World meat industry news

The Ministry of Agriculture reported that by the beginning of February the producers ` prices for pork had decreased in Russia. Now they are 9.1 percent less than at the end of December 2018.  

In retail pork still costs between 200 and 350 rubles per kilogram, depending on the cut or the distribution network and the region. Albert Davleev, president of Agrifood Strategies consulting company, told that "the reduction in prices for final consumers will largely depend on the policy of retail chains".  "Suppliers enter into annual agreements with retailers, and prices change no more than once a quarter. Within the annual contract there is an indicative of which the price of a product can go up or down. Last year, the price of meat increased due to lower imports and higher feed prices. At the same time  retailers didn’t raise its cost much. It’s possible that they will want to compensate for lost margins earlier this year. "

Meanwhile, the Ministry of Agriculture expects that prices for pork in 2019 "will remain at a stable level" and their growth will not exceed inflation. The investment projects implemented with state support over the past two years should provide all of Russia's needs for pork until 2022, including taking into account the possibility of export growth, the agricultural department noted.