Russia: There are no prerequisites for rising meat prices in 2023

Published 2022년 11월 11일

Tridge summary

The article discusses the decrease in wholesale prices for poultry, pork, and beef in Russia, attributing it to increased production. The average wholesale prices for poultry and pork are lower than the previous year, with price drops ranging from 5 to 25%. Beef prices have also fallen by 10-15%. In 2023, the poultry and pork production growth is predicted to be 2-4%, driven by low feed prices, stable supply and pricing of essentials, and basic vaccine provision. This is expected to put downward pressure on beef prices, especially with an anticipated rise in meat consumption despite low disposable incomes and weak inflation correlation with meat prices. The article contrasts these price trends with predictions made by a professor at the State University of Management, who forecasted an increase in meat prices, particularly beef, in 2023.

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Original content

According to his calculations, this year the growth in the production of poultry and pork continued, due to which the average wholesale prices for these types of meat in early November were noticeably lower than the price level a year earlier. The drop in wholesale prices is observed in all major parts from 5 to 25%. For example, a broiler carcass fell in price by 10%, and a chicken fillet - by 15%. According to Yushin, there is an abundance of beef on the market now. Compared to the beginning of the year, wholesale prices for the main parts of standard beef decreased by 10-15% on average. In 2023, the growth of poultry and pork production may be 2-4%. "Affordable prices for feed, stabilization of supplies and prices for key vitamins and amino acids, the level of provision of the industry with basic vaccines will contribute to this," the expert explains. In particular, low grain prices this season allow keeping the cost and there are no prerequisites for its rapid growth, Yushin ...

Source: RG