February 8, 2012

Estonia's dairy exports to Russia fall in 2011

Estonia industrial companies exported nearly 40% less dairy products to Russia in 2011 than in 2010.

In 2011, Estonian dairy companies sold only EUR35 million (US$46 million) worth of goods to the Eastern market compared to 2010 at nearly EUR56 million (US$74 million).

"Belorussia is the obstacle since it is increasing production of dairy products for the Russian market, has devaluated its currency in a crazy pace and enjoys the tax concession accompanying customs union," said dairy company E-Piim manager Jaanus Murakas.

"Currently Byelorussia is largely covering the demand that could be that of the European Union i.e. Estonian producers. But I hope that Russia joining WTO will even out the customs taxes in our favour," said Murakas.