PIK Vinkovci opens modern pallet warehouse for vegetable drying and storing in Lipovac

Lipovac is the leader in vegetable production in Croatia
The opening ceremony of the new pallet warehouse for drying and storing vegetables, with an area of 2,500 sqm and a capacity of 5,000 tons, was held in Lipovac today. The warehouse features 6 state-of-the-art chambers to ensure the top quality of products to be maintained and contains a total of 5,000 box pallet places. The total investment value amounts to more than HRK 17.5m.

The total storing capacity at the Lipovac location amounts to more than 12,000 tons and it is planned to open a line for sorting and separating onions for processing, a line for peeling, chopping and packing onions and a cooling system for onion storing purposes in the total value of HRK 8m by the end of the year. The location also features two cold storages and a floor storage with a total capacity of 7,000 tons, as well as a packing facility with a daily packing capacity of 150,000 kilograms of vegetables.

PIK Vinkovci opens modern pallet warehouse for vegetable drying and storing in Lipovac

Vladimir Džaja, Managing Director of PIK Vinkovci said on the occasion of opening the new warehousing center: „Due to the increased need for onion on the market we believe that there is a great opportunity in extending our storing capacities and increasing the agricultural production and we shall keep working on it in the future to justify the title of Croatia's biggest onion producer.“

The opening ceremony was also attended by Mrs. Ljerka Puljić, Senior Executive Vice President of the Agrokor Group, who stated on this occasion: „This is only one in a number of investments currently to be completed by Agrokor, because at Agrokor we firmly believe that new investments are the only realistic basis to exit the crisis, to improve employment and increase GDP. Therefore we optimistically keep investing in spite of the crisis and thus raise the value of our companies.“

Since 1994, when PIK Vinkovci joined the Agrokor Group, great investments were made in vegetable growing with a view to developing domestic production and increasing the sale of domestic products on the Croatian market. Total investments of the Agrokor Group in PIK Vinkovci exceed the amount of HRK 500m, whereof HRK 43m were invested in the facilities and equipment of production plants within the company.

The primary activity at Lipovac is the production, storing and packing of consumer and industrial vegetables – consumer onions, potatoes, celery, peas and popping corn and it specializes in the production and packaging of onion and potato. The annual consumer onion production at Lipovac meets the needs of a quarter of Croatia's market and in 2011 record yields of onion were achieved amounting to 9,300 tons.

For the production of red onion PIK Vinkovci d.d. has adopted the Dutch technology and purchased a line of machines to match up to the very strong competition in this production.

PIK Vinkovci has around 6,000 hectares of arable land, partly owned, under long-term lease or under lease of legal and natural persons. In Lipovac the major part of the land is under onion (271 ha), peas (246 ha) and popping corn (300 ha).