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Despite the challenges posed by Russia’s full-scale invasion, Kormotech – a leading pet food producer from Ukraine – has continued its operations, as well as supporting humanitarian efforts for pets. Indeed, the company is now scaling up global growth, selling its products in 51 countries, while keeping production rooted in Ukraine. Support from the European Bank for Reconstruction and Development (EBRD) and the European Union (EU) has enabled Kormotech to strengthen its resilience, sustainability and international competitiveness.
A family endeavour
“Quality is the starting point for our work.” This simple yet powerful motto captures the essence of Kormotech – one of Ukraine’s most successful pet food producers.
Its story began not with pet food, but with yeast. In the early 1990s, Rostyslav Vovk’s father revitalised the Lviv Yeast Plant, dramatically expanding its capacity.
But when the yeast market stagnated, the family saw an opportunity to diversify into pet food – a niche, but growing, sector.
What followed was a true family endeavour. “At a family dinner, my father entrusted me with the task of building the factory, sourcing raw materials and setting up logistics,” Rostyslav recalls. “My sister Olena handled marketing and sales and later supported my father in structuring the Enzym Group. I became CEO of Kormotech and have been running it ever since.”
Starting the business was not easy. From the limitations of the original factory and difficulties in sourcing high-quality ingredients to competing for shelf space and overcoming consumer scepticism, Kormotech’s management faced and overcame numerous challenges along the way.
Partnering for growth and innovation
Kormotech did not just expand – it grew strategically. Long before the war, the company was investing in resilience, global competitiveness and innovation with support from the EBRD and donors.
A US expert introduced by the EBRD helped Kormotech to optimise production without major investment, accelerating growth. Later, with guidance from a Norwegian expert, they trained in-house nutritionists, which significantly reduced recipe development costs. This project was also supported by the EU under its EU4Business initiative.
Sustainability became a top priority. Kormotech installed solar panels to generate 1 MW of energy, with plans to add another 800 kW. The company also began preparing to comply with environmental, social and governance (ESG) standards and achieved cybersecurity certification – crucial for future international partnerships.
With financial support from the EBRD and the Japan-EBRD Cooperation Fund, Kormotech expanded beyond Ukraine, building its first pet food factory in Lithuania and securing a working capital loan to stay agile during the Covid-19 pandemic. At the same time, EU-backed grants through the EBRD’s Finance and Technology Transfer Centre for Climate Change (FINTECC) programme helped to boost energy efficiency.
Now, a €40 million investment supported by the Japan-EBRD Cooperation Fund is under way, seeking to expand production in Lithuania, boost exports and strengthen the company’s global team.
Responding to war: protecting people and pets
When Russia’s full-scale invasion began on 24 February 2022, Kormotech’s priorities shifted overnight.
“By 11 a.m., we knew our job was to protect our people,” Rostyslav recalls. The family converted their Lviv hotel into a shelter for employees and their families. “Some even stayed at the office. We had up to 40 cats sleeping under desks, including cats from a nearby shelter.”
The leadership team split into three task forces: one to ensure operations continued in Ukraine, another to drive international expansion, and a third to launch a new humanitarian effort – Save Pets of Ukraine.
The initiative kicked off immediately, delivering hundreds of tonnes of pet food and coordinating logistics to support shelters and pet owners across the country. Kormotech later helped set up an international foundation, raising over US$ 7.5 million (€6.4 million) for animal care and veterinary support in Ukraine.
Looking ahead
Despite the war, Kormotech’s eyes are fixed firmly on the future. “We’re aiming to grow tenfold in export markets – from €30 million of revenue to €300 million, reaching €500 million by 2029 – by focusing on our strategic markets,” Rostyslav says.
The company’s top priorities include the Baltic states, Romania and Bulgaria, where the company plans to become the third-largest player within five years. Kormotech’s strategy foresees the strengthening of its international team, but production will remain firmly rooted in Ukraine.
From its early days as a startup to its current status as one of Ukraine’s top pet food producers, selling its products in 51 countries, Kormotech’s growth has been based on a combination of family values, innovation and care, all guided by one foundational belief: “Quality is the starting point for our work.”