What's Happening?
The Baltic agrifood company Akola Group is investing €13 million ($15.2 million) to upgrade its poultry operations in Lithuania and Latvia. The investment is part of a larger €43 million ($50.4 million) allocation for the 2025-2026 financial year aimed at modernizing production, expanding incubation capacity, and enhancing biosecurity and environmental efficiency. Akola's poultry business includes Vilniaus Paukštynas and Kaišiadorių Paukštynas in Lithuania and Kekava Foods in Latvia. The company aims to strengthen its production processes and ensure a stable supply chain amid increasing avian disease outbreaks in Europe.
Why It's Important?
This investment is crucial for Akola Group as it seeks to maintain and expand its market position in the poultry industry.
By modernizing its facilities and enhancing biosecurity measures, Akola aims to protect its production processes and ensure uninterrupted supply chain operations. The focus on environmental and energy efficiency aligns with broader industry trends towards sustainable practices. The investment is expected to support the growth of Akola's poultry segment, which has shown stable production volumes and significant sales in recent financial periods.
What's Next?
Akola Group plans to implement major projects at its Vilniaus Paukštynas site, including the installation of AI-based carcass preparation technology and the renovation of an incubation facility. These upgrades are expected to improve production quality and increase capacity to produce up to 45 million day-old chicks. As the company continues to invest in its poultry operations, stakeholders will be monitoring the impact of these enhancements on Akola's market performance and its ability to meet growing demand. The company's focus on biosecurity will also be critical in mitigating risks associated with avian diseases.
