PAVA Conducted Talks With Japanese Partners

Barnaul, Russian Federation (PressExposure) October 27, 2009 -- In end-October, OJSC PAVA negotiated with one of the largest Japanese corporations, following the company's policy to expand international partnerships. The meeting was held in Barnaul, the Altay Territory, where PAVA headquarter is located. Besides, 13 representatives of the Japanese delegation made a visit to Rebrikha mill (the Altay territory), one of the company's production branches.

The agenda of the meeting included a number of issues: potential trading co-operation, strategic and financial partnerships regarding PAVA's new projects.

Current business strategy of the Altay grain processor is based on implementation of two projects - 'Russian Agricultural Division' (expansion of land bank and farming) and 'Grainvest' (deep wheat processing which involves reconstruction of Rebrikha facilities). RAD was established as a large-scale producer of high value added agricultural crop (wheat, barley, rye, sunflower, buckwheat and peas) for own feedstock security, domestic and overseas supplies.

These talks were attended by A. Nagorny, Head of Investment Development Department at Altay Chief Administration for Economy and Investment. He spoke of the federal and regional support which is granted to the projects, such as tax incentives, subsidizing interest rates on bank loans, infrastructure development in Rebrikha district.

Apart from potential co-operation areas, the Japanese delegation raised the issue of excessive transportation costs of grain and grain processing products in Russia. Today, this is a major negative factor which hinders development of trade relations between the two countries.

The presentation of PAVA's new strategy was a success and very well received by the Japanese partners. Representatives of the grain processor say it marks a positive start for the relationship with mutually beneficial perspectives.


PAVA is one of the major grain processors in Russia. The company represents a 3% share of the national flour market. According to 2007 results, it was given the status 'Leading Exporter of the Industry' by Russian Ministry of Economic Development. Recently PAVA has developed a new strategy - creation of a vertically integrated agroindustrial holding. It is based on implementation of 2 projects: RAD (agricultural business operations) and Grainvest (deep grain processing), consolidated under GlobalAgro structure.

Press Release Source:

Press Release Submitted On: October 26, 2009 at 11:10 pm
This article has been viewed 22472 time(s).