World meat industry news

The record grain harvest and, therefore, the affordable cost of feed lead to a decrease in meat prices in stores. And for the manufacturer, reducing the cost of production is an incentive for further development. Next year, production will increase by another 3%. Only beef causes anxiety in this sense.

According to the results of 2022, the volume of meat production in Russia will increase by 3.5%. Next year, production growth will continue and amount to at least 3%, predicts Sergey Yushin, head of the executive committee of the National Meat Association. According to him, in terms of pork and poultry meat, we are among the five largest producers in the world, and this year we are in third place in turkey. In 2023, high growth rates will continue, there is every reason to expect that by the end of next year Russia will take second place in terms of pork production. All this leads to the fact that the consumption of meat and meat products this year will increase and reach a record 78 kg per person per year. Probably next year this record will be broken again, Yushin suggests.

This year, against the backdrop of a huge grain harvest, prices for major crops have declined significantly, which has a positive effect on production costs. The availability of feed and additives gives reason to predict that affordable prices for meat will remain next year, the expert believes.

Director General of the National Union of Pig Breeders Yuri Kovalev agrees: this year the total pork production will increase by about 6%, next year the growth will be at least 5%. Thanks to this increase, with full self-sufficiency in meat, wholesale prices have decreased by 6% this year, which has dragged retail prices along with it. As a result, pork consumption is up another 8% this year. In 2023, the country will continue to increase production capacity. Yes, and a large grain harvest will "manifest" to a greater extent next year. Therefore, there are no prerequisites for an increase in pork prices in 2023, the expert believes.

Let down, perhaps, in 2023 only beef. Director General of the National Union of Beef Producers Roman Kostyuk sees no prerequisites for a significant increase in beef production due to the lack of serious projects in the development of breeding stock: one of the leaders in this market announced the curtailment of investment in breeding stock. At the same time, there is a general reduction in the dairy population in the country, which is the source of a significant part of beef production. In addition, next year Russia will be allowed to import 100,000 tons of cheap imported beef duty-free.

However, in his opinion, if prices in stores rise, then for lumpy high-quality chilled beef. Semi-finished products use inexpensive, often frozen meat. "We have a lot of cheap beef and little of the middle and higher price segments," the expert explains. In addition, prices will differ depending on the region: for example, in Bashkiria, Tatarstan, the Bryansk region there are a large number of cattle, and in Altai or the Far East there is almost none.