February 3, 2012

Russia still world's leading beef importer

Russia is expected to remain as the world's leading beef importer in 2012, with possible volume increase by 1% to 1.06 million tonnes, according to the USDA.

Russia continues to have restrictions on some Brazilian beef facilities, significantly reducing imports from Brazil. An embargo placed on selected Brazilian facilities in May 2011, meant that by the end of November only 84 plants out of the original 249 licensed by Rosselkhoznadzor could sell meat without restrictions to Russia. This had a significant impact on Brazilian exports to Russia throughout 2011, with exports falling from a high of 33,854 tonnes in May to a low 11,051 tonnes in September.

Alternate suppliers to Russia are expected to benefit from the continued restrictions on Brazilian beef and the redirection of Brazilian product to other markets, largely in the Middle East and in their own domestic market. Australia exported 54,088 tonnes to Russia in 2011, making Russia, Australia's fourth largest export market behind Japan (342,188 tonnes), the US (167 820 tonnes), and Korea (146 356 tonnes).