Russian meat share has increased by 20% in the domestic market for last five years. There are two reasons for this growth: domestic production increase and quota influence.

 

Meat imports quotas were introduced in 2003. The quotas were allocated among the largest importers pursuant the results of three previous years. Prior to this the market was completely opened and the tariff quota was very low and as a result the profitability was not high as well.

 

The quotas were introduced for restriction of cheap frozen meat imports, and also for stimulation of meat domestic production in the run-up to the national project, as Sergey Yushin, the Executive Director of National Meat Association recalls.

 

After the reduction of meat supply, many large importers, including “Miratorg”, “Bely Fregat”, “Optifood” and “Euroservice” started their own agricultural projects. And meat imports share started reducing, for example, poultry imports share was down from 61% in 2001 to 40% in 2007, Albert Davleev, USAPEEC representative says.