UKRAINE – Suziria Group has announced its plans to develop a new wet pet food facility in Kalush, Ukraine, after receiving a US$2 million grant from the USAID Investment for Business Resilience Activity (IBR).
This funding is part of IBR’s mission to support Ukrainian businesses impacted by the ongoing war with Russia.
Suziria Group faced significant challenges after a recent missile attack damaged its warehouse in Kharkiv. This prompted the company to relocate its grain feed production to Kalush.
The new site has also become the hub for producing meat-based pet treats while some operations continue in Kharkiv.
“Russia’s armed aggression against Ukraine and the depreciation of the national currency affected the company’s operations. All this prompted us to revisit our business model and focus on developing our production facilities in the country’s west. We are grateful to IBR and the partner banks. Our cooperation demonstrates that all the stakeholders are committed to Ukraine’s victory and are ready to invest in developing competitive businesses and support the Ukrainian economy,” Polina Kosharna, co-owner of Suziria Group, stated.
In addition to the grant, Suziria will secure an extra US$4.5 million through loans from Ukrainian banks and its resources. This financial support will enable the company to produce wet dog and cat foods at the new facility.
Launching this advanced production line is expected to increase Suziria Group’s capacity in Ukraine, create 130 new jobs, and significantly reduce production costs.
“Despite the constant shelling of Kharkiv and the loss of some of its stores in the temporarily occupied territories, Suziria Group has not stopped but continues to grow and adapt to the new realities,” Yulia Vitka, deputy chief of the USAID Investment for Business Resilience Activity, commented, highlighting the company’s resilience.
“The launch of advanced production facilities, the creation of new jobs, and, in the long run, access to new external markets will contribute to Ukraine’s economic recovery and GDP growth, which will benefit both the company and the country.”
Currently, Suziria Group contracts its wet pet food production through partner facilities in other European Union countries. Developing its processing capabilities will allow the company to phase out imports and expand its sales geography.
By collaborating with local raw material suppliers, Suziria Group aims to meet consumer demand and broaden its market reach.
Additionally, the company plans to co-manufacture wet pet food products for Ukrainian retailers under private labels. It expects to export its wet pet foods to the European market within three years.
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