President Khurelsukh Ukhnaa toured the production facilities of Teso Group on Wednesday as part of the national Food Revolution movement. He visited the Teso Foods Park complex and its subsidiaries, including Milko, Icemark, and Eco Cluster. The president also inspected a wastewater treatment plant and the operations of Suun Zairmag LLC. During the visit, he thanked the companies for expanding domestic food production. He said their work under the Food Revolution has created hundreds of jobs and generated substantial tax revenue for the economy.
Khurelsukh expressed confidence that the companies would continue to supply citizens with healthy and safe food products. He added that these efforts directly support Mongolia’s ambition to become a food-exporting country. Teso Group began operations in 1996 by manufacturing equipment for ice cream cone production. Today, the group runs more than 30 subsidiaries across four business sectors and employs over 2,500 people. The Teso Foods Park complex tripled production capacity and halved energy use per unit of output. It also features a kindergarten for 150 children and a facility that treats up to 1,000 cubic meters of wastewater daily.
Company executives said three decades of experience, combined with innovation and advanced technology, have strengthened product competitiveness. They noted their goods now hold value in both domestic and international markets. Meanwhile, the president visited Suun Zairmag LLC, which distributes clotted cream, ice cream, yogurt, and flavored dairy beverages. The company reaches 126 branches nationwide and about 2,500 stores and retail chains in Ulaanbaatar. Although COVID-19 disrupted its operations, Suun Zairmag has recovered through the Food Revolution initiative. It now works in a cluster model with dairy farmers, packaging manufacturers, and other enterprises.
The company plans to invest heavily in a new fully automated production facility. Across the country, concessional loans provided to dairy producers have yielded results. Ten new dairy plants and processing facilities have opened in the capital and several aimags. Three enterprises expanded their production lines, while eight others upgraded their equipment. Mongolia processed 61,000 tonnes of milk industrially and produced 156,000 tonnes of dairy products last year. Domestic production now meets all demand for drinking milk and roughly 60 percent of demand for dairy products. The remaining 40 percent of dairy products come from imports.
Nationwide raw milk collection reached 260,000 tonnes in 2025, a 15 percent increase from the previous year. Since 2020, a government subsidy of MNT 1,000 per liter of raw milk during the cold season has boosted supply. Over five years, milk supply has grown by an average of 6.6 million liters annually. The relevant ministry plans to continue the subsidy while also implementing livestock breed improvement measures. About 160 dairy plants operate across 18 aimags, with a combined daily processing capacity exceeding 1,000 tonnes. Eighty-six refrigerated milk collection centers function nationwide, though facilities currently use just over half their capacity. These operations provide employment for more than 2,000 people across the country.
