Russia Allocates Remaining 75 Percent of TRQs

Russia Allocates Remaining 75 Percent of TRQs

The Russian Ministry of Economic Development has allocated the remaining 75 percent of meat and poultry quotas for 2010, based on full year import data. New tariff rate quota (TRQ) volumes were included in a draft decree released in October, and the first 25 percent were allocated in December.

Consistent with the initial allocation in December, the most significant change from 2009 for the U.S. was a reduction in the pork TRQ from the 2009 volume of 100,000 metric tons (220 million pounds) to 57,500 metric tons (127 million pounds) in 2010 and 2011, and 51,600 metric tons (114 million pounds) in 2012. Exports within the TRQ are subject to a 15 percent duty, with much higher duties assessed on over-quota exports. The out-of-quota rate was 60 percent in 2008 and was increased to 75 percent (but not less than 1.5 euro/kg) in 2009 and 2010.

According to 2009 Russian import data, pork muscle-cut imports from the U.S. totaled 107,676 metric tons (237 million pounds), exceeding the 2009 TRQ. Russia also imported 28,713 metric tons (63 million pounds) of U.S. pork variety meat, at 15 percent duty, not subject to the TRQ. The duty on variety meat (beef and pork) was increased to 25 percent in 2010 which could negatively impact exports. The reduction in the U.S. TRQ will make it difficult for U.S. pork exports to reach 2009 levels in 2010. The EU has the bulk of the TRQ at 225,000 metric tons (496 million pounds) followed by the “third country” allocation of 189,600 metric tons (418 million pounds), which is mainly utilized by Brazil but also by Canada.

On the beef side, the U.S. TRQ was increased to 21,700 metric tons (48 million pounds) for 2010-2012 from 18,500 metric tons (41 million pounds) in 2009. The in-quota tariff rate on beef is also 15 percent. The over-quota rate was increased to 50 percent (but not less than 1 euro/kg), up from 30 percent in 2009. According to Russian import data, imports of muscle cuts from the U.S. totaled 3,183 metric tons (­­­7 million pounds) in 2009 (down 83 percent from 2008) plus 22,062 metric tons (49 million pounds) of variety meat (up 25 percent from 2008), which is not subject to the TRQ.

The total beef TRQ for 2010-2012 is 530,000 metric tons (1.2 billion pounds), up from 450,000 metric tons (992 million pounds) in 2009. The EU has historically been allocated the majority of the beef TRQ, but that portion has been gradually reallocated to other countries (mainly South American) in recent years. Similarly, the EU portion of the 2010-2012 frozen beef TRQ was reduced to 60,000 metric tons (132 million pounds).

The company-specific import license allocations for the respective TRQs (in Russian) can be viewed online:

Russian Beef TRQ 2010
Russian Chilled Beef TRQ 2010
Russian Pork TRQ 2010
Russian Poultry TRQ 2010
Russian Pork Trimming TRQ 2010

# # #

The U.S. Meat Export Federation (www.USMEF.org) is the trade association responsible for developing international markets for the U.S. red meat industry and is funded by USDA, exporting companies, and the beef, pork, corn and soybean checkoff programs.

For more information, contact Jim Herlihy at jherlihy@usmef.org.

USMEF complies with all equal opportunity, non-discrimination and affirmative action measures applicable to it by contract, government rule or regulation or as otherwise provided by law.

Russia Allocates Remaining 75 Percent of TRQs

The Russian Ministry of Economic Development has allocated the remaining 75 percent of meat and poultry quotas for 2010, based on full year import data. New tariff rate quota (TRQ) volumes were included in a draft decree released in October, and the first 25 percent were allocated in December.

Consistent with the initial allocation in December, the most significant change from 2009 for the U.S. was a reduction in the pork TRQ from the 2009 volume of 100,000 metric tons (220 million pounds) to 57,500 metric tons (127 million pounds) in 2010 and 2011, and 51,600 metric tons (114 million pounds) in 2012. Exports within the TRQ are subject to a 15 percent duty, with much higher duties assessed on over-quota exports. The out-of-quota rate was 60 percent in 2008 and was increased to 75 percent (but not less than 1.5 euro/kg) in 2009 and 2010.

According to 2009 Russian import data, pork muscle-cut imports from the U.S. totaled 107,676 metric tons (237 million pounds), exceeding the 2009 TRQ. Russia also imported 28,713 metric tons (63 million pounds) of U.S. pork variety meat, at 15 percent duty, not subject to the TRQ. The duty on variety meat (beef and pork) was increased to 25 percent in 2010 which could negatively impact exports. The reduction in the U.S. TRQ will make it difficult for U.S. pork exports to reach 2009 levels in 2010. The EU has the bulk of the TRQ at 225,000 metric tons (496 million pounds) followed by the “third country” allocation of 189,600 metric tons (418 million pounds), which is mainly utilized by Brazil but also by Canada.

On the beef side, the U.S. TRQ was increased to 21,700 metric tons (48 million pounds) for 2010-2012 from 18,500 metric tons (41 million pounds) in 2009. The in-quota tariff rate on beef is also 15 percent. The over-quota rate was increased to 50 percent (but not less than 1 euro/kg), up from 30 percent in 2009. According to Russian import data, imports of muscle cuts from the U.S. totaled 3,183 metric tons (­­­7 million pounds) in 2009 (down 83 percent from 2008) plus 22,062 metric tons (49 million pounds) of variety meat (up 25 percent from 2008), which is not subject to the TRQ.

The total beef TRQ for 2010-2012 is 530,000 metric tons (1.2 billion pounds), up from 450,000 metric tons (992 million pounds) in 2009. The EU has historically been allocated the majority of the beef TRQ, but that portion has been gradually reallocated to other countries (mainly South American) in recent years. Similarly, the EU portion of the 2010-2012 frozen beef TRQ was reduced to 60,000 metric tons (132 million pounds).

The company-specific import license allocations for the respective TRQs (in Russian) can be viewed online:

Russian Beef TRQ 2010
Russian Chilled Beef TRQ 2010
Russian Pork TRQ 2010
Russian Poultry TRQ 2010
Russian Pork Trimming TRQ 2010

# # #

The U.S. Meat Export Federation (www.USMEF.org) is the trade association responsible for developing international markets for the U.S. red meat industry and is funded by USDA, exporting companies, and the beef, pork, corn and soybean checkoff programs.

For more information, contact Jim Herlihy at jherlihy@usmef.org.

USMEF complies with all equal opportunity, non-discrimination and affirmative action measures applicable to it by contract, government rule or regulation or as otherwise provided by law.