February 15, 2012

 

 

Russia's ban on beef imports from the EU has sparked opportunities for other beef-exporting countries like Australia.

 

The Russian veterinary authority, Rosselkhoznadzor, last week banned all beef imports from the EU following the spread of the Schmallenberg virus across Europe.

 

Late last month, Russia banned sheep meat imports from the EU, but the beef ban is seen as more significant. Russia imports about a million tonnes of beef each year, about 15% of which comes from the EU. In contrast, Australia sent 56,000 tonnes of beef to Russia last year.

 

Before the EU beef ban, Meat and Livestock Australia predicted Russian beef imports would increase to 70,000 tonnes. MLA chief economist Tim McRae said it was too early to tell if the EU beef ban would affect Australian exports.

 

"There are potentially flow-on effects, but it is hard to read the situation at the moment," he said.

 

McRae said MLA staff were at a trade fair in Russia, and would report back on any increased interest in Australian beef. He said the length of the ban would also determine whether benefits would flow on to demand for Australian beef.

 

"If the Russian ban is sustained, then it will leave them without a major supplier of beef," McRae said.

 

"They will need to fill the shortfall from somewhere and already the US and South America are not sending as much to Russia."

 

"But we need to wait to see what the real benefits may be for Australian beef."

 

The Schmallenberg virus was first detected in Germany in August but since then has spread across Europe and into the UK.

 

Carried by midges, it causes abortions and malformations in sheep and cattle.