Over the past several years, we’ve been seeing a strong demand for our high-tech greenhouses from the Eastern European market. This has partly been driven by governments keen to promote local food production, whether or not through subsidies, but also by the growing demand for a high quality, year-round product. In recent years, Van der Hoeven has completed a range of projects in Russia, Kazakhstan and Belarus, among others, and in partnership with local builders we’ve created some impressive projects. Furthermore, for several projects we provide an excellent aftersales service and advice on cultivation, resulting in fast-growing and profitable companies.
Although the subsidies in many Eastern European countries, including Russia, have largely been frozen in recent years, this has not stopped several of our clients from continuing to expand, and the (commercial) potential of food production under glass is widely recognized. For instance, we are currently constructing three different complexes in Kazakhstan for our client Ekibastuz. The project comprises two greenhouses of 100,000 m2 and a nursery of 10,000 m2. In 2015, we completed our first horticultural project for this client, a 50,000 m2 greenhouse for rose cultivation. In 2017, it was decided to embark on another 50,000 m2 project for tomato production. By the end of 2019, we will therefore have constructed some 310,000 m2 of greenhouses on this site, which equates to the largest high-tech greenhouse horticultural complex in Kazakhstan.
In the city of Almaty, further south, we recently began the construction of a horticultural greenhouse of 50,000 m2, which will be used for tomato cultivation. The expectation is that this project, too, will be completed towards the end of 2019.
As you may have read in our previous newsletter, we are busy shipping the final materials for a 270,000 m2 turnkey project in the Russian city of Volgograd. This greenhouse complex will be operational by summer. Despite the logistical challenge of transporting such a large number of materials in such a relatively short timescale, we are still on schedule. Naturally, this is hugely appreciated by our client.