Russian Food Ban

Russia closes borders to Turkish trucks

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The boycott of Turkish products has huge consequences for the Turkish economy. The export of fruit and vegetables decreased strongly. In January 2015 the country exported 215.2 million dollars worth of fruit and vegetables. This year in the same month it was 132.7 million dollars.

But another drama for the Turkish economy has been added unnoticed. Russia has not extended an agreement on transport and passage of trucks at the border. The treaty ended on February 1st. This means that Turkish trucks cannot cross the border and are denied access not just to Russia, but also to the Central Asian Hinterland. Russia is also making it difficult for Turkish transporters for temporary licenses. The alternative route by ferry through Azerbaijan has insufficient capacity.

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Plant products from Liberia, Kenya and India cannot be imported to Russia through Belarus

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Since March 1, the Russian Federal Service for Veterinary and Phytosanitary Surveillance stops the supply of plant products from Liberia, Kenya and India through Belarus. The ban is introduced  because as the Service is not sure in the authenticity of the provided certificates and suspects that the real countries of origin of fruit and vegetables are European countries, which cannot export products to Russia because of the Russian Food Ban. The main reason for the suspicions is the fact that imported products are not typical for Kenya, Liberia and India.

www.fruit-inform.com

Russia to increase Sri Lankan tropical fruit imports

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Russia is interested in importing seasonal fruits from Sri Lanka, reports the news agency Tass. This was reported by a representative of the Russian commission and the head of the Federal Fishery Agency Ilya Shestakov at an intergovernmental Russia-Sri Lanka meeting.

‘’We are interested in increasing the supply from Sri Lanka. Now the main import is tea, but we are interested in sourcing seasonal fruit and vegetables which will not compete with those produced by our agriculturalists,’’ he said.

Chairman of the Sri Lankan Intergovernmental Commission and Deputy Minister of Industry and Commerce, Tennekun Mudiyanselage, said that the country can supply Russia with tropical fruits such as pineapples, mangoes, kiwifruits and bananas.

In exchange Sri Lanka hopes to increase imports of grain from Russia.

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Russia will import more fruits and vegetables from Latin America

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On February 10, the Deputy Minister of Agriculture of the Russian Federation, Sergey Levin, met with the Minister of Livestock, Agriculture and Fisheries of Uruguay, Tabare Aguerre, to discuss the prospects for cooperation in the field of agriculture.

“Russia and Uruguay have the chance of boosting trade between them. Russia is interested in increasing imports of Uruguayan agricultural products, such as vegetables and fruit production, because of the climatic advantages that Uruguay has,” said Levin.

Argentina is another Latin American country with a great potential to increase its exports of food products to the Russian market. Argentine good exports to Russia in 2016 may grow if the authorities of the Latin American country eliminated export taxes, said the Russian ambassador to Argentina, Victor Koronelli, in an interview with RIA Novosti.

“Fruit producers are greatly interested in increasing exports of apples, pears, and some citrus fruits like lemons, tangerines, and grapefruit to Russia,” he added.

The ProdExpo fair, one of the most important agricultural food fairs in Eastern Europe, will be held in Moscow this week. This platform should promote collaboration between producers and importers from Russia and other countries, including Latin America.

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Belarus became a major exporter of banned products to Russia in 2015

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Belarus became the leader of re-exporting banned products to Russia, according to the statement of the Federal Customs Service. Customs authorities initiated 256 administrative cases on re-export of banned food to Russia country. After Belarus, Lithuania and Poland follow (112 cases), then Ukraine (39 cases) and Kazakhstan (28 cases), Latvia (26 cases), followed by Finland (22 cases) and Estonia (18 cases).

In total, the Russian authorities initiated 23 criminal cases and 550 administrative. In 2015, from August 7 to December 31, the Federal Customs Service detained more than 1 000 tons of banned products in the amount of 138.7 million rubles.

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Proposition for zero import duties for Iranian products exported to Russia

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Russia hopes to increase imports of fruit and vegetables from Iran. In order to make this happen, the country is considering reducing or eliminating import duties on Iranian agricultural products. Iran has become a more important partner for Russia following the ban on Turkish agricultural products, which will come into force 1 January 2016.

Minister of Economic Development Alexei Ulyukayev told reporters that the final decision on this issue must be taken by the Eurasian Economic Union.

“We are proposing serious steps to improve trade conditions for Iranians, meaning the reduction or, in some cases, even elimination, of import tariffs, primarily for agricultural produce — fruits and vegetables,”.

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Russia’s Central Bank declares shortage of banned food items

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Russian food producers failed to meet market requirements in most categories, according to a report published on Friday by the Central Bank, the Kommersant newspaper reported.

In the report, the Central Bank sums up the results of an “import substitution” agenda that was introduced because of the restrictions on food imports from the United States, the European Union, Canada, Norway and Australia.

Imposed last August in retaliation for the Western sanctions, the import restrictions have boosted Russian food industry — the report revealed growth in meat and dairy production, with a significant 25 percent increase of beef and potato output. Fish and sausage production suffered a small decline, falling by 5 and 4 percent respectively.

However, the Central Bank said that the development of domestic food industry so far has failed to fill the gap left by the embargo, Kommersant reported. Total volumes of beef decreased by 42%, butter – by 15%, fresh and chilled fish – by 14%, vegetables – by 10%. Only poultry, pork and potatoes showed the increase  – 6%, 7% and 19% respectively.

“Although the percentage of Russian products has increased, the total market volume that includes both domestic and imported products, has decreased,” the report says.

The shortages have led to soaring food prices with prices of key products rising sharply — cereals and beans prices showed the biggest increase (49.2%), a government analytical center revealed in a “Food Embargo” bulletin published this August.

www.themoscowtimes.com, www.kommersant.ru

Russia tightening controls on imports from Belarus

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Starting from 7 December, Russia tightened its sanitary controls on agricultural and food products imported into its territory from Belarus, as reported by Sergei Dankwert, head of the Federal Service for Veterinary and Phytosanitary Supervision.

He also announced that Belarusian food companies re-exporting to Russia will be required to produce the original phytosanitary inspection certificates on the basis of which they issued a permit allowing the product to enter the markets of the Eurasian Economic Union, including Russia.

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Possible shortages of citrus and tomatoes because of anti-Turkey sanctions

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Russian Economic Development Minister Alexei Ulyukayev has warned that the introduction of sanctions against Turkey may lead to “short-term disruptions” in the supply of fruit and vegetables, according to the RIA Novosti agency.

“We need some time; it is not possible to rule out some [supply] failures in the short run. However, we think that the situation is, on the whole, completely manageable,” Ulyukayev was quoted as saying.

He added that tomatoes and citrus fruit were most likely to be affected, due to the “very substantial share of Turkish exports” in these markets.

Ulyukayev also said that it was possible to secure adequate supplies from other countries; however, some shortages might occur before all relevant contracts were signed and sanitary control over the imported produce established.

A range of Turkish imports will be banned from entering Russia starting from Jan. 1, 2016. According to RIA Novosti, these currently include parts of animal carcasses, chicken and turkey offal, fresh and chilled tomatoes, onions and shallots, cauliflower and cabbage, broccoli, cucumbers and gherkins, fresh and dried oranges and tangerines, grapes, apples, pears, apricots, peaches and nectarines, plums and sloes, and strawberries.

Tensions flared up between Ankara and Moscow after a Russian Su-24 bomber was shot down by Turkish forces on Nov. 24, with Turkey claiming the jet had previously violated its airspace — an accusation Russia denies.

www.themoscowtimes.com

Russia to impose food ban in new sanctions against Turkey

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Russia will restrict imports of Turkish fruit and vegetables as part of a package of new sanctions following the downing of a Russian warplane by Turkey last week.

Deputy Prime Minister Arkady Dvorkovich said Monday that the produce ban could be deferred for “several weeks” to allow Russian firms to find new suppliers and curb price rises, according to state news agency RIA Novosti.

Russia has previously banned food imports from the European Union and United States over the Ukraine crisis, a measure which has been blamed for fueling price rises of food on the Russian market.

The new measures against Turkey announced at a meeting chaired by Prime Minister Dmitry Medvedev also include limits on Turkish construction firms’ ability to sign new contracts in Russia and restrictions on road transport.

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