World meat industry news

All news / Sales of semi-finished meat products in Russia fell to a five-year low in 2022

  • 03 Feb 2023, 10:38

Sales of semi-finished meat products in Russia have been growing rapidly over the past five years, but in 2022 the indicators have not changed much compared to 2021. In the future, the situation in this market may continue to deteriorate.Sales of semi-finished meat products in Russia fell to a five-year low in 2022

Over the past five years, sales of semi-finished meat products in Russia have grown by 36% - from 3.21 to 4.35 million tons, according to the analytical agency BusinesStat. There was an increase in sales every year from 2018 to 2022, analysts said, but in 2022 the difference from last year was minimal.

So, in 2019, sales growth compared to 2018 amounted to 11.6%, in 2020 - 14.1%. Already in 2021, with the onset of the coronavirus pandemic, one could notice a slowdown in growth - only 5.7% compared to 2020. Finally, in 2022, growth was only 0.8%.

Analysts note that in general, the volume of meat consumption per capita in Russia is large, and an increase in the consumption of some types usually occurs at the expense of a decrease in others. For example, semi-finished products outperform fresh meat due to the simplicity and convenience of preparation, while sausages, ham and other similar meat processing products - due to their greater "naturalness", as they usually do not contain flavors, dyes and flavor enhancers.

Analysts attribute the decline in sales growth to general changes in the economy: a decrease in the purchasing power of Russians, the departure of a significant number of potential buyers from Russia. In the current economic conditions, when real incomes are falling, many Russians are switching to a more economical consumption model, choosing to buy cheaper goods, and are interested in goods on promotions, with discounts. All this can have a long-term negative effect on the level of sales of semi-finished products.