STRATEGY ▶▶▶
Russian poultry industry feels the sting of the pandemic
BY VLADISLAV VOROTNIKOV T
he Covid-19 pandemic delivered a major blow to the Russian poultry industry, says Sergey Lakhtyuk- hov, director general of the Russian Union of Poultry Producers. Although major supply disruptions have
been avoided for both raw materials and finished products, market conditions have significantly worsened for Russian poultry farmers since the start of 2020, with the coronavirus to blame. “Given that a high share of poultry production costs are directly or indirectly tied to the exchange rate for the Rus- sian ruble, overall production costs climbed 15-18% in December 2020 [based on a year-on-year comparison],” explains Lakhtyukhov. One of the main drivers is record-breaking grain prices on both Russian and global markets. The average price of feed wheat in Russia is currently 30% higher than during the same period of the previous year, even though the country had the
Soaring grain prices and the continuing downward rally of the Russian ruble are putting pressure on the growth of the country’s poultry industry. However, new projects already under construction are being completed, potentially disrupting market balance in the near future.
second largest grain harvest ever in 2020, according to Lakhtyukhov. The prices for corn, meal and oil are following the same path. “The direct impact of the Covid-19 situation on the Russian poultry industry has been minimal. Sales pric- es and volumes have been stable and have been mostly af- fected by declining prices for fresh chilled case-ready pork, the supply of which has substantially increased during the last year,” says Albert Davleyev, president of the Russian consulting agency, Agrifood Strategies.
Broiler meat supply is about to increase with new farms built and older farms getting back into production.
▶ POULTRY WORLD | No. 2, 2021
11
PHOTO: EURODON
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24 |
Page 25 |
Page 26 |
Page 27 |
Page 28 |
Page 29 |
Page 30 |
Page 31 |
Page 32 |
Page 33 |
Page 34 |
Page 35 |
Page 36 |
Page 37 |
Page 38 |
Page 39 |
Page 40 |
Page 41 |
Page 42 |
Page 43 |
Page 44
