Akola group, a group of Baltic agricultural and food production companies, is starting construction of a seed factory in Latvia, in the city of Iecavas. This project, in which 9.5 mln. Eur, aims to shorten the path of seeds to the farmer and strengthen the company's position in the Baltic region.
The factory under construction will be managed by the group's seed production company "Dotnuva Seeds".
"The new seed factory will provide an opportunity to be closer to our customers, to reach Latvian and Estonian farmers faster and more efficiently, and to reduce the time and costs of seed delivery. This is a significant day in the history of the company - this is how we mark our growth and development", Jonas Bakšys, member of the board of AB "Akola group" and general director of "Dotnuva Seeds", is quoted in the company's announcement.
It is planned that 4,600 sq. m area, the production company will be able to produce about 30,000. t of seeds per year.
Currently, the company-owned "Dotnuva Baltic" seed factory operating in Dotnuva produces about 27,000 tons of seeds per year.
According to J. Bakši, the new factory in Iecava will not only increase the production capacity of AB "Akola group", but will also ensure the demand for certified seeds needed by farmers.
Jonas Bakšys, member of the board of AB "Akola group" and general director of "Dotnuva Seeds".
"We see a great potential for the production of certified seeds. Seed selection offers many advantages to each farm: the selected varieties are adapted to local climatic conditions, are resistant to regional diseases, which leads to a higher yield," notes the head of Dotnuva Seeds.
It is planned that the new seed factory in Latvia will start working in the summer of next year.
Established last May, UAB "Dotnuva Seeds" is directly subordinated to the joint-stock company "Linas Agro", which is the largest company managed by "Akola group" in terms of revenue and one of the largest agribusiness companies and grain exporters in the Baltic States.
Linas Agro, which manages eight companies in the Baltic States, has been supplying products and services to farmers for more than 32 years.
In order to strengthen the production of certified seeds, the company in 2023 founded seed production companies in Lithuania and Latvia.
