Ukraine crisis may have serious implications for the meat industry

By Vladislav Vorotnikov

- Last updated on GMT

Russia to temporarily ban imports of pork from Ukraine
Russia to temporarily ban imports of pork from Ukraine

Related tags Meat Ukraine Livestock Pork

Russia has imposed a temporary ban on pork imports from Ukraine, claiming the unstable political situation in the country does not allow local veterinary services to properly monitor the quality of meat products being exported.

While the ban only applies to pork at the moment, it could be extended to all types of meat in the coming weeks, and experts warn that the current geo-political situation may have a serious impact on meat trading within the region.

Last week, Russian Agriculture Minister Nikolai Fyodorov said there existed "both the theoretical and practical"​ possibility that Russia will stop the import of all meat and food products from Ukraine, due to the unstable political situation in the country.

Ukraine is an important trade partner for Russia in the meat market, so analysts suggest the threat may be a further political lever to add pressure to the new Ukraine government. 

Head of the Russian veterinary watchdog Rosselkhoznadzor Sergei Dankvert said: "The conditions under which the Ukrainian [veterinary] experts are working raises concerns and doubts about their ability to work properly."

He said that if conditions did not change and the instability remained, "it will affect business relations that we’ve been created over the recent years".

The restrictive moves by Russia have also been supported by Belarus. Its head of veterinary service Yuri Pyvovarchyk said the move was necessary, as Belarus was the part of Customs Union and, according to the existing agreement, it should automatically impose the same veterinary restrictions.

In the longer term, experts warned the growing tension between Russia and the new authorities of Ukraine could lead to serious losses for meat producers.

"Ukraine is a key partner for Russia, supplying poultry, a significant amount of pork, beef and feed. Escalation of the conflict could lead to the fact that, just as in the case of Georgia in 2008, the two countries will sever all contacts and relations, including the area of trade. In this case, both sides will face losses,"​ according to an insider within Rosselkhoznadzor.

"In this case, Russia will have to restore supplies from other countries, which may be not easy to do if the Western countries really decide to impose sanctions against Russia in the area of trade relations. In Ukraine this problem will hit small and medium-sized meat producers. In such a situation it is very likely we’ll see a fall in prices and the subsequent withdrawal of 15-20% of producers from the market,"​ he added.

Related topics Meat

Related news

Show more

Follow us

Products

View more

Webinars