April 7, 2011
 

Russian beef imports to increase

Although Russian beef imports in 2011 are expected to rise 1% on year, to 950,000 tonnes carcass weight equivalent, it is still 16% less than 2008's record of 1.137 million tonnes.

The increase in imported beef demand will be assisted by falling domestic supplies, with the USDA forecasting that the Russian cattle herd will continue to decline in 2011, falling by 3%, to 19.36 million head. Higher feed costs remain a huge challenge for Russian beef producers, along with the ongoing restructure of the dairy industry. 

Russian beef production is also expected to fall 2.4% in 2011, as the higher slaughter rates throughout 2010 impact numbers available for the coming year. However, USDA figures do highlight that despite the dairy cow herd falling 2.8% in 2010, beef cow numbers expanded 11% because of a targeted beef cattle breeding programme.

Due to the severe drought experienced in 2010, Russian cattle producers are reportedly having significant difficulties in sourcing feed, accentuated by higher prices.