of processing was the logical development of the lamb production project launched by the company in 2018. The project includes feedlots and breeding grounds in the Stavropol Territory and the Karachay-Cherkess Republic, a service company and a meat processing plant.

Details of the project were discussed at a meeting of the head of the Karachay-Cherkess Republic, Rashid Temrezov, with co-owners of Damate Group Naum Babaev and Rashid Khairov. The meeting took place on March 12 in Cherkessk.

Damate plans to invest 2.68 billion rubles with the financial support of Rosselkhozbank in the project during two years. The project provides for the construction and reconstruction of feedlots and breeding grounds in the Stavropol Territory and the Karachay-Cherkess Republic with a total capacity of 68 thousand cattle places.

An important step is the creation of Damate Service Company, which is responsible for the qualitative improvement of the sheep gene pool, provision of the industry with modern genetic material in the meat sector, improvement of characteristics of the region’s meat industry, veterinary support of farms, staff training and provision of the meat factory with high-quality raw materials.

The advantages of the service company Damate are the availability of foreign specialists from leading countries in sheep breeding, our own laboratory and veterinary facilities, and access to the latest insemination, feeding and veterinary technologies. To date, the service company has already entered into 20 contracts with farmers.

At present, an acquisition of 100% stake in the authorized capital of Kavkaz-Meat LLC by Damate is underway, which is the current owner of the property complex of the Circassian meat processing plant. The company was founded in 1984, the main task of the meat factory was to provide the population with meat and sausage products.

Damate plans to upgrade the capacity of the meat processing plant and increase its design capacity up to 720 thousand heads per year. As part of the reconstruction, a new slaughter line with a high degree of automation will be installed; redevelopment of premises, replacement and modernization of utilities and equipment will be carried out. The processing capacity will be 42 tons of products per day or 12.6 thousand tons per year. The plant will produce natural semi-finished products from lamb meat, meatballs, sausages and canned products.

As a result of the project, 500 jobs will be created.