VTB reports financing for dairy expansion and new orchards in North Caucasus

VTB has lent Kazminsky Dairy Plant 3.45 billion rubles and increased Dagestan fruit and nut producer Polosa's credit line to 4.4 billion rubles, the bank said, citing deputy president Denis Bortnikov.

The financing falls under a subsidised Russian Agriculture Ministry programme. The bank put total support for the two businesses at more than 7 billion rubles.

The dairy plant will use its loan for production facilities and equipment in Nevinnomyssk, alongside its existing tax-incentivised site. The new line is designed to process 200 tonnes of milk daily, or 73 thousand tonnes annually. Production of the updated dairy and dessert range is planned for the second quarter of 2027.

Polosa will finance orchards in Dagestan's Suleyman-Stalsky and Magaramkentsky districts, planting material and irrigation equipment. More than 170 hectares will be planted with apples, pears, hazelnuts and sweet cherries. The company expects the project to create 40 jobs.

The producer plans its first harvest from the new orchards in 2029, with deliveries intended for all Russian regions.