Ukrainian agricultural companies are actively increasing investments in the processing of agricultural products and expanding their presence in new international markets. One of the industry leaders, the agricultural holding MHP, aims to increase the share of EBITDA coming from non-core products – chicken – to over 50%. Currently, this figure stands at about 23%.
This is reported by Finway
MHP’s Strategy: Processing and Expansion through M&A
MHP is actively developing its deep processing direction and implementing an expansion strategy through mergers and acquisitions (M&A). According to top manager Dmytro Zozulia, M&A is one of the key growth drivers for the company. The holding plans to invest in the frozen products sector, as well as in the growing and processing of vegetables.
Currently, MHP is negotiating with four enterprises, each valued between $4 million and $6 million. These companies specialize in the cultivation, distribution, and processing of vegetable products. MHP is ready to provide them with the necessary resources for further development and expansion in both domestic and foreign markets.
Investments in Onion Cultivation and Infrastructure Development
Additionally, the All-Ukrainian Council of Women-Farmers, together with the South Korean seed company Seedon, is implementing a pilot project for the cultivation of winter onions in Ukraine. The first 5 hectares of this crop have already been planted in the Odesa region. In 2025, it is planned to increase the sowing area to 150-250 hectares, and the next step will be the creation of a large onion cluster covering 1000 hectares.
The cluster represents a $45 million investment, and there are also plans to build a processing plant for $36 million.
These steps indicate the growing role of innovation and investment in the development of Ukrainian agribusiness, as well as the agrarians’ desire to increase the added value of products and compete in international markets.