Wednesday, September 17, 2014

Russia’s meat packers in a squeeze

Russia’s meat packers are being squeezed by a 12 to 14 per cent increase in livestock prices since President Vladimir Putin banned imports from Europe, Canada, Australia and the United States.

He was reacting to their economic sanctions designed to pressure Putin to back off in the Ukraine.

The owner of one of the major Russian meat packers has written an open letter to Putin, pleading for government help because he says the entire meat-packing industry is in crisis because of the cost-price squeeze.

Earlier this week the nation’s leading poultry and pork producer and packer announced it’s investing about $115 million Cdn to build additional barns to fill the void that developed because of the import bans.