Belarus ramps down dairy, meat exports to Russia

Belarus authorities have imposed restrictions on exports to Russia for seven major producers of meat and dairy products in an attempt to keep domestic food prices down.

The statement came in a letter from the Department of Veterinary and Food Supervision of the Ministry of Agriculture and Food of Belarus addressing the local producers of meat and dairy products, Kommersant informs.

The ministry explained the move with the need to fill the domestic market with local products.

A source from the newspaper said Belarus imports to Russia about 140,000 tonnes of poultry meat per year. By late 2022, taking into account the ban, the supplies may be brought down to 30,000 tonnes, which may certainly lead to a rise in prices in Russia.

Another source claimed that Russian companies can replace the falling volumes, and if there is an increase in prices, it will be within a few per cent.

Analysts considered that Belarusian dairy plants, which fell under the ban, produced whole milk powder and condensed milk. However, there is a glut of these types of products on the Russian market, and warehouses are overstocked. Therefore, the falling volumes will be completely substituted.

As for products of animal origin, the market is oversaturated with products in this segment as well. Therefore, Belarus’ decision will have virtually no effect on prices in Russia.