17 December 2019
Marubeni Corporation
JFE Engineering Corporation
Marubeni Corporation (hereinafter, "Marubeni") hereby announces the conclusion of the Japanese Strawberry Greenhouse Project contract with "Sovkhoz Elektrostalsky" *1, a group company of "Victoria Estate" (hereinafter, both Sovkhoz Elektrostalsky and Victoria Estate will be referred to together as, "VE Group"). The design and supply for the greenhouse will be conducted by JFE Engineering Corporation (hereinafter, "JFE Engineering").
In accordance with recent increasing demand for high quality strawberries in the Russian market, VE Group has a plan to build a greenhouse for the production of Japanese strawberries in Victoria Industrial Park (hereinafter, the "Project"), a property owned by VE Group in Elektrostal City, which is a suburban area of Moscow. The Project is scheduled to be scaled-up from 10ha initially to 30ha upon completion. The first phase of the Project will involve the supply of equipment for the initial 10ha by Marubeni and JFE Engineering.
Furthermore, the Moscow regional government has decided to provide the Project with government subsidy funding, as the Project's high potential to promote job creation and economic development in Russia is expected to contribute greatly to Russian society. The Japanese Ministry of Agriculture, Forestry and Fisheries has also selected this project for subsidy as it falls under the category of "Japanese food industry global operational presence". *2
Although the greenhouse business is a relatively new field for Marubeni, it is nevertheless one of the most valuable because it enables the stable provision of food regardless of the effects of climate change. In particular, the Project's stable supply of Japanese strawberries would accerate the diversification of Russia's food culture and also promote the Japanese brand as it makes its foray into the Global Market. Marubeni, as a contractor, will contribute to the Project by applying its vast experience in the field of global plant construction and procurement.
Since 2014, JFE Engineering has been operating greenhouses in Tomakomai and Sapporo in Hokkaido. JFE Engineering has applied its own proprietary technology to these greenhouses which have been successfully producing high-value-added crops as a result. At the request of VE Group, JFE Engineering will leverage their experience and knowledge in the greenhouse business to provide cultivation training services for the Project after the completion of the initial 10ha in 2021.
Marubeni and JFE Engineering consider this the first step in their collaboration to spread high-value-added Japanese cultivation technology across Russia, CIS countries and the rest of the world, thereby contributing to the development of regional and global economies.
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*1
About LLC "Greenhouse Complex "Sovkhoz Electrostalsky"":
The agriculture operating company that cultivates vegetables at Victoria Estate owned Victoria Industrial Park in Elektrostal City. - *2 At the Japan-Russia summit meeting in May 2016, Prime Minister Abe introduced Japan's work for promoting Japan-Russia economic exchange and presented a cooperation plan with eight points. The Project is categorized as, "cooperation on cutting-edge technologies" by Japanese government, one of the eight points of Prime Minister Abe's plan.
Outline of the Project
| Customer | LLC "Greenhouse Complex "Sovkhoz Electrostalsky"" |
|---|---|
| Supply Materials | 10ha Greenhouse equipment for cultivating Japanese strawberry |
| Planned Schedule | September 2020 / Start shipment materials April 2021 / Completion of the project |
Outline of Victoria Estate
| Company Name | "Management company "Victoria Estate" LLC" |
|---|---|
| Location | Moscow Region, Elektrostal city |
| Established | 2007 |
| CEO | Mr. ROSTOV Evgeniy |
| Business | Greenhouse, Commercial Real Estate |
| Homepage | http://v-em.ru/ |
Image of Japanese strawberry greenhouse after completion
