ANIMAL FEED SUPPLIER DRIVES THE LARGEST PIG FARM IN PERM REGION INTO BANKRUPTCY

The Chelyabinsk company ‘Urozhay’, which supplied animal feed, filed an application with the Perm Territory arbitration court with a request to recognize the insolvency of ‘Perm pig farm’ JSC. The company did not receive half of the payment (1.4 million rubles) for the supply of 300 tons of feed (wheat bran) even after it had won the case in court.  Now the pig farm has all chances to go bankrupt.

The defendant enterprise is located in the village of Mayskiy, Krasnokamsky District. It is owned by the regional authorities. In 2015, the pig farm agreed on a 49-year lease with a legal entity (LLC) controlled by the Synergy Group of Companies from Omsk. The contract was terminated in 2017 - the tenant went bankrupt, and the number of pigs remained in the premises of the pig farm. The owner has not get them out, and experts say about the threat of epizootics and the loss of animals due to lack of feed.

Now bankruptcy is threatening the pig farm itself.

In 2017, the company sold 82% of all pork in the Perm Territory, performing a full cycle of work, from production to processing. In 2020, despite a decrease in the company's revenue by 484 million rubles, the company increased its profit by 926 million. As a result, the book value of the company's property increased by almost 60%, amounting to 1.6 billion rubles. However, in the first quarter of 2021, the pig farm showed losses of 161.1 million rubles

An attempt to save the company by allocating a subsidy made by the regional authorities, apparently, did not lead to the desired result, having caused a social conflict. In May 2021, 116 million rubles were allocated from the budget, 29.7 million of which were allocated to pay salaries and 69.3 million to purchase feed.

As a result, employees of some departments received money, while the others did not.

Citizens of the village of Mayskiy began to sound the alarm, reporting the layoffs of employees and the death of animals. Pigs are regularly underfed, instead of the prescribed 2.6 kg of compound feed, an individual animal receives about 700 grams per day.

The citizens themselves have already turned to the regional authorities and even to the president of the country through the social network. According to farmers, the pig farm, built in the 1970s, is collapsing, requiring prompt repairs and equipment upgrades. The farm employs about a thousand employees at risk of losing their jobs. What plan for the further development of production is proposed by regional officials, is still not reported.