Decrease text Increase text

RDP project database

Innovative Production Unit for Traditional Greek Bread and Pastries


A new production line is adding value to local food products offering high quality traditional bread, pastries and bakery products. Organic content, environmentally-friendly technology and local inputs are all key to the success of this investment.



The MELKO company has been active since 2001 when it established an innovative unit for the production and packaging of fresh and dry pasta products. This unit is notable for its organic focus as certified organic products account for around half of its output. The success of the existing unit has led the owners to invest further and expand their offer by producing bread and pastries as well as traditional sweets. The company is dedicated to quality and has received several ISO quality certifications since its creation.


The overall objective was to expand existing production and promote locally-produced traditional bakery products. Specific objectives include the production and sale of bread and pastries that have received quality standard certification, the promotion of organic products, the use of locally-supplied inputs and the use of innovative and environmentally-friendly technology in production and management processes.

Main activities

The investment focused on the extension of the company’s premises and the construction of a new building featuring easy access for the disabled. A new production line for bread, traditional pastries and sweets was established. The products differ substantially from those offered by competitors and have been certified both for quality and organic content. The investment comprises high level technology equipment, including renewable energy sources.

Results & Benefits

New quality food products are being produced using environmentally-friendly techniques and some employment has been created. Local supply and production are promoted with half of the raw materials / inputs coming from the surrounding area. The project has resulted in technological innovation through the use of high-tech equipment in the new production line and organisational innovation as the new line has integrated seamlessly with the existing pasta production line.

Lessons learnt

Prior experience in the production of high quality food and its knowledge of the local market have enabled the company to make the right decision about the introduction of new products that differentiate it from the competition and respond to consumer need. Past experience has also allowed the company to develop the technical and human know-how to optimise the production processes and add value to the new production line.

Project location and other information

Gkagkales, Municipality of Gortyna, Heraklion



RDP Territory


Total project cost (€)

293 967

EAFRD contribution (€)

117 587

National contribution (€)

29 395

Private contribution (€)

146 984

Project website

Contact name

Iosif Kostakis



+30 28920 31910

Languages for contact

Italian, Greek

At a glance



Final beneficiary type

Individual farmers

Budget range

€100 000 - €500 000

Start date:


End Date:


Theme / Measure:

• Rural Quality of Life & Economic Diversification
• Rural economic diversification
• 312. Support for business creation and development


Added-value, Quality certification, Innovation, Local food, Entrepreneurship

Last update