2012-12-04 10:46

Lithuania's Vesiga targets 10 percent of Russian tomato sauce market with new plant

Lithuania's Vesiga, the producer of sauces under the Daumantų brand, is se to open a new modern factory in Kaliningrad in January or February, which will help the company to pursue its ambitious goal of winning a 10-percent share of the Russian tomato sauce market, the business daily Verslo Žinios reports.
Naminis pomidorų padažas
Naminis pomidorų padažas / Fotolia nuotr.

Vesiga CEO Saulius Grinkevičius speaks about plans to buy a company in Poland or Scandinavia, but agrees that Vesiga itself would be an attractive acquisition target for foreign companies, it wrote.

"Our aim is to capture about 10 percent of the Russian market with our tomato sauces. This is not impossible. One of our sauces already holds a market share of over 10 percent (in Russia). Certainly, this is an ambitious plan in the country of 150 million people. But a realistic one. For example, we hold about 60 percent of the market in the Kaliningrad region," he said.

The new factory will have a monthly capacity of 2,000 tons of products, four times as much as that of the old sauce factory in the Russian exclave that Vesiga purchased in 2002.

The company has already invested 12 million litas (EUR 3.48m) in the new company in Kaliningrad, with another 2 million litas to be spent on equipment and other needs.

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