09.
01.15
15:03

Russian consumer prices for pork by 25%

Import ban for meat is Russian consumers on a severe stress testand affected exporting countries as well

The import lock as a backlash against the Western economic sanctions imposed on food meets Russian consumers in several ways. Initially, rd. one-third of the offer of earlier years is missing in the meat sector. This will lead to a compulsory consumption saving.

In addition have significantly increased consumer prices for meat . Pork in the shopping centers was in Oct. 2014 by more than 25% or more in the same month last year. Given the income situation become weaker consumers must think about how often he can afford a piece of meat.

The increase is the same triple caused. The Russian demand from countries of origin with a focus on Brazil has led to rising export prices there. In addition the expensive cargo from distant areas. The halving of the purchasing power of the Russian currency again resulted in an increase of the import goods.

Ultimately, it is to know that scarce availability and continuous rising prices Hamster effects out of affluent people who do more business with the shortage. This applies also to contraband.

You could are not covered as a replacement for blocked supplies from Western countries EU, United States and Canada by the rising supplies from Brazil and elsewhere by far. According to the available documents, it is assumed that only about 100,000 t replacements could be mobilized, but by far not able to cover the magnitude of locked 800,000 tonnes .

The planned opening of the border is moved after a year distant. There is missing it on the one on the lifting of mutual economic sanctions in the face of the continuing conflict in Ukraine. The second medium-term acting obstacle consists in the African swine fever expansion of in the EU countries of Poland, Lithuania, Estonia and Latvia, which has reached enormous proportions. And finally there is also on the political will, as far as possible to reopen the border. When there is no pressure of import goods, the Russian pig farmers can better get the Autoproduction underway. It takes but a few years.

And two big issues come up on it: in what time frame is the crude oil back into its old rates return and improve the Russian income situation the question is closely related to the recovery of the purchasing power of the ruble. It seems pretty unlikely that a restoration of the original import location is possible. It is more likely to assume that the best times of pork exports has gone for the time being after Russia for quite some time.

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