Baltic Export, Foodstuff, Good for Business, Latvia, Markets and Companies

The company's financial year continues from July 1 to June 30, 2014.

According to Rigas dzirnavnieks board member Zilvinas Pakeltis, the company faced new challenges in the past financial year due to lower prices on the local and foreign markets, reducing exports to Russia, and political instability in Ukraine.

"We continue to diversify exports to new markets, for instance, last year we launched exports to Italy and Near East. These are important destinations," said Pakeltis. "In the meantime, the United Arab Emirates is an exotic and challenging market where the demand for grain products is rising quickly. Expansion into new markets will remain the company's strategic goal also in the future," he added.

The company continues work on cost optimization thanks to a new alternative boiler unit that works on grain husk.

The main projects implemented last year include construction of a new production line for "Herkuless" oat porridges, production of new organic products, and starting exports to new markets.

The popular "Herkuless" brand last year fully replaced the previous "AXA" brand.

70% of Rigas dzirnavnieks output is sold on the Baltic market, 30% is exported. The main export markets include European Union, Russia, and other regions in the world.

Rigas dzirnavnieks produces and markets grain and flour products – all kinds of wheat and rye flour, flour mixtures, cereals and other products for industrial producers as well as packaged products for individual consumers under the "Herkuless", "Hercogs" and "Ista samniece" brands.

Rigas dzirnavnieks was acquired by Lithuanian grain processing company Malsena Plius in March 2013, which bought the company from Sweden's Lantmannen.