World meat industry news

March 2022 was full of foreign policy events that hit both the economy of Russia and other countries. The collapse of the ruble and the growth of the dollar in the first half of March increased the unrest in the market and spurred inflation. The increase in prices for certain food products ranged from 2 to 8% weekly. Significantly increased in the price of non-food products. At the same time, the head of the M16.TEX platform, which includes the information and analytical portal Meatinfo.ru, Sergey Pavlyuchenko notes that meat prices showed reassuring stability and acceptable growth. By the end of March, the situation stabilized, the dollar fell, but prices did not follow.

Meat is the main source of protein. Its production in Russia, along with milk and bread, is the basis of the country's food security. Therefore, it is very important that this product be available in the required volume and at an affordable price.

In March, the production of meat and offal in Russia decreased slightly compared to February 2022. At the same time, different types of meat showed different dynamics. The production of beef and mutton increased, while the production of pork and poultry decreased. The annual dynamics was similar, with the exception of lamb.

The decrease in pork production was due to a decrease in the production of pigs for slaughter as a result of outbreaks of ASF and as a result of preventive measures at a number of large pig farms planned for the lent period. During this period, traditionally, the demand for pork falls somewhat. But this year, as a result of the influence of external factors and inflation, the demand for pork in March was quite high, which, with a decrease in supply, led to an increase in prices, ”says Sergey Pavlyuchenko, and emphasizes that the decrease in poultry production is due to market saturation and a decrease in demand and prices in February, which led to the creation of stocks rolling over to March.

In March, meat prices were mainly growing, following the general trend. The rapid growth of the dollar in the first half of March, increased inflation in Russia and in the world, rising costs and a lack of feed and additives had a significant impact. Growth in production volumes, a slight decrease in the cost of gasoline and a decrease in the purchasing power of the population, which for the most part live in economy mode, had a restraining effect. At present, the situation has stabilized, and if there are no large-scale shocks, prices should start to decline.

Meat production in Russia in 2022 will increase, the main growth driver, as in recent years, will be pork, and poultry meat will remain the leader of the meat industry. The meat industry, notes the head of Meatinfo, despite all the shocks, continued to work steadily in March. Of course, the problems did not bypass her, while she is able to cope with them, Sergey Pavlyuchenko emphasizes.