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Tokaj Kereskedőház to invest HUF 17.1 bln by 2017

State-owned wine company Tokaj Kereskedőház plans to invest HUF 17.1 billion by 2017, András Tombor, head of the supervisory board, said yesterday, according to Hungarian news agency MTI.

As part of the project, the company has already completed the first phase of a bottling plant for HUF 3 bln.

In addition to the HUF 17.1 bln investment project, the company recently completed a HUF 2.5 bln tank hall with capacity for 66,000 hectoliters, through state funding. The capacity of the tank hall will be expanded in the near future to 110,000 hectoliters.

The company received HUF 12.4 bln from the government between 2013 and 2015 in the form of loans and capital raises, but needs an additional HUF 15.5 bln to become profitable and self-sufficient by 2019, said Tombor.

Tokaji Kereskedőház bought 7,500 tons of grapes this year – below the average in recent years – grown on 1,077 hectares of vineyards for between HUF 140 and HUF 400 per kilo, depending on grape varieties.