Óvártej investing for HUF 1.1 bln to expand capacity
Minister of Agriculture István Nagy gives a speech at the handover of a competitiveness-enhancing grant at the Mosonmagyaróvár plant of Óvártej Zrt. on March 19, 2021.
Photo by MTI / Csaba Krizsán
Hungarian dairy company Óvártej, owned by Italy's Valcolatte since 2013, is spending HUF 1.1 billion to expand capacity at its base in Mosonmagyaróvár (160 km northwest of Budapest), Minister of Foreign Affairs and Trade Péter Szijjártó said on Friday, according to origo.hu.
Szijjártó presented company officials with a HUF 294 million government grant for the investment which will preserve 135 jobs. Óvártej is building a 1,200 sqm production hall and outfitting it with equipment that will boost capacity by 20%, he added. The handover was also attended by Minister of Agriculture István Nagy.
Thanks to earlier investments, Óvártej has doubled the volume of milk it processes in the past three years and now takes deliveries from more than 40 dairy farms. About 95% of the cheese it produces is exported to other countries in Europe.
Óvártej's chief executive Carlo Volpe said the company's main business is supplying catering companies, mostly with mozzarella, adding that orders have dropped because of pandemic restrictions. The new investment will broaden Óvártej's product palette, he said.
Valcolatte group owner Enzo Panizzi said the investment could clear the way for Óvártej to export its products to the Middle East, Asia, or North America. Óvártej had revenue of HUF 14.6 bln in 2019. Exports generated HUF 13.9 bln of the total.
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