World meat industry news

All news / Russia confirmed its status as a net exporter

  • 04 May 2023, 10:35

The volume of external deliveries in 2022 exceeded $41 billion — this is a new record for domestic exporters of food and agricultural raw materials. Russian suppliers were able to adapt to the new working conditions and redistribute export flows in certain areas. Some sectors failed to outperform previous figures, with shipments of pork, dairy and confectionery falling. However, manufacturers and experts are optimistic for this year. As a result, agricultural exports may increase by another 5-10%.

Exports of agricultural products in 2022 approached $41.3 billion, according to the report of the Federal Customs Service, published in mid-March. In 2021, according to the updated estimate of the service, the volume of exports amounted to $35.9 billion. Thus, the increase in supplies in value terms reached 14.8%. The federal center Agroexport, in its review a month after the publication of the FCS data, estimated the total export of agricultural products at $41.6 billion.

In meat, the dynamics are mostly positive

The volume of supplies of meat products continues to increase. Meat exports are already steadily exceeding $1 billion, Dalnov notes. Just 10 years ago, this market's dependence on imports was significant, but now its situation is almost completely determined by the dynamics of Russian production - supplies of domestic pork, broiler meat, and turkey are expanding. In the future, lamb may be added to the drivers, the expert predicts.

In total, about 650 thousand tons of meat products were sent to other countries (100 thousand tons more than a year earlier), Silenina adds. For example, Cherkizovo increased foreign supplies of chicken meat by more than 20% (up to 75 thousand tons), pork - by 15% (up to 15 thousand tons). The export of poultry meat products produced by GAP Resurs added 15% to the result of 2021 and amounted to 144 thousand tons, she knows.

Due to the growth in poultry meat output, its export from year to year is really becoming more dynamic, confirms Sergey Lakhtyukhov, Director General of the National Union of Poultry Breeders. In 2022, the volume of exports in physical terms increased by 15% (to more than 350 thousand tons). Such dynamics is due to a significant increase in the supply of frozen broiler carcasses - almost 1.5 times - as well as the active development of turkey exports. Since 2019, Russian companies have expanded the export of poultry by 68%, and the import of this type of meat over this period has decreased by 21% and no longer exceeds 180 thousand tons.

“It is especially worth noting a significant increase in the volume of shipments to the countries - members of the EAEU and the Persian Gulf,” Lakhtyukhov emphasizes. The increase in live weight in these areas only last year amounted to 35 thousand tons (+56%) and 25 thousand tons (+68%), respectively. And if the growth in volumes in relation to the EAEU countries is largely due to constant joint work to resolve issues in terms of non-tariff regulatory measures, then in relation to the Persian Gulf countries, this situation is due to the fact that over the past few years, Russian manufacturers have been purposefully expanding their presence in these promising markets.

As for China, although the relative share of poultry meat exports there has decreased by 10% since 2020, to 39%, its absolute value annually shows positive dynamics, and the decrease in the share is caused by outstripping growth in other areas, which means export diversification, the expert adds. . “Of course, there are certain logistical difficulties due to the emerging geopolitical situation, which, in turn, leads to a decrease in supplies in some non-defining areas, but in general, there is no significant reduction in exports now,” he states.

Domestic chickens still account for more than 90% of poultry meat exports, while shipments of other types of products are developing. According to the results of 2022, turkey meat exports increased by 19% in volume and by 45% in money terms, and duck meat more than doubled. In total, about 26 thousand tons of turkey meat worth $70 million were exported last year, said Anatoly Velmatov, executive director of the National Association of Turkey Producers. Compared to 2021, 17% more products were sent abroad in physical terms, and 43% more in monetary terms. “The steady trend is higher growth in export revenue, which is associated with a change in the range of sales due to more expensive goods (loin and finished products) and a general increase in prices for turkey meat,” he explains.

Starting from 2020, about 5% of the total pork production is exported annually. This is a very serious indicator, says Yury Kovalev, director general of the National Union of Pig Breeders. In the first half of 2022, shipments to foreign markets decreased by 25%, but in July-December, exports managed to increase, and the figure for the year amounted to 175 thousand tons, which is 9% less than in 2021, he says. At the same time, pork imports almost zeroed last year and, although it is open, the incoming volume does not have any effect on the market. At the same time, the import duty on this type of meat from 2020 is 25%, respectively, the market is protected, the expert draws attention.