Russia | Pork Production Increasing, Beef Production Declining | Pork product...

Russia

Pork Production Increasing, Beef Production Declining

Pork production has increased for the last two years in Russia, according to the U.S. Embassy in Moscow, and is forecast to do so again in 2003, while beef production continues its decline. A surge in low-priced imports from Brazil has led to an increase in the percentage of frozen pork carcasses (from 34% in 2001 to 40% in 2002) at the expense of bone-in cuts. Germany and Ukraine, however, continue to be the dominant suppliers of beef to Russia.

By the first of July, 2002, the Russian cattle herd numbered 29.2 million head (0.3 percent fewer than in 2001), and cows had declined 3.2 percent to 12.3 million. Hogs increased 6.2 percent to 17.9 million.

In 2002, small farms owned 41.6 percent of the cattle (up 1.5 percent from 2001), according to the U.S. Embassy, and 47.2 percent of the hogs (down 1.5 percent).  The trend shows that small farms are producing a greater percentage of cattle, while agribusiness continues to increase its share of hogs raised in Russia. 

A three percent reduction in beef and veal production is forecast in 2003, to 1.67 million metric tons (mmt), as farmers are now slaughtering cattle as a result of competition from low priced imported product.  This response is also reflected by a decrease in cattle beginning stocks and calf production, which are forecast to be 4 percent and 2 percent lower in 2003, respectively. Imports are forecast to be stable in 2003, after a four percent rise in 2002.

The 2002 and 2003 hog crops are expected to increase significantly (8 percent) as farmers increase sow numbers (3 percent) to take advantage of the large volumes of available feed in the last few years.  At the same time, according to Russian statistics, the weaning average also rose significantly.  This can be attributed to better feed and management practices.  These factors lead to a forecast increase in pork production in 2003 to 1.73 mmt, a seven percent gain.

Click for USMEF Annual Board of Directors Meeting Information and Registration Form; November 6-8, 2002 - Long Beach, California