Russia Livestock and Products Semi-annual Report 2013
Report Highlights:
FAS/Moscow has raised its 2013 forecast for Russia’s imports of cattle as a result of continued strong government support for the building of herds. Beef production is also increased marginally as high feed costs are increasing slaughter rates and, thus, meat output. FAS/Moscow’s 2013 forecast for imports of live swine is lowered as a result of increased domestic swine stocks and continued trade restrictions with Europe due to disease concerns. Forecasts for pork production are increased in 2013, and pork imports are also up slightly as improved market access is expected to lead to more purchases of pork and pork products.
Executive Summary:
Cattle and Beef
The Russian Federal Statistics Service (Rosstat) reports cattle inventories at the beginning of 2013 were 19.4 million head. Given the reduction in beginning-of-year cattle stocks compared to past years, FAS/Moscow forecasts 2013 cattle production lower than previous estimates. Forecasted 2013 cattle imports, however, have been revised upward as State subsidies for domestic beef production programs are expected to remain strong. Nevertheless, despite a reduction in historical cattle stocks, slaughter rates are expected to increase marginally due to sustained high prices for feed grains which, in turn, are expected to lead to greater Russian domestic beef production.
Despite an increase in domestic beef production, 2013 beef imports are also expected to remain strong, and are thus slightly higher than previous 2013 estimates. Access for foreign beef via the tariff-rate quota (TRQ) system, continued modification of existing sanitary regulations, and an updated highquality beef definition are expected to continue to improve market access conditions for beef imports.