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Weekly Overview: South America Steps in to Meet Russian Food Demand

25 September 2014

SOUTH AMERICA & RUSSIA - Delegations from Argentina and Brazil have been visiting Moscow lately to explore the opportunities to boost their trade with Russia for poultry products and other foods.

The South American meat sector is making a concerted effort to fill the gap in the Russian market left by the ban on imports from the EU, US, Canada, Australia and Norway.

A trade mission from the Argentinian Ministry of Agriculture has been in Moscow in a bid to diversify and expand exports.

The delegation demonstrated the performance of the sector over the last 10 years and future perspectives.

Secretary of Institutional Political and Agricultural Emergency Coordination, Javier Rodriguez, stressed the strategic importance of the relationship with Russia and the work that has been done since early this year in conjunction with the Ministry of Foreign Affairs through the Enhancement Programme and Export Diversification.

He said that there are good prospects opening up for the export of poultry and other foods.

A total of 113 Argentine firms were present, of which 88 belong to the food industry.

The delegation also took part in the International Fair World Food Moscow, which is the most important in relation to food event held in region.

The event was also attended by meat exporters from Brazil.

The Association of Brazilian Animal Protein (ABPA) said that it was an opportunity to fill the space left after the barriers imposed on the European Union, United States and Australia.

ABPA said that the commercial relationship with Russia, however, is still considered unstable.

“Historically there is some caution in relation to Russia, because the industry does not know how long it can plan and count on the demand of the market,” said the vice president of the ABPA, Rui Vargas.

He said that in the past the industry has come to face oversupply and falling prices after raising investments with a focus on the Russian market.

ABPA and the Brazilian Association of Meat Export Industry (Abiec) have been in Moscow alongside representatives of the Ministry of Agriculture for the World Food Moscow.

The demand for pork and poultry continues to grow in countries like China and Africa, and the food ban from Russia has created an opportunity for Brazil to export even more protein, confirmed Tom Welke, GSI president.

Jackie Linden

Jackie Linden

Top image via Shutterstock

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