First Poultry Meat Exported by Ukraine to EU; Eggs to Follow

UKRAINE - The first consignment of poultry meat was shipped from Ukraine to the European Union at the end of October 2013 and egg exports are expected to start in December.
calendar icon 13 November 2013
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Ukraine has started exporting poultry to the European Union, according to deputy chairman of the State Veterinary and Phytosanitary Service of Ukraine, Vitaly Bashynsky.

ForUm reports him saying that the country's largest domestic poultry producer - agriholding, Mironivsky Hliboproduct (MHP)- has carried out its first delivery of about 60 tons of poultry.

The official specified that the consignment was destined for France.

A more recent ForUm report quotes Mr Bashinsky, Deputy Chairman of State Veterinary and Phytosanitary Service of Ukraine, saying during an international conference, 'Reforming the Food Safety System in Ukraine: a Model for the Future', that Ukraine had shipped the first lot of export chicken meat to the European Union.

The source cited the Information-Analytical Bulletin of the Cabinet of Ministers of Ukraine.

Mr Bashinsky said Ukraine will soon be awarded Category "A" status for the export of eggs to the European Union.

"We are working hard to get Category 'A' on export of eggs. There remains just a few unresolved issues which are already being finalized," he said.

Government analysts say that the European Commission will next month allow Ukraine to supply eggs and poultry meat to the European Union, including it in the list of third countries eligible to import poultry products to the EU. The resolution came into force on 24 July 2013 after the list of suppliers had been approved.

The following chicken farms have been authorized to supply chicken abroad: Mironovka meat processing plant Legko and the poultry farm, Snyatynska Nova, which is part of Mironovka Bread Products, as well as Agromars.

The EU import authorisation confirms the high quality of Ukrainian poultry and will automatically help increase the supply of Ukrainian poultry to other foreign markets, reports ForUm. According to government analysts, the European legislation is one of the toughest in the field of food export permits. It took Ukraine's government almost four years of hard work to obtain import authorisation.

Experts say that the first shipment was a small batch of 18.5 tons of frozen chicken for processing. The vehicle with the chicken went to the Netherlands. By the end of 2013, it is expected that a similar licence for exports to the EU will be given to the Ukrainian egg producers, Avangardco and Ovostar Union.

So far, exports of chicken meat to the EU is a low-profit business, compared with other foreign supply, experts say. The duty rates are €32.50 per 100kg of chilled poultry and €29.90 per 100kg for frozen poultry meat.

But the situation could change after the contract is signed about the EU Free Trade Zone, and quotas for duty-free trade will be issued, which will increase the mark-up of Ukrainian companies.

The ForUm report adds that experts note the Free Trade Zone agreement suggests that Ukraine will be able to export to the EU up to 20,000 tons of chilled chicken meat and 20,000 tons of frozen poultry meat annually. At current prices, and with a duty-free licence, the imports of poultry meat will bring in around US$55 to 60 million.

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