Argentina to send beef and soymeal trade delegation to Russia

Argentina will send a beef and soymeal trade delegation to Russia this week to negotiate increasing exports to the country, which is seeking alternative import sources, Argentina's news agency Telam reports.

The move will help Russia fill any gaps resulting from its ban on European Union imports. Neighbouring Brazil has already made a headstart when about 90 new meat plants were approved to export to Russia, and when it also began work to increase its corn and soybeans exports.

The meetings between Argentina and Russia would take place on Tuesday and Wednesday in Moscow, "with the explicit objective of quickly signing export contracts." Dairy product exports alone could rise 20% if Russia turns to Argentina after blocking US and EU milk, Miguel Paulon, head of Argentina's dairy industry chamber, said. Russia has banned food imports from the US, the EU, Australia, Canada and Norway in retaliation for sanctions over the Ukraine crisis.

The subjects of the trade talks in Moscow will include beef and "some soymeal," said a Buenos Aires trading company executive who requested anonymity. Argentina is the world's top exporter of soymeal feed.

However, a lingering concern for farmers is that the country, which has one of the world's highest inflation rates, restricts exports of meat, corn, wheat and other foods to weigh down domestic food prices.