Russian pork market faces overproduction crisis
The rapid growth of imports and domestic production in Russia at the beginning of the year has led to a crisis of overproduction in the country, which continues to have serious pressure on prices, reported Russian media Meat Info.
“A large number of pig farms which were commissioned at the end of last year made the market situation very tough – in the context of increased imports and slightly reduced demand in the market a large volume of oversupply has been created, which significantly worsened the price dynamics,” said the report.
However, thanks to the production of new pig farms the overall situation with production figures looks good. Thus, the number of pigs on 1 May 2013 in the agricultural enterprises was 14.3 million versus 12.1 million compared to the same date last year. In the first four months of 2013 in the agricultural enterprises of Russia 778,000 tonnes of pigs in live weight were sent for slaughter, which is 30% higher than the level of the first four months of 2012, when 597,000 tonnes of pork in live weight was produced.
The growth of the industry this year compared to last year is recorded in almost all districts, except for the Southern Federal District. Here the production of pork dropped by 19% on year-to-year comparison, which according to experts happened because this district continues to suffer the largest number of outbreaks of African Swine Fever.
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