World meat industry news

The Ministry of Agriculture (Ministry of Agriculture) appealed to the Russian government apparatus with a proposal to abolish the duty on the import of frozen beef and pork into the country. This is reported by “News“ with reference to the letter of the department.

At present, companies pay a 15 and 25 percent duty for the import of foreign products, respectively. The document proposes to establish a quota of 200 thousand tons for each type of meat. The Ministry of Agriculture noted that the zeroing of duties on a given volume of products will help stabilize meat prices on the domestic market.

The department recalled that since October of this year, beef importers when entering Russia have lost the opportunity to receive a discount on the duty, since the Eurasian Economic Union (EAEU) has changed the tariff preferences schedule. Experts warned that without discounts, products will rise in price for Russia, since such costs will increase the price tag by almost 4 percent to the cost of imports from far abroad. In turn, the zero duty will help contain the growth in the cost of beef and products containing it.

The publication also notes that Russia may not have enough of its own resources to meet the needs for pork, as its production declined in September due to outbreaks of African swine fever (ASF) in several regions. The Ministry of Agriculture suggested that in 2022 the affected enterprises could cut supplies by 200 thousand tons. However, a 0 percent duty on pork could help Russia get imported products at prices comparable to domestic ones.

Earlier, more than ten largest Russian producers of sausages and sausages warned retailers about a 7-20 percent rise in prices from late October to early November. This is due to an increase in the cost of production, with meat prices peaking in August-September 2021. The Ministry of Agriculture said that the government has taken measures to stabilize meat prices in Russia.