MOSCOW - Russian meat importers lost at least $50 million due to the unexpected ban on meat imports from the United States, Canada, Norway, the EU and Australia, the National Meat Association reckons.
“Losses to Russian business from the ban were, by the most modest calculations, at least $50 million,” Sergei Yushin, the head of the NMA executive committee, said at a pig farming conference in Moscow on Nov. 26.
When the embargo was imposed there was $140 million worth of meat on route from different countries, he said. Because it could no longer be returned, importers had to sell it to other countries, including even Africa. “They were forced to do this at a price that was 20 percent to 30 percent below the purchase price,” he added.
Restricting imports led to a great influx of contraband, which, in essence, restored imports and lowered the price for pork. The price per kilogram was an average of 187.79 rubles on September 26, compared to 170 rubles on Nov. 17.
Russia on Aug. 7 2014 imposed a one-year embargo on imports of meat and meat products, fish and fish products, fruit and vegetables and milk and dairy products from the United States, Canada, Australia, Norway and the EU due to anti-Russian sanctions. The authorities have said the ban could be cut short or extended.
