Belaya Dacha is a major holding company in the Russian Federation, with interests in real estate, retail and other businesses. In 2015, they teamed up with Lamb Weston/Meijer, the European arm of a global leader in potato products to open a new business serving customers across Russia.

Belaya Dacha-Lamb Weston/Meijer

<h3>Leader in a fast-growing market</h3>
<p>Based in Lipetsk, in West Russia, the new facility has been an immediate success, winning business from major fast food outlets, such as McDonald's and Burger King, as well as providing fries and other potato products for retail sale. The volume produced by Belaya Dacha is growing rapidly, with ambitious plans for the future.</p>
<h3>Business challenge</h3>
<p>The company is now facing the challenges of business success, as they look for the most efficient and responsible ways to use this growing volume of potato co-product. In West Russia, the local market for using co-product as animal feed, starch or as ingredients for other products is not well-developed. As a result, it is proving difficult to sell this material or use it in productive ways, with a high proportion of co-product currently going to landfill. This an unsatisfactory way of using what should be a valuable product, as volumes double in the near future, while current solutions may not stay viable.</p>
<h3>Role of Duynie Consulting</h3>
<p>Realising that the current status quo is not sustainable, Belaya Dacha-Lamb Weston/Meijer asked Duynie Consulting to carry out a zero point analysis, following a detailed review of the market and its potential.</p>
<p>Duynie Consulting explored three options for eliminating wastage of potato co-product, cutting out landfill and opening the potential for profitable onward use. This involved reviewing the local agricultural market to identify how co-product can be sold directly to farmers for animal feed, following a comparison of nutritional value and current costs for other forms of feed. After that, Duynie Consulting prepared an analysis of how to use potato co-product as an ingredient for pet food in the Russian market, and for further processing as potato flakes to be used in catering and other areas of food preparation.</p>
<h3>Benefits and next steps</h3>
<p>Now that the potential added value uses in the Russian market have been analysed and presented, Duynie Consulting has made detailed proposals for the most profitable and environmentally responsible options. Further action is ongoing and remains commercially confidential, but there is real confidence the future will see continued growth for a highly successful new business in the Russian market, both in terms of volume growth and in a positive new approach to co-product usage.</p>

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Realising that the current status quo is not sustainable, Belaya Dacha-Lamb Weston Meijer asked Duynie Consulting to carry out a zero point analysis, following a detailed review of the market and its potential. Duynie Consulting explored three options for eliminating wastage of potato co-product.

Duynie Group | Creating new value