October 14, 2009
Russia widens market access for Canadian beef
Canada and Russia have finally agreed that more Canadian beef will move to Russia.
The Canadian trade mission to Russia also succeeded in opening market access for Canadian sheep, goat, and cattle breeding stock, according to the release.
Canadian Agriculture Minister Gerry Ritz in a press release said "Canada and Russia Canada and Russia have a long history of agricultural cooperation and today we strengthened that relationship by creating ground-breaking new opportunities for Russian and Canadian farmers".
Russia and Canada agreed to a certificate that would open market access for Canadian bone-in beef from animals under 30 months of age. The certificate finalized an agreement-in-principle negotiated during a trade mission in June by Canadian Minister of International Trade Stockwell Day. Russia and Canada also agreed in allowing market access for Canadian boneless beef from animals over 30 months of age. Technical officials will also work within this calendar year to move toward giving Russian importers access to Canadian beef offal.
The Canada Beef Export Federation (CBEF) estimates the value of under-30-month beef and over-30-month boneless beef to Russia will be worth up to C$32 million (US$31.13 million), according to the release. CBEF also estimates fully reopening the Russian market to Canadian offal will be worth up to C$10 million.
Russia is expanding its sheep and goat production and opening market access for high-quality Canadian small ruminant breeding stock, said the release. The Canadian Sheep Federation estimates the Russian market will be worth up to C$8 million over three years.
The Canadian delegation also finalized key agreements with Russian industry to provide high-quality beef breeding stock and technical training, said the release. Hawkeye Land & Livestock Ltd. of Canada signed a deal to ship up to 10,000 head of pure-bred beef breeding stock to the Russian-owned Northern Agro Industrial Company. Another Canadian company, Alta Exports International, signed another agreement with Inter-Regional Beef Breeding Cattle Development Fund, to support the establishment of a beef-breeding training centre to make sure Russian buyers can maximize production from Canadian breeding stock, said the release.
US$1 = C$1.02 (Oct 14)
