Commentary on the situation in the meat market

Since 2020, livestock and MEAT processing enterprises have been operating in conditions of significantly higher costs due to higher prices for feed additives, electricity, transport services, packaging, casing and other cost components.

To stabilize the price situation in the market of meat and meat products, the Government of the Russian Federation has adopted a set of measures. Thus, this year a "floating" EXPORT duty on grain was introduced, and imports of the main feed component - soybeans and soybean meal - were extended for a year. In addition, livestock breeders have access to preferential "short" loans for the purchase of grain, meals, premixes, vitamins and amino acids, as well as preferential investment loans for the construction, reconstruction and modernization of livestock facilities. In 2021, livestock enterprises will receive an additional 10 billion rubles of subsidies to compensate for part of the cost of purchasing feed. Starting from 2022, the distribution of state support funds will be carried out with an emphasis on this sub-sector of agriculture, which will increase meat production and avoid price fluctuations.

Press Service of the Ministry of Agriculture of RUSSIA