Increased Profits at Novy Edem Cheese Company in Russia

One probably doesn’t have to prompt the director of the Novy Edem Cheese Company in Samara, Russia, to say “cheese,” for a wide smile. With the help of ACDI/VOCA volunteers William Broske and Tony Kutter, American specialists in hard cheese production, the Novy Edem Cheese Company has been enjoying new successes.

In 2000 Novy Edem expanded its processing operations and installed a new German-made cheese-making production line to produce high-quality hard cheese. With the new equipment, came great potential, however the company needed a specialist to consult them on how to best use the new equipment. In March of 2001, Broske advised the Novy Edem management team on ways to better utilize the new facilities, expand the product line of hard cheeses, and fine-tune the production processes in order to reduce production costs.

After carefully evaluating Novy Edem’s hard cheese production line, Broske offered advice to increase the company’s market share and net profits. He recommended that they begin producing a new smoked cheese and a Swiss cheese-style of processed cheese and make other adjustments related to curd pressure and the flow of the salt brine to improve cheese taste, consistency and shelf-life. Changes to the composition of the salt brine have cut production costs in half.

Kutter, owner of Kutter Cheese Factory in New York, consulted the company in September 2002 and helped to introduce cheese kurds, a snack food that is new to Russia. Kutter provided Novy Edem with a recipe, a cheese curd processing unit and the know-how to operate it. The snack has quickly become a hit in Samara.

Broske’s and Kutter's expertise and knowledge have greatly benefited Novy Edem, which has experienced a 14.6 percent increase in net revenue and a 17 percent increase in gross sales. Additionally, the Wisconsin Cheese Makers Association recognized Novy Edem as producing world quality smoked cheese, the cheese that Broske introduced.

With initial figures like this, it’s hard not to smile about what the future is likely to bring.