MHP's €43M Bet: From Poultry Giant to Premium Pet Food Player
- €43M Investment: MHP's new pet food facility in Croatia is a €43 million state-of-the-art plant.
- 20,000 Tonnes Capacity: The factory's initial production capacity is 20,000 tonnes annually, expandable to 35,000 tonnes by 2028.
- 200 New Jobs: The project is expected to create approximately 200 new jobs in the region.
Experts would likely conclude that MHP's strategic entry into the premium pet food market with its vertically integrated model and focus on sustainability positions the company for strong growth in a rapidly expanding industry.
MHP Enters Pet Food Market with €43M 'Proof' Factory in Croatia
ZLATAR BISTRICA, CROATIA – May 18, 2026 – International food and agri-business group MHP SE has officially entered the competitive European pet food market, inaugurating a state-of-the-art, €43 million facility in Zlatar Bistrica, Croatia. The plant, the first of its kind for wet pet food production in the country, will manufacture MHP's new premium brand, "Proof," a move that signals a significant strategic diversification for the Ukrainian-based poultry giant.
The launch represents a calculated leap into a booming industry, leveraging MHP's extensive experience in food production and its vertically integrated supply chain to capitalize on the growing "humanization" of pets across Europe.
A Strategic Pivot into a Premium Market
For years, MHP has been a dominant force in the European poultry and agri-business sectors, known for its large-scale operations and strategic acquisitions, including the 2019 purchase of Slovenian poultry producer Perutnina Ptuj and the 2025 acquisition of Spain's Grupo UVESA. This latest venture marks the company's first major foray outside of human food production, applying its industrial prowess to the lucrative pet nutrition sector.
"I'm pleased to announce that today MHP enters the pet food market," said Yuriy Kosyuk, Founder and CEO of MHP Group, at the opening ceremony. "I believe that the entrepreneurial mindset, commitment to innovation, and operational excellence that have driven our international growth, will also support our success in this industry."
This strategic pivot comes as MHP continues to demonstrate financial resilience. Despite geopolitical challenges, the company has maintained a strong growth trajectory, with recent reports showing rising revenues. This expansion is not just a diversification but a deliberate step to create new value streams, transforming the company into a broader culinary group that caters to all members of the family, including pets. The investment in Croatia is a testament to the company's long-term vision for growth and its commitment to expanding its footprint in South-Eastern Europe.
Tapping into the 'Humanization' Trend
The new "Proof" brand is meticulously designed to meet the evolving demands of modern pet owners. The European pet food market, valued at over USD 57 billion in 2025, is increasingly driven by the "humanization" trend, where owners seek the same quality, nutritional standards, and ingredient transparency for their pets as they do for themselves. This has fueled explosive growth in the premium segment, which is expanding at a compound annual growth rate of over 7%.
"Proof" directly targets this discerning consumer base with products featuring high meat content, grain-free formulas, and raw materials from controlled origins. These attributes align perfectly with market data showing a strong consumer preference for natural, nutrient-rich, and functional pet foods that support overall health and wellness. The wet food format is particularly well-positioned, valued for its high moisture content, enhanced flavor, and digestibility, making it a popular choice for pet owners seeking to provide optimal nutrition.
By launching "Proof," MHP is not just entering a new category; it is positioning itself to compete at the premium end of the market, where brand loyalty is built on trust, quality, and demonstrable health benefits for pets.
Vertical Integration and the Circular Economy Advantage
MHP's most significant competitive advantage lies in its vertically integrated business model. The company controls its entire production chain, from grain cultivation for feed to processing and distribution. The new pet food facility is a natural extension of this model.
"MHP Pet Food is a natural extension of the knowledge and expertise in food production that we have developed over decades," explained Oleksii Bezuglyi, Director of MHP Pet Food. "Our competitive advantages include full control over the supply of raw materials, world-class production standards, and a strong focus on product quality."
The Zlatar Bistrica plant will source high-quality meat from MHP's nearby subsidiary, Perutnina Ptuj, one of the leading poultry producers in the region. This synergy not only ensures a consistent and traceable supply of core ingredients but also embodies the company's circular economy strategy. By utilizing by-products from its poultry operations as valuable inputs for premium pet food, MHP minimizes waste, maximizes resource efficiency, and creates a more sustainable production cycle. This powerful narrative of control and sustainability is a key differentiator in a market where consumers are increasingly concerned about the origin and ethical sourcing of their pet's food.
The facility itself is built to world-class standards, with an initial production capacity of 20,000 tonnes annually, slated to increase to 35,000 tonnes by 2028.
A Boost for the Local Croatian Economy
The more than €40 million investment is a major economic boon for the Krapina-Zagorje County. The project is set to create approximately 200 new jobs, providing a significant boost to local employment and creating new opportunities for regional suppliers and entrepreneurs.
Local officials have welcomed the investment as a validation of the region's attractiveness for major international projects. "The development of Krapina-Zagorje County is based on sustainability, innovation, and investment in people, and these are precisely the values we recognize in this investment," stated Željko Kolar, Prefect of Krapina-Zagorje County. "This project confirms that Zagorje is recognised as a stable, modern, and competitive region... We are proud that MHP Pet Food chose Zagorje as the location for its first wet pet food factory in Croatia."
Demonstrating its commitment to becoming an integral part of the community, MHP Group also announced a donation to the Municipality of Zlatar Bistrica to help purchase a new fire truck. This gesture underscores the company's philosophy that sustainable growth involves creating long-term value for both its business and the regions in which it operates. This project follows MHP's established pattern of investment and local development seen after its acquisition of Perutnina Ptuj, where investments exceeding €241 million have helped nearly double the workforce since 2018.
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