UBM Group to acquire Agrifirm Hungary in major sector shake-up

HUNGARY – Agrifirm and UBM Group recently announced an agreement that will see Agrifirm Hungary become part of UBM Group by August 2025. 

The acquisition marks a pivotal moment in the ongoing consolidation of Hungary’s feed and crop trading industries, underscoring the evolving strategic priorities of both companies.

UBM Group, one of Central Europe’s largest agricultural firms, is set to gain a stronger foothold in the Hungarian market through the deal. Agrifirm, a Dutch agrarian cooperative with global operations, will fully exit the Hungarian market as part of the transaction.

“This sale is in line with our strategic course, in which we focus on markets where we have a strong position and can achieve further growth,” said Piet Hilarides, CEO of Royal Agrifirm Group. 

“Thanks to the many years of dedication and commitment of our employees, Agrifirm Hungary has grown into a financially healthy and solid company. We are convinced that our Hungarian activities can perform even better with a strong partner such as UBM.”

Founded in 1892 and headquartered in Apeldoorn, Netherlands, Agrifirm operates globally, offering solutions in animal nutrition, crop cultivation, and agricultural innovation. 

Over the years, the group has developed a strong presence in Europe and beyond, with subsidiaries across the Netherlands, Belgium, Germany, Poland, and China, among other countries. 

The decision to divest from Hungary aligns with its broader strategy of focusing on markets with high growth potential.

Agrifirm emphasised that the transition for customers, employees, and partners in Hungary would be handled with great care. 

“We thank our members, customers, partners, and employees for their loyalty and trust, and we are committed to a careful and smooth transition,” Hilarides added.

UBM gains ground in Hungarian agribusiness

UBM Group welcomed the acquisition as a key opportunity to enhance its position in the local agricultural landscape. 

Specialising in crop trading, compound feed production, and high-quality feed ingredients, UBM is poised to expand its market share and production capacity through this move.

The company said the takeover aligns with its long-term growth trajectory and supports greater consolidation in Hungary’s fragmented agricultural sector. 

UBM also reaffirmed its commitment to ensuring continuity and integration for Agrifirm’s stakeholders during the transition.

Agrifirm deepens organic feed roots in Germany

Even as Agrifirm steps back from Hungary, it has been expanding its footprint in other parts of Europe. Earlier this year, the company entered into a strategic partnership with Naturmühle Vechteland, a German producer of high-quality organic animal feeds.

Effective March 31, Agrifirm’s organic bulk feeds are now produced in collaboration with the Emlichheim-based company, which is renowned for its sustainability standards and local sourcing. 

“The partnership allows Agrifirm to guarantee the highest quality standards while strengthening its sustainability efforts,” the company said.

Naturmühle Vechteland, established in 2015, is GMP+ certified and holds multiple accreditations, including compliance with the EU Organic Regulation 2018/848. The facility also carries the GMP+ FSA TS 2.1 certification for “Dioxin Monitoring in Poultry Feed.”

As the production arm of Raiffeisen Ems-Vechte, Naturmühle Vechteland sources local raw materials and exports a portion of its feed to the Netherlands, ensuring a short and efficient supply chain.

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