World meat industry news

All news / What factors are holding back the growth of exports of finished meat products?

  • 23 Sep 2020, 11:50

According to the journal "Veterinary and Life", on September 15, the professional community discussed the structure of meat exports at a joint meeting of the Public Council under the auspices of Rosselkhoznadzor and the Russian Union of Industrialists and Entrepreneurs (RSPP). Artem Daushev, assistant to the head of the Rosselkhoznadzor, told the audience that today domestic exporters have the opportunity to supply finished meat products to 64 countries of the world, but in fact this year, goods of this category were shipped only to 12 foreign markets. 97 out of 151 companies used the right to export finished meat products. A similar picture can be seen in the dairy and fish industries of the agro-industrial complex.

Last year, meat exports from Russia amounted to $ 579 million in value terms. At the same time, the share of finished meat products does not even reach 10% ($ 57 million), although, at first glance, this is a more profitable product category, because it has a higher added value. In addition, it is easier to obtain a permit for the supply of finished products to an exporter than for the export of raw meat: deep processing significantly reduces epizootic risks.

Daushev invited experts to answer the question of what prevents smoothing out the disparities in the structure of meat exports. Executive Director of the National Meat Association (NMA) Sergei Yushin said that he connects the situation with two main factors constraining the growth of supplies of deep processed meat products to foreign markets. The first is lower customs rates for the import of raw materials than for the import of processed products. The second is the lack of opportunities for promoting finished products abroad. He explained that the peculiarities of national markets, which must be taken into account when promoting a brand, require incredible marketing efforts and millions of dollars in marketing investments.