Record prices for poultry meat in Russia

The price of poultry meat in Russia has reached a record level in the last five years – experts say.

Since last year, prices for poultry meat production rose by 25%. One of the main factors influencing this trend was very expensive feed, and taking into account the fact that in the near future price of fodder in Russia will continue to go up, the price for poultry will also be on the rise.

“For the whole 2011 the average price for poultry was 72-75 rubles per kg (US$ 2.26-2.35). The increase in prices for feed was accepted by the industry very sensitive and forced (producers) to increase the selling price to maintain positive margins. In fact, most industry representatives noted an acute shortage of poultry in the domestic market. Therefore, the prices on the carcass in the European part of Russia reached 92-94 rubles/kg (US$ 2.88-2.95), in Western Siberia – 95-98 rubles/kg (US$ 2.98-3.07). According to market participants, currently there are no any preconditions of reducing the demand for poultry, and therefore an increase in prices may continue”, the USAPEEC (USA poultry and egg export council) reported.

In the report it was noted that the rise in prices was influenced by a decrease in production of poultry meat early this year, as well as strengthening of the dollar against ruble, which boosted the price of imported products and lead to an increase in all prices at the domestic market.

Information portal Soya News reports that in June, the price of feed for the poultry reached the annual maximum. Compared with the previous month, they increased by 4%. In January this year, the average price per ton of feed for poultry in Russia was 10,631 rubles. (US$ 333.8), In June it had risen to 11,253 rubles (US$ 353.3).