Vasilico Eggs: A story with roots in the 1960s

The Cypriot family business Vasilico Chicken Farm was founded in 1993 by Andreas Savvas and has its roots back in 1960. Today, it has 10 people in its human resources and is one of the small and medium enterprises of Cyprus.

Christos Savva, chief strategist of Vasilico Chicken Farm, in an interview with InBusinessNews, analyzes the company’s activities as well as the immediate development plans.

Tell us a little about your company and the products you provide.
The history of Vasilico eggs dates back to the 1960s, while our company, Vasilico Chicken Farm Ltd, was established in August 1993. We manage the island-wide supply of eggs and promote egg consumption and healthy eating. Innovation and technical research show us the best way to successfully overcome all the challenges presented to us by the market. For 30 years we have been offering high quality eggs that are sealed with ISO 22000 certifications and global awards for taste and quality. The name Vasilico is synonymous with quality Cypriot eggs. Our company is the only company in Cyprus that has the honor of being a member of the International Egg Committee. The International Egg Commission is the only organization representing the global egg industry.

Who are your customers and why do consumers choose Vasilico eggs?
Because they know they can count on friendly service, a family atmosphere and enjoy top Cypriot eggs. We divide our customers into two categories. In the HO.RE.CA category which includes hotels, restaurants and catering services and in the retail trade category where the clientele is mainly supermarkets. The company has never stopped evolving, fully understanding the needs of the modern consumer. Since the beginning of the new decade we have focused our attention on the generation of millennials as the main consumers.

What are the challenges for your sector and your business today?
The sector of poultry farming and agriculture in general in Cyprus is at a critical juncture for its survival. The challenges are timeless and have to do mainly with the low profit that returns to the producers but also the large funds required for the creation or maintenance of the production units.

The domestic competition is great as there is overcrowding in both producers and egg brands in the Cypriot market. Analogously, there is approximately one egg producer for every 20,000 inhabitants in Cyprus. This prevents synergies, economies of scale and specialization in high value-added products. We should therefore transform the traditional model of the many with small productions into cooperatives and partnerships of sufficient size.

Also, after the global economic crisis and especially in the last five years, there is intense competition in egg imports from European countries such as Bulgaria, Spain, Poland mainly due to the lower production costs compared to Cyprus. As a result, customers turned to cheaper solutions, making many producers unable to compete on price and ultimately unsustainable.

Therefore, strategic partnerships and mergers are the only way forward for businesses in the poultry sector.

What are your company’s immediate growth plans?
Our company’s main concern is to manage to emerge unscathed from the financial consequences that the pandemic has brought and will bring. Regarding our development plans, it is to continue the digital upgrade and best practices that we started in mid-2020. As a company, we have included in our processes smart farming with a central core technology of absolute control of the environment within the production units (automatic lighting , air conditioning, nutrition). At the same time we are processing studies that have been done in relation to artificial intelligence (AI and Big Data) in the field of egg production. There are plans to upgrade our ooscopic center and packing center as 2021 marks a resounding 20 years since its first day of operation.

In addition to the above, in the context of Vasilico’s corporate social responsibility and based on the goals set for an active contribution to the protection of the environment and the saving of natural resources, we will invest in environmental upgrading. This includes switching to renewable electricity through a photovoltaic system in all of our facilities, as well as energy efficiency improvements in our offices.