Large dairies competing for €15 million state subsidy

Two large dairy companies, E-Piim and Saaremaa Piimatööstus, would both like to build another factory and are competing for €15 million worth of state subsidies for their projects.

Interested companies have from Feb. 13 to 17 to file applications for funding with the state’s agricultural registers and information board, PRIA, daily Eesti Päevaleht wrote on Thursday.

E-Piim and Saaremaa Piimatööstus are not the only contenders. Among the others are Jõgeva County’s agricultural producers’ association, MilkEst/EPIKO, Saare County’s dairy cooperative (to which Saaremaa Piimatööstus belongs), Tartu County’s dairy cooperative, and holding company CPTT Consult.

Estonia’s largest dairy producers are currently E-Piim, Tere, Maag, and Valio.

According to Valio CEO Maido Solovjov, a new factory build with the help of public money would lead to unfair competition in the market. In terms of production volumes and potential exports, Solovjov is convinced that an additional large dairy does not make a lot of sense.

Editor: Editor: Dario Cavegn

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