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An agricultural holding comprising of 15 companies - Seymovskaya

Seymovskaya produces eggs, egg powder, pasteurized egg products, poultry, sausages, meat, grain and milk. The company was established in the beginning of 60s and will celebrate its 50th anniversary in the next year. At present, the holding comprises of 15 companies, engaged in the production of agricultural products. It owns 55 thousand hectares of land and employs approximately 2,500 people. The below mentioned information is based on the exclusive interview with the company’s President, Leonid Konstantinovich Sedov.

History
There were few important periods in the history of Seymovskaya. It all started in early 60s when the government issued a decree to build near large Russian cities giant livestock and poultry farms. In February 1961, in the northern part of Volodarsk, the first concrete slab in the foundations of the future Seymovskaya poultry farm was laid. Already in mid-October 1963 the factory released its first product – the egg. On 28 December 1964, the first part of the plant, able to house 100,000 laying hens was commissioned. The greatest achievements were made in 1968 when the poultry farm switched from the floor to cage housing of hens. On 13 February 1971, the collective of Seymovskaya farm was awarded the Order of the Red Banner for its success in the development of agricultural production. In December 1974, the second part of the poultry complex was passed to the State Commission and put into operation. It comprised of 20 buildings, each able to house 35,000 hens, a boiler room, an egg sorting shop, a complex of treatment facilities and other ancillary units. The capacity of the plant has increased significantly and the factory became one of the largest poultry farms in the country. By 1984 the designed capacity of the plant has increased by 7 times, and the volume of production by more than 10 times. The beginning of 90s was a difficult period for the factory. It was in a state of crisis but intra-organizational settlement introduced at the company helped the plant to survive and was a powerful stimulus for its further development. In 2006, a large-scale reconstruction including introduction of new incubation equipment, construction of modern poultry housing facilities and installation of high-performance sorting equipment began at the plant. According to the economic department, the cost of incubation thanks to the modernization was reduced by RUB 1.4 million per year whereas the cost of hens housing was reduced by RUB 67 million per year. Savings from the collection and sorting of eggs were estimated at RUB 4.6 million a year. The total spending on the project amounted to RUB 756 million. After the modernization, the factory releases products of a higher quality, with diversified types of filing and packaging. It also expanded its products portfolio to meet the tastes of a wide range of customers.
Strategic potential
The company’s strategic potential is composed of the factory’s production capacity, increased in the framework of a national project of agriculture-industrial complexes development on the basis of subsidized loans. The capacity of Seymovskaya increased, the company also acquired a number of businesses, which today are working within the structures of the holding. Currently, the company has 55 thousand hectares of land, which allows it to assure supply with grain and which is a competitive advantage over the poultry farms which do not own land. At present, the holding comprises of 15 companies, engaged in the production of agricultural products – grain, milk and meat. All the companies of the holding are highly organized. The company is proud of its highly qualified team of professionals. The holding employs 2.5 thousand people, 1,567 of whom work in the head office. The company’s potential is also its high-quality products available on the market. The brand “Gold of Seyma” is known far beyond Nizhny Novgorod region.  Today the company supplies products to 8 regions in Russia, and plans to expand to other regions of the country and abroad.
Financial results
According to the company’s President, the profitability of Seymovskaya and almost all other agricultural enterprises operating in Russia falls every year more and more. The prices for livestock and poultry products rise slowly in comparison with the prices for the components like feed, energy, fuel, spare parts, equipment, etc. Thus, in spite of the great work the company is doing to optimize costs and increase productivity, its profitability still decreases. Currently, the company’s profitability is estimated at approximately 7 percent.
Production
For nearly five decades Seymovskaya has been delivering to the customers’ tables high-quality, healthy and delicious products, including a wide range of chicken eggs, egg powder and products of animal and crop husbandry. They all meet the highest international standards. The holding produces in total more than 56.5 million of eggs per month. Seymovskaya is the first poultry farm in the Volga Federal District, which in 2004 certified its production according to the food quality management system based on the principles of HACCP. In December 2009, the company was certified in compliance with the safety management system GOST R ISO 22000 – 2007. The problem of quality control of food products is solved at the company by implementing the quality management system at all stages of production – supply of raw materials, selection of ingredients, processing, storage and transportation, sales and management of products. The quality management system ISO assures consistent high quality and safety of poultry products. The products with the company’s logo are well-known and appreciated by the customers in many regions of Russia. During Russian and international exhibitions, meat and egg products released by Seymovskaya constantly receive high marks and well-deserved awards, diplomas, platinum, gold and silver medals. Today Seymovskaya is a rhythmically operating company with a closed production cycle, based on the use of highly productive cross hens. Since 1998, the company has started using the Isa-Brown cross hens and had been housing them for a long time, up until 2012, when a gradual transition into more productive cross hens Lohmann Brown began. In its own feed workshop with the capacity of 20 tons of feed per hour the company produces all kind of feed based on 25 recipes with a computer-dosing system. As a result, the eggs are enriched in bio-selenium, carotinoids, vitamin E and some other substances (branded eggs Seymovskye Derevenskye, Molodilnye). The customers have already appreciated their quality. The company’s modern veterinary laboratory is equipped with the latest equipment, allowing immediate analysis of such dangerous bacteria as salmonella, staphylococcus enterotoxin and others. In addition, good housing conditions, veterinary service, skilled treatment, substantial investment in vaccinations, monitoring of raw materials in terms of safety and nutritional value, bio-stimulants and no genetically modified ingredients in the diet of laying hens assure the quality, utility and high nutritional value of eggs released by Seymovskaya. The high quality of eggs is also assured by the use of modern high-tech equipment used in the eggs sorting shop. In 2006, the company commissioned a new eggs sorting shop with a sorting machine MOBA Omnia 330 with the capacity of 120 thousand eggs per hour. The company has a unique automatic quality control unit with notch and dirt detecting device, as well as a block of general disinfection with ultraviolet light. The egg sorting machine is packing eggs from 14 outputs simultaneously. In 2009, the company installed the second MOBA Omnia 500 sorting machine with the capacity of 180 thousand eggs per hour. Seymovskaya has a well-equipped warehouse for finished products with a pallet-storage system. For more than 5 years now a loading and unloading shipment terminal which meets all the international standards has been operating. Eggs drying site is producing up to 530 tons of egg powder per year. Danish spray drying equipment enables to save all the values of egg powder, vitamins and nutrients contained in the egg. High solubility and rich yellow color of Seymovskaya egg powder makes it one of the most popular among the leading food companies. In 2008, an egg bottling site was launched. Here pasteurized egg products are manufactured. They are characterized by a long shelf life due to qualitative pasteurization and aseptic packaging. In the slaughter hop, a slaughtering line of the Netherlands-based company Stork is operating. It can process 1,800 birds per day with consistently high level of quality and compliance with veterinary and sanitary rules. The company’s canning plant produces a wide range of chicken and meat products: different types of stews, stuffing, pastes, and melted chicken fat. All of them have participated and won prizes during All-Russian exhibitions and competitions. The holding is also involved in the production of cow’s milk. The breeding farm built according to a Czech project includes two yards for loose housing of cows. The farm is automated and computerized so the manual labor is practically not applicable and the contact of people with the finished product is excluded. Milking is performed in the milking parlor equipped with apparatus from a Danish company SAG, in a closed, sterile cycle. Seymovskaya uses for cooling milk a cooler supplied by a French manufacturer SERAP. 
History
There were few important periods in the history of Seymovskaya. It all started in early 60s when the government issued a decree to build near large Russian cities giant livestock and poultry farms. In February 1961, in the northern part of Volodarsk, the first concrete slab in the foundations of the future Seymovskaya poultry farm was laid. Already in mid-October 1963 the factory released its first product – the egg. On 28 December 1964, the first part of the plant, able to house 100,000 laying hens was commissioned. The greatest achievements were made in 1968 when the poultry farm switched from the floor to cage housing of hens. On 13 February 1971, the collective of Seymovskaya farm was awarded the Order of the Red Banner for its success in the development of agricultural production. In December 1974, the second part of the poultry complex was passed to the State Commission and put into operation. It comprised of 20 buildings, each able to house 35,000 hens, a boiler room, an egg sorting shop, a complex of treatment facilities and other ancillary units. The capacity of the plant has increased significantly and the factory became one of the largest poultry farms in the country. By 1984 the designed capacity of the plant has increased by 7 times, and the volume of production by more than 10 times. The beginning of 90s was a difficult period for the factory. It was in a state of crisis but intra-organizational settlement introduced at the company helped the plant to survive and was a powerful stimulus for its further development. In 2006, a large-scale reconstruction including introduction of new incubation equipment, construction of modern poultry housing facilities and installation of high-performance sorting equipment began at the plant. According to the economic department, the cost of incubation thanks to the modernization was reduced by RUB 1.4 million per year whereas the cost of hens housing was reduced by RUB 67 million per year. Savings from the collection and sorting of eggs were estimated at RUB 4.6 million a year. The total spending on the project amounted to RUB 756 million. After the modernization, the factory releases products of a higher quality, with diversified types of filing and packaging. It also expanded its products portfolio to meet the tastes of a wide range of customers. 

Strategic potential
The company’s strategic potential is composed of the factory’s production capacity, increased in the framework of a national project of agriculture-industrial complexes development on the basis of subsidized loans. The capacity of Seymovskaya increased, the company also acquired a number of businesses, which today are working within the structures of the holding. Currently, the company has 55 thousand hectares of land, which allows it to assure supply with grain and which is a competitive advantage over the poultry farms which do not own land. At present, the holding comprises of 15 companies, engaged in the production of agricultural products – grain, milk and meat. All the companies of the holding are highly organized. The company is proud of its highly qualified team of professionals. The holding employs 2.5 thousand people, 1,567 of whom work in the head office. The company’s potential is also its high-quality products available on the market. The brand “Gold of Seyma” is known far beyond Nizhny Novgorod region.  Today the company supplies products to 8 regions in Russia, and plans to expand to other regions of the country and abroad. 

Financial results
According to the company’s President, the profitability of Seymovskaya and almost all other agricultural enterprises operating in Russia falls every year more and more. The prices for livestock and poultry products rise slowly in comparison with the prices for the components like feed, energy, fuel, spare parts, equipment, etc. Thus, in spite of the great work the company is doing to optimize costs and increase productivity, its profitability still decreases. Currently, the company’s profitability is estimated at approximately 7 percent. 

Production 
For nearly five decades Seymovskaya has been delivering to the customers’ tables high-quality, healthy and delicious products, including a wide range of chicken eggs, egg powder and products of animal and crop husbandry. They all meet the highest international standards. The holding produces in total more than 56.5 million of eggs per month. Seymovskaya is the first poultry farm in the Volga Federal District, which in 2004 certified its production according to the food quality management system based on the principles of HACCP. In December 2009, the company was certified in compliance with the safety management system GOST R ISO 22000 – 2007. The problem of quality control of food products is solved at the company by implementing the quality management system at all stages of production – supply of raw materials, selection of ingredients, processing, storage and transportation, sales and management of products. The quality management system ISO assures consistent high quality and safety of poultry products. The products with the company’s logo are well-known and appreciated by the customers in many regions of Russia. During Russian and international exhibitions, meat and egg products released by Seymovskaya constantly receive high marks and well-deserved awards, diplomas, platinum, gold and silver medals. Today Seymovskaya is a rhythmically operating company with a closed production cycle, based on the use of highly productive cross hens. Since 1998, the company has started using the Isa-Brown cross hens and had been housing them for a long time, up until 2012, when a gradual transition into more productive cross hens Lohmann Brown began. In its own feed workshop with the capacity of 20 tons of feed per hour the company produces all kind of feed based on 25 recipes with a computer-dosing system. As a result, the eggs are enriched in bio-selenium, carotinoids, vitamin E and some other substances (branded eggs Seymovskye Derevenskye, Molodilnye). The customers have already appreciated their quality. The company’s modern veterinary laboratory is equipped with the latest equipment, allowing immediate analysis of such dangerous bacteria as salmonella, staphylococcus enterotoxin and others. In addition, good housing conditions, veterinary service, skilled treatment, substantial investment in vaccinations, monitoring of raw materials in terms of safety and nutritional value, bio-stimulants and no genetically modified ingredients in the diet of laying hens assure the quality, utility and high nutritional value of eggs released by Seymovskaya. The high quality of eggs is also assured by the use of modern high-tech equipment used in the eggs sorting shop. In 2006, the company commissioned a new eggs sorting shop with a sorting machine MOBA Omnia 330 with the capacity of 120 thousand eggs per hour. The company has a unique automatic quality control unit with notch and dirt detecting device, as well as a block of general disinfection with ultraviolet light. The egg sorting machine is packing eggs from 14 outputs simultaneously. In 2009, the company installed the second MOBA Omnia 500 sorting machine with the capacity of 180 thousand eggs per hour. Seymovskaya has a well-equipped warehouse for finished products with a pallet-storage system. For more than 5 years now a loading and unloading shipment terminal which meets all the international standards has been operating. Eggs drying site is producing up to 530 tons of egg powder per year. Danish spray drying equipment enables to save all the values of egg powder, vitamins and nutrients contained in the egg. High solubility and rich yellow color of Seymovskaya egg powder makes it one of the most popular among the leading food companies. In 2008, an egg bottling site was launched. Here pasteurized egg products are manufactured. They are characterized by a long shelf life due to qualitative pasteurization and aseptic packaging. In the slaughter hop, a slaughtering line of the Netherlands-based company Stork is operating. It can process 1,800 birds per day with consistently high level of quality and compliance with veterinary and sanitary rules. The company’s canning plant produces a wide range of chicken and meat products: different types of stews, stuffing, pastes, and melted chicken fat. All of them have participated and won prizes during All-Russian exhibitions and competitions. The holding is also involved in the production of cow’s milk. The breeding farm built according to a Czech project includes two yards for loose housing of cows. The farm is automated and computerized so the manual labor is practically not applicable and the contact of people with the finished product is excluded. Milking is performed in the milking parlor equipped with apparatus from a Danish company SAG, in a closed, sterile cycle. Seymovskaya uses for cooling milk a cooler supplied by a French manufacturer SERAP. 

 

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