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Postponement of ‘Grand Fries’ Potato Processing Plant: Implications for Russian Agriculture

by T.G. Lynn
18.03.2025
in News, Processing
A A
Postponement of ‘Grand Fries’ Potato Processing Plant: Implications for Russian Agriculture

In a recent development, the inauguration of the ‘Grand Fries’ potato processing facility in the Mtsensk district of the Oryol region has been rescheduled to the latter half of 2026, a year later than initially planned. This project is a collaboration between ‘Miratorg’, a leading Russian agribusiness holding, and ‘Vkusno — i tochka’, the rebranded entity succeeding McDonald’s in Russia.

Construction of the plant commenced in 2023, with an investment totaling 19.2 billion rubles. Upon reaching full operational capacity, the facility is projected to contribute approximately 2.24 billion rubles annually in tax revenues across various budget levels, factoring in the tax incentives provided by the Oryol Special Economic Zone.

The ‘Grand Fries’ plant is designed to process specially selected potato varieties cultivated by ‘Miratorg’. Its product lineup will include French fries, potato flakes, wedges, and hash browns. These products are intended to supply ‘Vkusno — i tochka’ outlets, as well as other segments within the HoReCa (Hotel/Restaurant/Café) industry.

The postponement of the plant’s launch may have several implications for the Russian agricultural sector. Farmers and agronomists involved in the cultivation of the specific potato varieties required for processing might need to adjust their production schedules and expectations. Additionally, the delay could affect the supply chain dynamics for processed potato products within the domestic market.

Despite the setback, the project’s scale and investment underscore a significant commitment to enhancing Russia’s food processing capabilities. The creation of approximately 400 jobs upon the plant’s opening is anticipated to bolster the local economy in the Oryol region.

The deferment of the ‘Grand Fries’ potato processing plant’s launch to late 2026 presents both challenges and opportunities for stakeholders in Russia’s agricultural sector. While the delay necessitates adjustments in production and supply chain strategies, the substantial investment and projected economic benefits highlight the potential for growth and modernization within the industry.

Tags: Economic DevelopmentFood IndustryGrand Fries ProjectMiratorgOryol RegionPotato processingRussian agricultureVkusnoi Tochka
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